Multinationals 'not ready' for new non-dom rules

News Article - 21 October 2008
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Multinational companies have not factored the new tax regulations for non-domiciled individuals (non-doms) into their business plans, according to a study.

A survey by KPMG of HR professionals who deal with international assignments found that many had no solid policies to deal with issues coming from the new rules.

It was also revealed that a majority of the respondents would not change their assignment selection procedures as a result of the changes.

KPMG's director of international executive services in the UK, Sarah Robert, warned that "it is not good policy to have no policy".

She continued: "No clear guidance tends to result in subjective decisions being made on issues arising with different employees.

"Such decisions are usually inconsistent and this often leads to employee discontent."

The new tax rules involved a £30,000 annual charge for non-dom residents who have been in the UK for more than seven years and do not want to pay standard British tax.

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