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<big>This site provides comprehensive information about:
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<big>[https://www.kessler.co.uk James Kessler's] ''Private Client Taxation'' aims to set out a comprehensive discussion of private client taxation.  Discussion includes:
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# Taxation of foreign domiciliaries
+
# Income Tax, CGT and IHT on individuals and trusts
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# Taxation of non-residents on UK income and assets
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# The territorial limits of UK tax (now based on residence, situs and source)
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# Taxation of UK residents on foreign income and assets
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# Other topics arising in this context, including tax avoidance, disclosure and compliance
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# Other topics arising in this context, including tax avoidance, and disclosure and compliance
+
  
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It is the online version of [https://www.kessler.co.uk/taxation-of-foreign-domiciliaries/ ''Taxation of Non-Residents and Foreign Domiciliaries''] by [https://www.kessler.co.uk James Kessler KC].   
+
This is a wide subject, or set of subjects, but in taxation, as in life, everything is connected.
 +
 
 +
''PCT Online'' is the successor to ''Taxation of Non-Residents and Foreign Domiciliaries''. The reforms of the FA 2025, which one might summarise as the abolition of domicile, required a new title.  But the approach of this work is unaltered.
  
 
<div style="float: left; width: 33%">
 
<div style="float: left; width: 33%">
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<big>'''Contents'''</big>
 
<big>'''Contents'''</big>
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[[Update]]
 
[[Update]]
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:[[Dedication]]
 
:[[Dedication]]
  
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:A1  [[FIG Relief/Abolition of Domicile]]
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:'''''<span style="font-size:87%">Mobile Individuals Policy & Avoidance</span>'''''
−
 
+
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:'''''<span style="font-size:106%"><span style="color:navy">Non-dom Policy & Avoidance</span></span>'''''
+
  
 
:1  [[Mobile Individuals: Tax Policy]]
 
:1  [[Mobile Individuals: Tax Policy]]
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:3  [[Targeted Anti-Avoidance Rules (TAARs)]]
 
:3  [[Targeted Anti-Avoidance Rules (TAARs)]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Domicile & Residence</span></span>'''''
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:'''''<span style="font-size:87%">Residence</span>'''''
  
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:4  [[Domicile]]  
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:4  [[Residence of Individuals]]
  
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:5  [[Deemed Domicile]]
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:5  [[Residence of Trustees]]
  
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:6  [[Residence of Individuals]]
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:6  [[Residence of Companies]]
  
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:7  [[Residence of Trustees]]
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:7  [[Treaty-Residence]]
  
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:8  [[Residence of Companies]]
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:8  [[Split Years]]
  
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:9  [[Treaty-Residence]]
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:9  [[Temporary Non-residence]]
  
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:10   [[Split Years]]
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:10 [[Exit Taxes]]
  
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:11  [[Temporary Non-residence]]
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:11  [[UK Arrival or Departure: Tax Checklist]]
  
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:12  [[Exit Taxes]]
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:'''''<span style="font-size:87%">Income Tax: Principles</span>'''''
  
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:13 [[UK Arrival or Departure: Tax Checklist]]
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:12 [[Income and its Categorisation]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Income Tax: Principles & Remittance Basis</span></span>'''''
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:13  [[Source/Territorial Principles]]
  
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:14  [[Income and its Categorisation]]  
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:14  [[Income Recognition: Receive/Entitled/Arise/Paid]]
  
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:15  [[Income Recognition: Receive/Entitled/Arise/Paid]]
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:'''''<span style="font-size:87%">FIG Relief: TRF & Former Remittance Basis</span>'''''
  
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:16  [[Source/RFI/Territorial Principles]]  
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:15  [[FIG Relief & Overseas Workday Relief]]
 +
 
 +
:16  [[Temporary Repatriation Facility]]
  
 
:17  [[The Remittance Basis]]
 
:17  [[The Remittance Basis]]
  
−
:18  [[The Meaning of Remittance]]
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:18  [[Remittance Reliefs]]
  
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:19  [[Remittance Reliefs]]
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:19  [[Mixed Funds]]
  
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:20  [[Mixed Funds]]
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:'''''<span style="font-size:87%">Income by Category</span>'''''
  
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:'''''<span style="font-size:106%"><span style="color:navy">Income by Category</span></span>'''''
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:20  [[Trading Income]]
  
−
:21 [[Trading Income]]
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:21 [[Cessations & Trading Stock]]
  
 
:22  [[Trading in Land]]
 
:22  [[Trading in Land]]
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:30  [[Dividend Income]]
 
:30  [[Dividend Income]]
  
−
:31  [[Annual Payments]]
+
:31  [[Corporation Tax on Company Distributions]]  
  
−
:32  [[Intellectual Property Income]]
+
:32  [[Annual Payments]]
  
−
:33  [[Misc Sweep-Up Income]]
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:33  [[Intellectual Property Income]]
  
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:34  [[Employment Income]]
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:34  [[Misc Sweep-Up Income]]
  
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:35  [[Travel Expenses: Employment Income]]
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:'''''<span style="font-size:87%">Employment Income</span>'''''
  
−
:36 [[PAYE]]
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:35 [[Employment Income]]
  
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:36A [[Disguised Remuneration/Trading Income]]
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:36  [[Travel Expenses]] ''name''
  
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:36B [[Employer-Financed Retirement Benefits Scheme]]
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:37  [[PAYE]]
  
−
:37 [[Employment Income: DT Relief]]
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:38 [[Disguised Remuneration/Trading Income]]
  
−
:38 [[Pension and Annuity Income]]
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:39 [[Employment Income: DT Relief]]
  
−
:39 [[Benefit in Kind: Family Home and Chattels]]
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:40 [[Benefit in Kind: Family Home and Chattels]]
  
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:40 [[Loans from Companies]]
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:41 [[Loans from Companies]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">IT: General</span></span>'''''
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:'''''<span style="font-size:87%">IT: General</span>'''''
  
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:41 [[Discretionary Trusts: Income Tax]]
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:42 [[Discretionary Trusts: Income Tax]]
  
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:42 [[IIP Trusts: Income Tax]]
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:43 [[IIP Trusts: Income Tax]]
  
−
:43 [[Rates of Income Tax/CGT]]
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:44 [[Rates of Income Tax/CGT/CT]]
  
−
:44 [[Personal Allowances]]
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:45 [[Personal Allowances]]
  
−
:45 [[Non-Resident Income Tax Relief]]
+
:46 [[Non-Resident Income Tax Relief]]
  
−
:46 [[National Insurance Contributions]]
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:47 [[National Insurance Contributions]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">IT Avoidance Codes</span></span>'''''
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:'''''<span style="font-size:87%">IT Avoidance Codes</span>'''''
  
−
:47 [[Settlor-interested Trust Code]]
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:48 [[Settlor-interested Trust Code]]
  
−
:48 [[Transfer of Assets Abroad: Introduction]]
+
:49 [[Transfer of Assets Abroad: Introduction]]
  
−
:49 [[Transfer of Assets Abroad: Transferors]]
+
:50 [[Transfer of Assets Abroad: Transferors]]
  
−
:50 [[Transfer of Assets Abroad: Benefits]]
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:51 [[Transfer of Assets Abroad: Benefits]]
  
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:51 [[Transfer of Assets Abroad: Relief from Overlapping Charges]]
+
:52 [[Transfer of Assets Abroad: Relief from Overlapping Charges]]
  
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:52 [[Transfer of Assets Abroad: Motive Defence]]
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:53 [[Transfer of Assets Abroad: Motive Defence]]
  
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:53 [[Profit Fragmentation]]
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:54 [[Pre-2025 Protected Trust Income]]
  
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:54 [[Transfer of Income Streams]]
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:55 [[Profit Fragmentation]]
  
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:55 [[Transactions in Securities]]
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:56 [[Transfer of Income Streams]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Capital Gains Tax</span></span>'''''
+
:57  [[Transactions in Securities]]
  
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:56  [[Chargeable Gains]]
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:'''''<span style="font-size:87%">Capital Gains Tax</span>'''''
  
−
:57 [[UK Property Held by Non-Residents]]
+
:58 [[Chargeable Gains]]
  
−
:58 [[Reorganisations]]
+
:59  [[UK Property Held by Non-Residents]]
  
−
:59  [[Residential Property: CGT]]
+
:60 [[Hold-over Relief]]
  
−
:60  [[Gains of Non-Resident Settlor-Interested Trusts: s.86]]
+
:61 [[Liquidation of Companies]]
  
−
:61 [[Capital Payments from Non-Resident Trusts: s.87 Code]]
+
:62 [[Reorganisations]]
  
−
:62 [[Borrowing by Non-Resident Trust: Sch 4B]]
+
:63 [[Residential Property: CGT]]
  
−
:63 [[Sub-Funds]]
+
:64 [[Gains of Non-Resident Settlor-Interested Trusts: s.86]]
  
−
:64 [[Gains of Non-Resident Companies]]
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:65 [[Capital Payments from Non-Resident Trusts: s.87 Code]]
  
−
:65 [[Capital Losses]]
+
:66 [[Borrowing by Non-Resident Trust: Sch 4B]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Funds</span></span>'''''
+
:67  [[Sub-Funds]]
  
−
:66 [[Funds: Terms & Concepts]]
+
:68 [[Gains of Non-Resident Companies]]
  
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:67 [[Offshore Income Gains]]
+
:69 [[Capital Losses]]
  
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:68  [[Income from Offshore Funds]]
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:'''''<span style="font-size:87%">Funds</span>'''''
  
−
:69 [[Unit Trusts]]
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:70 [[Funds: Terms & Concepts]]
  
−
:70 [[Life Policies and Contracts]]
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:71 [[Offshore Income Gains]]
  
−
:71 [[Intermediated Securities]]
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:72 [[Income from Offshore Funds]]
  
−
:72 [[Investment Manager Exemptions]]
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:73 [[Unit Trusts & Transparent Funds]]
  
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:73 [[Investment Management Fees & Carried Interest]]
+
:74 [[Life Policies and Contracts]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Inheritance Tax</span></span>'''''
+
:75  [[Intermediated Securities]]
  
−
:74  [[IHT Terms and Concepts]]
+
:'''''<span style="font-size:87%">Investment Management</span>'''''
  
−
:75 [[Excluded Property: Definition]]
+
:76 [[Investment Manager Exemptions]]
  
−
:76 [[Excluded Property Exemptions]]
+
:77 [[Carried Interest/Investment Management Fees: Introduction]]
  
−
:77 [[Wills and IOVs]]
+
:78 [[Carried Interest]]
  
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:78 [[Reservation of Benefit]]
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:79 [[Investment Management Fees]]
  
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:79  [[Inter-Trust Transfers: IHT]]
+
:'''''<span style="font-size:87%">Inheritance Tax</span>'''''
  
−
:80  [[IHT Deduction for Debts]]
+
:80  [[IHT Terms and Concepts]]
  
−
:81  [[IHT Close-Company Code]]
+
:81  [[Normal Expenditure Relief]]
  
−
:82  [[IHT Residential Property Code]]
+
:82  [[Excluded Property: Definition]]
  
−
:83  [[Pre-Owned Assets]]
+
:83  [[Excluded Property Exemptions]]
  
−
:84  [[Pension IHT]]
+
:84  [[Wills and IOVs]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Entities</span></span>'''''
+
:85  [[Reservation of Benefit]]
  
−
:85 [[Partnerships]]
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:86 [[Inter-Trust Transfers: IHT]]
  
−
:86 [[Partnership Income: Allocation]]
+
:87 [[IHT Treatment of Debts]]
  
−
:86A [[Salaried Members Code]]
+
:88  [[IHT Close-Company Code]]
  
−
:86B [[Partnerships CGT]]
+
:89  [[IHT Residential-Property Code]]
  
−
:87 [[Settlement, Bare Trust, and Associated Terminology]]
+
:90 [[Pre-Owned Assets]]
  
−
:88  [[Estates of Deceased Persons: CGT]]
+
:'''''<span style="font-size:87%">Partnerships</span>'''''
  
−
:89 [[Estates of Deceased Persons: Income Tax]]
+
:91 [[Partnerships]]
  
−
:90 [[Foreign Entities]]
+
:92 [[Partnership Income: Allocation]]
  
−
:91 [[Hybrid Entities]]
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:93 [[Salaried Members Code]]
  
−
:'''''<span style="font-size:106%"><span style="color:navy">Topics Affecting More Than One Tax</span></span>'''''
+
:94  [[Partnerships CGT]]
  
−
:92  [[Protected Trusts]]
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:'''''<span style="font-size:87%">Entities</span>'''''
  
−
:93 [[Non-Dom/Non-Resident Spouse]]
+
:95 [[Settlement, Bare Trust, and Associated Terminology]]
  
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:94 [[Joint Accounts]]
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:96 [[Estates of Deceased Persons: CGT]]
  
−
:95 [[Foreign Currency Issues]]
+
:97 [[Estates of Deceased Persons: Income Tax]]
  
−
:96 [[Cryptoassets]]
+
:98  [[Foreign Entities]]
  
−
:97 [[Unremittable Assets]]
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:99 [[Hybrid Entities]]
  
−
:98  [[ATED and SDLT]]
+
:'''''<span style="font-size:87%">Pensions & Employment Benefit Trusts</span>'''''
  
−
:99 [[Who is the Settlor?]]
+
:100 [[Pension and Annuity Income]]
  
−
:100 [[Multiple Settlors]]
+
:101 [[Employer-Financed Retirement Benefits Scheme]]
  
−
:101 [[Statutory Tax Indemnities]]
+
:102 [[Pension IHT]]
  
−
:102  [[Situs of Assets for IHT]]
+
:'''''<span style="font-size:87%">Topics affecting more than one tax</span>'''''
  
−
:103 [[Situs of Assets for CGT]]
+
:103 [[Non-Resident Spouse]]
  
−
:104 [[Control Connected Close and Related Expressions]]
+
:104 [[Joint Accounts]]
  
−
:105 [[Participation, % Investment & Material Interest Tests]]
+
:105 [[Foreign Currency Issues]]
  
−
:106 [[Permanent Establishment and Branch/Agency]]
+
:106 [[Cryptoassets]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Double Taxation Agreements IT/CGT</span></span>'''''
+
:107 [[Unremittable Assets]]
  
−
:107 [[Double Taxation Arrangements: Introduction]]
+
:108 [[ATED and SDLT]]
  
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:108 [[DTA Anti-abuse Rules]]
+
:109 [[Who is the Settlor?]]
  
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:109 [[Third Party Relief/Savings Clause]]
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:110 [[Multiple Settlors]]
  
−
:110 [[Limitation on Benefits]]
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:111 [[Statutory Tax Indemnities]]
  
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:111 [[Credit for Foreign Tax]]
+
:112 [[Situs of Assets for IHT]]
  
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:112 [[Non-discrimination]]
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:113 [[Situs of Assets for CGT]]
  
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:113 [[Mutual Agreement Procedure]]  
+
:114 [[Control Connected Close and Related Expressions]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Double Taxation Agreements: IHT</span></span>'''''
+
:115 [[Participation, % Investment & Material Interest Tests]]
  
−
:114 [[IHT Double Taxation Treaties: Introduction]]
+
:116 [[Permanent Establishment]]
  
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:115 [[IHT DTAs: India, Pakistan, Italy, France]]
+
:'''''<span style="font-size:87%">Double Taxation Agreements: IT/CGT</span>'''''
  
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:116 [[IHT DTA: Netherlands]]
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:117 [[Double Taxation Arrangements: Introduction]]
  
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:117 [[IHT DTA: South Africa]]
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:118 [[DTA Anti-abuse Rules]]
  
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:118 [[IHT DTA: Switzerland]]
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:119 [[Third Party Relief/Savings Clause]]
  
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:119 [[IHT DTA: USA]]
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:120 [[Limitation on Benefits]]
  
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:120 [[Credit for Foreign IHT]]
+
:121[[Credit for Foreign Tax]]
  
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:'''''<span style="font-size:106%"><span style="color:navy">Administration</span></span>'''''
+
:122 [[Non-discrimination]]
  
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:121 [[Reporting and Compliance]]
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:123 [[Mutual Agreement Procedure]]
  
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:122 [[Tax Return Filing Position]]
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:'''''<span style="font-size:87%">Double Taxation Agreements: IHT</span>'''''
  
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:123 [[Claims]]
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:124 [[IHT Double Taxation Treaties: Introduction]]
  
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:124 [[Collection of IT/CGT from UK Representatives]]
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:125 [[IHT DTAs: India, Pakistan, Italy, France]]
  
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:125 [[Reporting and Compliance: IHT]]
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:126 [[IHT DTA: South Africa]]
  
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:126 [[Penalties]]
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:127 [[IHT DTA: USA]]
  
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:127 [[Failure to Prevent Tax Evasion]]
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:128 [[IHT DTA: Netherlands]]
  
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:128 [[Reporting Offshore Trusts]]  
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:129 [[IHT DTA: Switzerland]]
  
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:129 [[International Movement of Capital: Reports]]
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:130 [[Credit for Foreign IHT]]
  
−
:130 [[Common Reporting Standard]]
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:'''''<span style="font-size:87%">Administration</span>'''''
  
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:131 [[Trust Registration (TRS)]]
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:131 [[Reporting and Compliance]]
  
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:132 [[Customer Due Diligence]]
+
:132 [[Tax Return Filing Position]]
 +
 
 +
:133 [[Claims]]
 +
 
 +
:134 [[Collection of IT/CGT from UK Representatives]]
 +
 
 +
:135 [[Collection of Tax Across Borders]]
 +
 
 +
:136 [[Reporting and Compliance: IHT]]
 +
 
 +
:137 [[Penalties]]
 +
 
 +
:138 [[Failure to Prevent Tax Evasion]]
 +
 
 +
:139 [[Reporting Offshore Trusts]]
 +
 
 +
:140 [[International Movement of Capital: Reports]]
 +
 
 +
:'''''<span style="font-size:87%">CRS & Money Laundering</span>'''''
 +
 
 +
:141 [[Common Reporting Standard]]
 +
 
 +
:142 [[Trust Registration (TRS)]]
 +
 
 +
:143 [[Customer Due Diligence]]
 +
 
 +
:144 [[Money Laundering: POCA]]
  
−
:133 [[Money Laundering: Criminal Property]]
 
  
  
 
:'''<big>Appendices</big>'''
 
:'''<big>Appendices</big>'''
  
−
:'''''<span style="font-size:106%"><span style="color:navy">Words & Concepts</span></span>'''''
+
:'''''<span style="font-size:87%">Words & Concepts</span>'''''
  
 
:[[Appendix 1 Words of Dispute]]
 
:[[Appendix 1 Words of Dispute]]
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:[[Appendix 3 Family Terminology]]  
 
:[[Appendix 3 Family Terminology]]  
  
−
:[[Appendix 3A Share/Security Terminology]]
+
:[[Appendix 4 Share/Security Terminology]]
 +
 
 +
:[[Appendix 5 Consideration, Arm's Length, Full Value]]
  
−
:[[Appendix 4 Consideration/Arm's Length/Full Value]]
+
:[[Appendix 6 Commercial/View to Profit]]
  
−
:[[Appendix 5 Commercial/View to Profit]]
+
:[[Appendix 7 Beneficial Ownership/Entitlement]]
  
−
:[[Appendix 6 Beneficial Ownership/Entitlement]]
+
:[[Appendix 8 Domicile]]
  
−
:[[Appendix 7 Substance and Reality]]
+
:'''''<span style="font-size:87%">Statutory Construction</span>'''''
  
−
:'''''<span style="font-size:106%"><span style="color:navy">Construction of Statutes</span></span>'''''
+
:[[Appendix 9 Construction of Tax Statutes]]
  
−
:[[Appendix 8 Deeming Provisions]]
+
:[[Appendix 10 Substance and Reality]]
  
−
:[[Appendix 9 Purpose in Tax Statutes]]
+
:[[Appendix 11 Deeming Provisions]]
  
−
:'''''<span style="font-size:106%"><span style="color:navy">Special Taxpayers</span></span>'''''
+
:'''''<span style="font-size:87%">Special Taxpayers</span>'''''
  
−
:[[Appendix 10 Parliamentarians]]
+
:[[Appendix 12 Parliamentarians]]
  
−
:[[Appendix 11 Visiting Forces]]
+
:[[Appendix 13 Visiting Forces]]
  
−
:[[Appendix 12 Students and Teachers]]
+
:[[Appendix 14 Diplomats]]
  
−
:[[Appendix 12A Continental Shelf]]
+
:[[Appendix 15 Sovereign Immunity]]
  
−
:'''''<span style="font-size:106%"><span style="color:navy">Tax Reform</span></span>'''''
+
:[[Appendix 16 Students and Teachers]]
  
−
:[[Appendix 13 How to Improve Private Client Taxation]]
+
:[[Appendix 17 Continental Shelf]]
  
−
:[[Appendix 14 Reform of Offshore Anti-avoidance Law]]
+
:'''''<span style="font-size:87%">Tax Reform</span>'''''
  
−
:[[Appendix 15 Citizenship-based Taxation]]
+
:[[Appendix 18 How to Improve Private Client Taxation]]
 +
 
 +
:[[Appendix 19 Reform of Offshore Anti-Avoidance Law]]
 +
 
 +
:[[Appendix 20 Citizenship-based Taxation]]
 +
 
 +
:[[Appendix 21 The Wisdom of Parliament]]
  
−
:[[Appendix 16 The Wisdom of Parliament]]
 
  
  
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<big>'''2024/25 edition'''</big>
+
<big>'''2026/27 edition'''</big>
  
−
The 2024/25 edition of ''Taxation of Non-Residents and Foreign Domiciliaries'' is available online and in paper form.  The online form is the better choice as it is updated during the year.
+
The 2026/27 edition of ''Kessler on Private Client Taxation'' is now online.  It has been substantially updated for the FA 2026 and other developments since last year, and online publication of chapters remaining to be updated will be phased in over the next few weeks.
  
−
To access TFD online, you will need an online licence. To obtain this, go to  
+
To access PCT online, you will need an online licence. To obtain this, go to  
 
[https://www.khpplc.co.uk/ the publishers website] or email [mailto:[email protected]?Subject=TFD%20online [email protected]] Licences for previous editions are not valid for the current edition.
 
[https://www.khpplc.co.uk/ the publishers website] or email [mailto:[email protected]?Subject=TFD%20online [email protected]] Licences for previous editions are not valid for the current edition.
  
Line 389: Line 420:
 
Without logging in, you can access:
 
Without logging in, you can access:
  
−
Chapter A1 [[FIG Relief/Abolition of Domicile]]<br/>Chapter 1 [[Mobile Individuals: Tax Policy]]<br/>Chapter 2 [[Tax Avoidance]]
+
[[Introduction]]<br/>Chapter 1 [[Mobile Individuals: Tax Policy]]<br/>Chapter 2 [[Tax Avoidance]]
  
 
You enter this site once you have registered and [[Special:Userlogin| logged in]] by clicking on the index on the left, or you can search the text.
 
You enter this site once you have registered and [[Special:Userlogin| logged in]] by clicking on the index on the left, or you can search the text.
Line 397: Line 428:
 
<big>'''Comments please'''</big>
 
<big>'''Comments please'''</big>
  
−
Users can also [[contribute to the text]] and if you can add anything, or spot anything that needs to be corrected, please do!  A copy of the next edition of the book will be given to the user who makes the most edits.  User contributions are reviewed by [https://www.taxchambers.com/team/rebecca-sheldon/ Rebecca Sheldon].
+
Users can also [[contribute to the text]] and if you can add anything, or spot anything that needs to be corrected, please do!  A copy of the next edition of the book will be given to the user who makes the most edits.  User contributions are reviewed by [https://www.taxchambers.com/team/rebecca-sheldon/ Rebecca Sheldon]. PCT online is a [http://en.wikipedia.org/wiki/Wiki Wiki] on the lines of [http://en.wikipedia.org Wikipedia], but only registered users can edit the text.
  
 
<big>'''If you want further advice'''</big>
 
<big>'''If you want further advice'''</big>
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If you do not find the answer to your question here, or if you want advice on which you can legally rely, you may instruct James Kessler KC or other members of his chambers to advise.  See [[How to instruct James Kessler KC]].
 
If you do not find the answer to your question here, or if you want advice on which you can legally rely, you may instruct James Kessler KC or other members of his chambers to advise.  See [[How to instruct James Kessler KC]].
  
−
<big>'''Archive editions'''</big>
+
<big>'''Old editions archive'''</big>
  
 
There are [[archive editions]] for years since 2003/04.  These will be useful to investigate the tax position in earlier years, but the current edition will generally be the best starting point, as that has been written in the light of current HMRC guidance, and further thought and research.  
 
There are [[archive editions]] for years since 2003/04.  These will be useful to investigate the tax position in earlier years, but the current edition will generally be the best starting point, as that has been written in the light of current HMRC guidance, and further thought and research.  
Line 417: Line 448:
 
For multiple user licences, or to install on a firm's intranet, [mailto:[email protected]?Subject=TFD%20contact%20publisher%20request%20multiple%20user%20licences contact the publishers].
 
For multiple user licences, or to install on a firm's intranet, [mailto:[email protected]?Subject=TFD%20contact%20publisher%20request%20multiple%20user%20licences contact the publishers].
  
−
<big>'''Technical notes'''</big>
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<big>'''Resource Archive'''</big>  
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TFD online is a [http://en.wikipedia.org/wiki/Wiki Wiki] on the lines of [http://en.wikipedia.org Wikipedia], but only registered users can edit the text.
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<big>'''TFD Resource Archive'''</big>  
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To access the TFD reference material, click here: [[TFD Resource Archive]]
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To access material referenced in PCT, click here: [[PCT Resource Archive]]

Latest revision as of 08:25, 20 April 2026

James Kessler's Private Client Taxation aims to set out a comprehensive discussion of private client taxation. Discussion includes:

  1. Income Tax, CGT and IHT on individuals and trusts
  2. The territorial limits of UK tax (now based on residence, situs and source)
  3. Other topics arising in this context, including tax avoidance, disclosure and compliance

This is a wide subject, or set of subjects, but in taxation, as in life, everything is connected.

PCT Online is the successor to Taxation of Non-Residents and Foreign Domiciliaries. The reforms of the FA 2025, which one might summarise as the abolition of domicile, required a new title. But the approach of this work is unaltered.

Contents

Update

Introduction
Dedication
Mobile Individuals Policy & Avoidance
1 Mobile Individuals: Tax Policy
2 Tax Avoidance
3 Targeted Anti-Avoidance Rules (TAARs)
Residence
4 Residence of Individuals
5 Residence of Trustees
6 Residence of Companies
7 Treaty-Residence
8 Split Years
9 Temporary Non-residence
10 Exit Taxes
11 UK Arrival or Departure: Tax Checklist
Income Tax: Principles
12 Income and its Categorisation
13 Source/Territorial Principles
14 Income Recognition: Receive/Entitled/Arise/Paid
FIG Relief: TRF & Former Remittance Basis
15 FIG Relief & Overseas Workday Relief
16 Temporary Repatriation Facility
17 The Remittance Basis
18 Remittance Reliefs
19 Mixed Funds
Income by Category
20 Trading Income
21 Cessations & Trading Stock
22 Trading in Land
23 Performers
24 Property Income
25 Deduction of interest from Property Income
26 Interest Income
27 Exempt Interest of Non-Residents
28 Accrued Income Profits
29 Deeply Discounted Securities
30 Dividend Income
31 Corporation Tax on Company Distributions
32 Annual Payments
33 Intellectual Property Income
34 Misc Sweep-Up Income
Employment Income
35 Employment Income
36 Travel Expenses name
37 PAYE
38 Disguised Remuneration/Trading Income
39 Employment Income: DT Relief
40 Benefit in Kind: Family Home and Chattels
41 Loans from Companies
IT: General
42 Discretionary Trusts: Income Tax
43 IIP Trusts: Income Tax
44 Rates of Income Tax/CGT/CT
45 Personal Allowances
46 Non-Resident Income Tax Relief
47 National Insurance Contributions
IT Avoidance Codes
48 Settlor-interested Trust Code
49 Transfer of Assets Abroad: Introduction
50 Transfer of Assets Abroad: Transferors
51 Transfer of Assets Abroad: Benefits
52 Transfer of Assets Abroad: Relief from Overlapping Charges
53 Transfer of Assets Abroad: Motive Defence
54 Pre-2025 Protected Trust Income
55 Profit Fragmentation
56 Transfer of Income Streams
57 Transactions in Securities
Capital Gains Tax
58 Chargeable Gains
59 UK Property Held by Non-Residents
60 Hold-over Relief
61 Liquidation of Companies
62 Reorganisations
63 Residential Property: CGT
64 Gains of Non-Resident Settlor-Interested Trusts: s.86
65 Capital Payments from Non-Resident Trusts: s.87 Code
66 Borrowing by Non-Resident Trust: Sch 4B
67 Sub-Funds
68 Gains of Non-Resident Companies
69 Capital Losses
Funds
70 Funds: Terms & Concepts
71 Offshore Income Gains
72 Income from Offshore Funds
73 Unit Trusts & Transparent Funds
74 Life Policies and Contracts
75 Intermediated Securities
Investment Management
76 Investment Manager Exemptions
77 Carried Interest/Investment Management Fees: Introduction
78 Carried Interest
79 Investment Management Fees
Inheritance Tax
80 IHT Terms and Concepts
81 Normal Expenditure Relief
82 Excluded Property: Definition
83 Excluded Property Exemptions
84 Wills and IOVs
85 Reservation of Benefit
86 Inter-Trust Transfers: IHT
87 IHT Treatment of Debts
88 IHT Close-Company Code
89 IHT Residential-Property Code
90 Pre-Owned Assets
Partnerships
91 Partnerships
92 Partnership Income: Allocation
93 Salaried Members Code
94 Partnerships CGT
Entities
95 Settlement, Bare Trust, and Associated Terminology
96 Estates of Deceased Persons: CGT
97 Estates of Deceased Persons: Income Tax
98 Foreign Entities
99 Hybrid Entities
Pensions & Employment Benefit Trusts
100 Pension and Annuity Income
101 Employer-Financed Retirement Benefits Scheme
102 Pension IHT
Topics affecting more than one tax
103 Non-Resident Spouse
104 Joint Accounts
105 Foreign Currency Issues
106 Cryptoassets
107 Unremittable Assets
108 ATED and SDLT
109 Who is the Settlor?
110 Multiple Settlors
111 Statutory Tax Indemnities
112 Situs of Assets for IHT
113 Situs of Assets for CGT
114 Control Connected Close and Related Expressions
115 Participation, % Investment & Material Interest Tests
116 Permanent Establishment
Double Taxation Agreements: IT/CGT
117 Double Taxation Arrangements: Introduction
118 DTA Anti-abuse Rules
119 Third Party Relief/Savings Clause
120 Limitation on Benefits
121Credit for Foreign Tax
122 Non-discrimination
123 Mutual Agreement Procedure
Double Taxation Agreements: IHT
124 IHT Double Taxation Treaties: Introduction
125 IHT DTAs: India, Pakistan, Italy, France
126 IHT DTA: South Africa
127 IHT DTA: USA
128 IHT DTA: Netherlands
129 IHT DTA: Switzerland
130 Credit for Foreign IHT
Administration
131 Reporting and Compliance
132 Tax Return Filing Position
133 Claims
134 Collection of IT/CGT from UK Representatives
135 Collection of Tax Across Borders
136 Reporting and Compliance: IHT
137 Penalties
138 Failure to Prevent Tax Evasion
139 Reporting Offshore Trusts
140 International Movement of Capital: Reports
CRS & Money Laundering
141 Common Reporting Standard
142 Trust Registration (TRS)
143 Customer Due Diligence
144 Money Laundering: POCA


Appendices
Words & Concepts
Appendix 1 Words of Dispute
Appendix 2 Common Legal Expressions
Appendix 3 Family Terminology
Appendix 4 Share/Security Terminology
Appendix 5 Consideration, Arm's Length, Full Value
Appendix 6 Commercial/View to Profit
Appendix 7 Beneficial Ownership/Entitlement
Appendix 8 Domicile
Statutory Construction
Appendix 9 Construction of Tax Statutes
Appendix 10 Substance and Reality
Appendix 11 Deeming Provisions
Special Taxpayers
Appendix 12 Parliamentarians
Appendix 13 Visiting Forces
Appendix 14 Diplomats
Appendix 15 Sovereign Immunity
Appendix 16 Students and Teachers
Appendix 17 Continental Shelf
Tax Reform
Appendix 18 How to Improve Private Client Taxation
Appendix 19 Reform of Offshore Anti-Avoidance Law
Appendix 20 Citizenship-based Taxation
Appendix 21 The Wisdom of Parliament



2026/27 edition

The 2026/27 edition of Kessler on Private Client Taxation is now online. It has been substantially updated for the FA 2026 and other developments since last year, and online publication of chapters remaining to be updated will be phased in over the next few weeks.

To access PCT online, you will need an online licence. To obtain this, go to the publishers website or email [email protected] Licences for previous editions are not valid for the current edition.

If you are an academic, student or other non-tax practitioner who wants access for research purposes, contact James Kessler

How to login

Most of this site requires you to login. You may purchase a single or multiple user licence: To obtain these contact the publishers.

Without logging in, you can access:

Introduction
Chapter 1 Mobile Individuals: Tax Policy
Chapter 2 Tax Avoidance

You enter this site once you have registered and logged in by clicking on the index on the left, or you can search the text.

You need to register for the current edition. Registration for an earlier edition is no longer valid.

Comments please

Users can also contribute to the text and if you can add anything, or spot anything that needs to be corrected, please do! A copy of the next edition of the book will be given to the user who makes the most edits. User contributions are reviewed by Rebecca Sheldon. PCT online is a Wiki on the lines of Wikipedia, but only registered users can edit the text.

If you want further advice

If you do not find the answer to your question here, or if you want advice on which you can legally rely, you may instruct James Kessler KC or other members of his chambers to advise. See How to instruct James Kessler KC.

Old editions archive

There are archive editions for years since 2003/04. These will be useful to investigate the tax position in earlier years, but the current edition will generally be the best starting point, as that has been written in the light of current HMRC guidance, and further thought and research.

Contact

If you have technical problems, or problems logging in, click here

To contact James Kessler KC click here

To contact Rebecca Sheldon, who reviews online contributions, click here

For multiple user licences, or to install on a firm's intranet, contact the publishers.

Resource Archive

To access material referenced in PCT, click here: PCT Resource Archive

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