Is it still worthwhile claiming non dom status?

Given the many changes to the tax treatment of non doms after April 2008 you'd be forgiven for wondering whether it's worth still being classed as a non UK domiciliary any more. The requirement to choose between the arising basis and the remittance basis with the implications on the personal allowances and the £30,000 tax charge only apply to non UK domiciliaries. So you could if you wanted to simply complete any tax return on the basis of being UK domiciled. There would then be no question of the remittance basis and you'd be taxed in full on overseas income and gains. This may look tempting particularly if you remit all overseas income and gains anyway. However after April 2008 this misses the point- at least for income tax and CGT. You can opt for the arising basis anyway to avoid the disadvantages of making a remittance basis claim. Plus you'd get the £2,000 exemption and automatic use of the remittance basis if you filed on the basis of non dom status. The big advantage of having non dom status is that it gives you choice - and more choice can only be a good thing. The only real case where filing on the basis of UK domicile could be advantageous would be for inheritance tax purposes - see this article Non doms and inheritance tax - why claiming UK domicile can be beneficial