Call to scrap inheritance tax for expats

Call to scrap inheritance tax for expats who cannot vote.
Expat group demands the tax break from when Britons abroad lose their right to vote in UK elections.

Expats are calling for inheritance tax to be scrapped after more than 15 years of living overseas if voting rights are also lost.
Under the current rules, any British citizen who has lived outside the country for 15 years then loses their right to vote in general elections. This is currently being legally challenged by a number of expats.
In the latest twist to the debate, a major expat group is calling for inheritance tax liabilities to be given up after 15 years to level the playing field.
Christopher Chantrey, of the British Community Committee of France, said expats still contribute to British society despite not physically being there and deserve the tax break.
He said: “Expats abroad contribute a vast amount of income to the UK economy. This can be in the form of frequent visits to the UK, where they have to stay somewhere, eat, travel etc. Many expats purchase goods and services online from abroad, including shopping, pensions, insurance, groceries and cars.”

The Government’s argument for scrapping voting rights is that an expat is out of touch with UK politics after 15 years overseas. Expats argue their assets should also be out of touch from the Government after the same period.
If you are domiciled in the UK inheritance tax is charged on all your assets, wherever they are situated across the world. But if you are domiciled abroad, then inheritance tax only applies to your UK assets.
There is a flat rate of 40 per cent charged on assets above a £325,000 threshold per person. This can be reduced slightly if you donate some of your estate to charity.
Andrew Hume, a British expat living in Asia, said: “It is a strong argument that if one loses their right to vote after 15 years, then they should lose their inheritance tax liabilities. Expats are already given a raw deal when it comes to frozen state pensions so this would be a welcome move by the Government.”
Many European nations allow their citizens to vote regardless of how many years they have lived outside their home country.
Mr Chantrey added: “Take Poland, for example – 60 million Poles, of whom 40 million live in Poland and 20 million live abroad. All of them can vote in Polish national elections, wherever they live, provided they are of voting age. That is why we see huge queues of Poles outside the Polish Embassy in London on Polish election days.”

Source; Telegraph