New guidance on domicile and IHT issued

HM Revenue & Customs have issued a Brief to agents in which they announce a change to a wider risk-based approach when deciding whether to investigate an individual’s domicile and whether to make a determination of inheritance tax (IHT) based on that. In future, HMRC will consider opening an enquiry where domicile could be an issue, or making a determination of IHT in such cases, only where there is a significant risk of loss of UK tax.