Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Sajid Javid: 'Question marks' over health secretary's claim to non-dom status, tax experts say

Sajid Javid: 'Question marks' over health secretary's claim to non-dom status, tax experts say

The health secretary reportedly held non-domiciled status for six years between 2000 and 2006, which would mean not having to pay UK taxes on his overseas earnings.

There are "question marks" around the validity of Sajid Javid’s claim to "non-dom" status, according to tax experts.

The health secretary previously told The Sunday Times he had held non-domiciled status for six years between 2000 and 2006, which would mean not having to pay UK taxes on his overseas earnings.

He said he was entitled to this because his father was born in Pakistan and said he gave up that status in 2009, before he was elected to parliament.

But this is only one of several tests an individual needs to pass to claim the tax benefit.

People with non-dom status are those who live in the UK and are tax residents here but have their permanent home outside the country.

Usually their domicile will be the country that their father considered their permanent home when they were born, and to which they intend to eventually return.

They must demonstrate to HM Revenue and Customs (HMRC) that their domicile is in another country.

Tax experts said that for Mr Javid's claim be valid his father would have had to have been domiciled in Pakistan at the time the health secretary was born.

Ray McCann, a tax consultant and former HMRC inspector, told Sky News it was typically only those who are very wealthy who become aware that they can claim non-dom status to save on tax.

He said he would have been "astonished" if Mr Javid's father had claimed it given how much has been said about his modest background.

He said it is hard to know the circumstances without the health secretary sharing the information but there were some areas that are "not free from doubt".

"There are some question marks," he said.

Dan Neidle, former head of tax at Clifford Chance, the law firm, also said he found it "surprising" that Mr Javid's father would have had non-dom status when he was born.

"For most immigrants in this country, there's a point where it becomes clear they're not going back, and at that point they acquire a domicile of choice which is the UK," he told Sky News.

He said it does not seem "particularly credible" that Mr Sajid was able to assert that his long-term future was not in the UK given that he spent most of his life in the country.

"It looks like quite a surprising and racy position," he said, adding that "we can't be sure without seeing the facts".

Nimesh Shah, chief executive at Blick Rothenberg, an accountancy firm, also questioned whether Mr Javid had sufficient personal links to another country to justify the claim.

"This is where my scepticism comes in: Sajid Javid has lived in the UK pretty much all his life," he said.

In 2006, Mr Javid moved to Singapore and was therefore no longer a tax resident, which changed when he returned in 2009, saying he "proactively chose" to give up his non-dom status.

Mr Shah pointed out that in 2009 the government introduced a fee of £30,000 for those claiming non-dom tax status, which had previously been free.

"It seems overly coincidental that he decided to declare himself as now UK domiciled in the same year, or around the same time that the government introduced this flat charge," he said, adding that there seemed to be a "little chink" in how Mr Javid was framing the decision.

Mr McCann said that, from his perspective as a former HMRC inspector, Mr Sajid's case appeared to be "borderline" by today's standards, but at the time there was less scrutiny of such claims.

He thinks that the health secretary could have used his time spent in Singapore and travelling in the US as an investment banker to express "uncertainty" about where he would spend the rest of his life, and that could have been sufficient.

Mr Javid declined to comment.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Elon Musk Unveils Grokipedia: An AI-Driven Alternative to Wikipedia
Russia’s President Putin Declares Burevestnik Nuclear Cruise Missile Ready for Deployment
US Administration Under President Donald Trump Reportedly Lifts Ban on Ukraine’s Use of Storm Shadow Missiles Against Russia
White House Announces No Imminent Summit Between Trump and Putin
China Presses Netherlands to “properly” Resolve the Nexperia Seizure as Supply Chain Risks Grow
Merz Attacks Migrants, Sparks Uproar, and Refuses to Apologize: “Ask Your Daughters”
Apple Challenges EU Digital Markets Act Crackdown in Landmark Court Battle
Shouting Match at the White House: 'Trump Cursed, Threw Maps, and Told Zelensky – "Putin Will Destroy You"'
‘No Kings’ Protests Inflate Numbers — But History Shows Nations Collapse Without Strong Executive Power
"The Tsunami Is Coming, and It’s Massive": The World’s Richest Man Unveils a New AI Vision
EU Moves to Use Frozen Russian Assets to Buy U.S. Weapons for Ukraine
Europe Emerges as the Biggest Casualty in U.S.-China Rare Earth Rivalry
“Firepower” Promised for Ukraine as NATO Ministers Meet — But U.S. Tomahawks Remain Undecided
The Sydney Sweeney and Jeans Storm: “The Outcome Surpassed Our Wildest Dreams”
Dutch Government Seizes Chipmaker After U.S. Presses for Removal of Chinese CEO
AI and Cybersecurity at Forefront as GITEX Global 2025 Kicks Off in Dubai
Ex-Microsoft Engineer Confirms Famous Windows XP Key Was Leaked Corporate License, Not a Hack
Hungarian Prime Minister Viktor Orbán stated that Hungary will not adopt the euro because the European Union is falling apart.
Mayor in western Germany in intensive care after stabbing
Australian government pays Deloitte nearly half a million dollars for a report built on fabricated quotes, fake citations, and AI-generated nonsense.
BYD’s UK Sales Soar Nearly Nine-Fold, Making Britain Its Biggest Market Outside China
Latvia to Bar Tourist and Occasional Buses to Russia and Belarus Until 2026
Wave of Complaints Against Apple Over iPhone 17 Pro’s Scratch Sensitivity
Munich Airport Reopens After Second Drone Shutdown
Pro Europe and Anti-War Babiš Poised to Return to Power After Czech Parliamentary Vote
Sean ‘Diddy’ Combs Sentenced to Fifty Months in Prison Following Prostitution Conviction
Altman Says GPT-5 Already Outpaces Him, Warns AI Could Automate 40% of Work
Russian Research Vessel 'Yantar' Tracked Mapping Europe’s Subsea Cables, Raising Security Alarms
Global Cruise Industry Posts Dramatic Comeback with 34.6 Million Passengers in 2024
U.S. Demands Brussels Scrutinize Digital Rules to Prevent Bias Against American Tech
Private Equity’s Fundraising Surge Triggers Concern of European Market Shake-Out
Tokyo’s Jimbōchō Named World’s Coolest Neighbourhood for 2025
European Officials Fear Trump May Shift Blame for Ukraine War onto EU
The Personality Rights Challenge in India’s AI Era
Italy Considers Freezing Retirement Age at 67 to Avert Scheduled Hike
Italian City to Impose Tax on Visiting Dogs Starting in 2026
Study Finds No Safe Level of Alcohol for Dementia Risk
Trump Says Ukraine Can Fully Restore Borders with NATO Backing
Europe Signals Stronger Support for Taiwan at Major Taipei Defence Show
Germany Weighs Excluding France from Key European Fighter Jet Programme
Cyberattack Disrupts Check-in and Boarding Systems at Major European Airports
Björn Borg Breaks Silence: Memoir Reveals Addiction, Shame and Cancer Battle
When Extremism Hijacks Idealism: How the Baader-Meinhof Gang Emerged and Fell
JWST Data Brings TRAPPIST-1e Closer to Earth-Like Habitability
Trump Orders $100,000 Fee on H-1B Visas and Launches ‘Gold Card’ Immigration Pathway
France’s Looming Budget Crisis and Political Fracture Raise Fears of Becoming Europe’s “Sick Man”
Three Russian MiG-31 Jets Breach Estonian Airspace in ‘Unprecedentedly Brazen’ NATO Incident
European manufacturers against ban on polluting cars: "The industry may collapse"
Turkish car manufacturer Togg Enters German Market with 5-Star Electric Sedan and SUV to Challenge European EV Brands
Christian Brueckner Released from German Prison after Serving Unrelated Sentence
×