House of Lords (Members’ Taxation Status) Bill [HL]

I thank the noble Lord for that, and I accept what he says. However, I then understood him to say that taxation status was dependent on domicile. That is the whole argument that I am on about; taxation and domicile are not related except in so far as the Treasury is the body that controls this. Now, whatever your domicile, if you are ordinarily resident here you are liable for a British tax on whatever assets or income you have anywhere in the world. People are given an option as to whether they choose to pay a lump sum or on their total worldwide income, but none of that has anything to do with you needing to change your domicile. The Government have covered the taxation issue with tax law, not by saying that everyone must change their domicile. I find that strange. The question of deeming was raised. I do not have any problem with the point about deeming. I am ordinarily a resident here, but when I die I would be deemed resident even if I had not been here for so many years, and inheritance tax applies to worldwide income on death. Australia has a double-taxation agreement with the UK, which would mean that if I paid death duties in Australia they would give me relief on them here. Australia has no death duties, however, and I wish it was the same here. Unfortunately, there is no prospect of that happening.