Due to the unexpected announcement of a snap General Election (held on 8 June 2017), the number of provisions in the Finance Bill 2017 was drastically reduced. On April 27, 2017, only a relatively limited number of measures were enacted into law.
Certain draft provisions that impact globally mobile employees were notably omitted from the legislation. They include the introduction of a deemed domicile status for all tax purposes from April 6, 2017, together with the opportunity for many non-domiciled individuals to ‘tidy up’ their offshore bank accounts. While the broad expectation is that these measures will be re-introduced shortly (with the same commencement dates and in substantially the same form) once a new Government has been formed, this is not certain, as it will be a matter for that new Government to decide. In the meantime, these omissions extend what has already been a prolonged period of uncertainty for many globally mobile employees and their employers.
However, not all measures which impact globally mobile employees have been omitted; the Finance Act still includes, among other things, measures reforming the taxation of foreign pension schemes.
© 2007 - 2017 PwC. PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details.