Should a peer's UK tax status affect his position in the House of Lords? Samantha Morgan and Philip Munro investigate
A by-product of recent tabloid media attention on Lord Laidlaw's private life has been the focus on his continued status as a member of the House of Lords while he remains resident outside the UK for tax purposes. The question as to the extent to which a non-resident or non-domiciliary should be able to remain a peer is of interest both because there are presently two Private Members' Bills before Parliament looking to limit the scope for a non-resident to participate in Parliament, and also because of recent changes to the meaning of residency for UK tax purposes and to the UK regime for the taxation of resident non-domiciliaries.
Residence is a concept central to the UK tax regime—a UK resident individual will be subject to income tax on his UK source income; to capital gains tax (CGT) on his UK source gains; and to inheritance tax (IHT) on his UK situated assets. To the extent that that individual is also
