Grant Thornton has warned non-doms that have been resident in the UK before April 2001 will begin paying the Government’s new charges from April 2008.
In his Budget Speech, Alistair Darling rejected Conservative plans for a £25,000 annual non-dom levy as it would discourage people coming to this country for short term work.
Instead the Government will introduce a seven and 10 year charge to target those who may be evading tax by disguising income as capital, falsely claiming they are out of the country or claiming two allowances.
Anyone who became a resident in the UK before April 2001 will begin paying a £30,000 levy from April 2008.
Grant Thornton says there may also be hidden tax charges to consider for non doms who have established holding structures and family trusts outside the UK.
It says non-UK residents also face a change in the way the number of days per year spent in the UK is calculated to avoid a full tax charge.
Grant Thornton senior tax partner Mike Warburton says: “The number of non-doms likely to pay any charge has been hotly debated by political parties over the past few days. “the truth is that no one has a definitive answer because the Treasury do not have the required data. This is because non-doms are not required to provide information on their overseas income unless the income is brought into the UK.”