Draft legislation on the statutory residence test is still eagerly awaited but no firm publication date has been given. With the rules due to come into effect in April 2013, the Government has re-assured taxpayers and advisers that it will be published in plenty of time for them to scrutinise the legislation and the detail of the policy in advance of implementation.
The Government has announced that it will abolish ordinary residence for tax purposes, from April 2013. A knock-on effect of this could be that non doms, with offshore structures, coming to the UK for the first time, are caught by certain income tax anti-avoidance provisions earlier than they might previously have been. The way in which the particular anti-avoidance provisions - commonly know as the 'transfer of assets abroad' provisions - work is, however, also under review as they are considered by the EU to breach aspects of European legislation.