Remittance Basis and Domicile Manual

RDRM31040 - Remittance Basis: Introduction to the Remittance Basis: Overview of the Remittance Basis regime: Income and gains that the remittance basis applied to

Before 6 April 2013, for individuals who were UK domiciled but not ordinarily resident (NOR), the remittance basis only applied to foreign income.

The remittance basis applied to both foreign income and foreign capital gains for individuals who are not domiciled within the UK (ND).

From 6 April 2013 the concept of ordinary residence was removed from the statue for most tax purposes. For tax years 2013-2014 onwards the remittance basis could only be claimed by people who are not domiciled in the UK.

From 6 April 2017 the remittance basis did not apply to either an individuals' foreign income or foreign capital gains if they were deemed domiciled in the UK.

From 6 April 2025 it is no longer possible to use the remittance basis of taxation.

For tax years 2012-2013 and earlier, there was a key difference between NORs and NDs in respect of capital gains. Any capital gains arising to individuals who were domiciled within the UK but were NOR could not be taxed on the remittance basis, even if the individual used the remittance basis in respect of their foreign income.

Note: An individual who was UK domiciled but NOR and who claimed the remittance basis still lost their capital gains Annual Exempt Amount. (refer to RDRM32040).

There are also differences in what is classified as 바카라 사이트˜relevant foreign earnings바카라 사이트™ depending on whether the employee was NOR or ND. These are discussed at RDRM31120 - also refer to the Employment Income Manual EIM40001 onwards.