THE ADDRESS Magazine No.20 | Page 319

Gibraltar Residency Compelling Advantages from a Tax Perspective By Andrew Hosking, Fiduciary Wealth C lients looking for a new address from a tax perspective would do well to consider Gibraltar. Less flamboyant than Monaco, less exotic than the Caribbean, Panama or Malaysia; Gibraltar provides a unique opportunity for expatriates to retain a British way of life in terms of language, law and culture, without the weather, yet still live within the EU and be less than two and half hours flying time from London. Whilst the tax benefits of moving residency depend under what scheme an individual is entering, the fact that there is no inheritance tax, no CGT, no wealth tax, no VAT, no tax on savings interest, no tax on dividends arising www.theaddressmagazine.com from companies quoted on a recognised Stock Exchange, and pension income in drawdown can be limited to a flat rate of 2.5% within a Gibraltar QROPS or QNUPS the advantages of obtaining Gibraltar residency can be clearly significant. There are two distinct routes for obtaining individual residency. Category 2 For entrepreneurs with net wealth in excess of £2million there is a special category of residency called Category 2 where tax on worldwide income is capped at an £80,000 threshold with a minimum of £22,000 and maximum £28,360 tax to pay. 325