Rishi Sunak’s wife Akshata Murty claim of UK non-dom status shines light on US citizenship tax

<p>April 9, 2022 - Participants Include:</p> <p>Diane Gelon - <a href='mailto:Diane@DianeGelon.com'>Diane@DianeGelon.com</a></p> <p>John Richardson - <a href='https://www.twitter.com/expatriationlaw'>@ExpatriationLaw</a></p> <p>In the 21st Century The Most Interesting Thing About A Person Is His Tax Residency!</p> <p>The recent story of the Uk Chancellor Of The Exchequer <a href='https://en.wikipedia.org/wiki/Rishi_Sunak'>Rishi Sunak</a> and his wife <a href='https://en.wikipedia.org/wiki/Akshata_Murty'>Akshata Murty</a> are evidence of this. The last week has featured story after story describing the how Ms. Murty was legally able to elect UK "don-dom status" to avoid paying UK tax on income sourced outside the UK. Apparently the claim of entitlement to her non-dom status is based on the fact that she is a citizen of India and not a British citizen (and that she eventually plans to return to India). Predictably this has led to outrage - <a href='https://www.dailymail.co.uk/news/article-10698981/Rishi-turns-Boris-awful-leaks-non-dom-wife-Akshata-Murtys-tax-arrangements.html'>described here</a> - from the general public.</p> <p>The difficulties were compounded by the revelation that both Rishi Sunak and Askshata Murty are reported to have been US tax residents because they had Green Cards. Although it is not clear when the Green Cards were abandoned, it appears that Rishi Sunak held a Green Card when after his UK political career began.</p> <p>I have attempted to identify and describe a number of the issues in the following twitter thread:</p> <p><a href='https://threadreaderapp.com/thread/1512035483919998981.html'>https://threadreaderapp.com/thread/1512035483919998981.html</a></p> <p>In this podcast I am again joined by UK based US lawyer Diane Gelon. In this episode we discuss:</p> <p>- how the non-dom regime works and how it can benefit people (include US citizens) who wish to immigrate to the UK</p> <p>- how and where Ms. Murty's non UK income might be taxed under the rules of international tax</p> <p>- the ef