UK Non-Dom / FIG Regime Calculator

The UK non-dom regime is gone — here is what replaced it

For more than 200 years the United Kingdom taxed “non-doms” — UK residents whose permanent home (domicile) was abroad — on a special remittance basis. They paid UK tax on their UK income and gains, but their foreign income and gains were only taxed if the money was brought into the UK. On 6 April 2025 that system was abolished. In its place sits a modern, residence-based Foreign Income and Gains (FIG) regime that keys entirely off how long you have — and have not — been UK tax resident. This non dom tax calculator models the new rules so a wealthy new arrival can see, in seconds, whether they qualify and what the relief is worth.

The headline is simple and generous: if you have been non-UK resident for at least 10 consecutive tax years, then for your first 4 years of UK residence you can elect to pay no UK tax at all on qualifying foreign income and foreign gains — and, unlike the old remittance basis, you can even bring that money into the UK tax-free. There is no £30,000 or £60,000 annual charge. But the window is short, the claim is not automatic, and claiming it costs you your UK personal allowance and capital gains exemption for the year. For high-net-worth individuals the maths almost always favours claiming — but the value depends on the size and mix of your foreign income and gains.

Who the FIG regime affects

The FIG regime is deliberately blind to nationality and domicile. It is aimed at internationally mobile wealth, and the people it most affects are precisely the cross-border clients Jungle Tax serves:

• New arrivals to the UK — entrepreneurs, executives, investors and their families relocating from the US, the Gulf, Asia or Europe who have been outside the UK for a decade or more.
• Returning British expatriates who genuinely broke UK residence for 10+ years and are moving home — they qualify on exactly the same terms as first-time arrivals.
• Globally diversified investors holding overseas portfolios, offshore funds, foreign rental property and interests in non-UK trusts.
• Owners of overseas businesses drawing dividends and realising gains from companies incorporated outside the UK.

For these clients the four FIG years are a rare planning window: a period in which latent foreign gains can be crystallised, offshore income distributed, and estates restructured before worldwide UK taxation — and, from April 2025, worldwide UK inheritance tax — takes hold.

How the FIG regime works

Three tests decide whether you can claim, and each year is assessed on its own facts:

1. The 10-year residence test

You must have been non-UK resident, under the Statutory Residence Test, for at least 10 consecutive tax years immediately before the year you claim. A single UK-resident year inside that decade breaks the qualifying condition.

2. The 4-year window

Relief is available only for your first four consecutive tax years of UK residence. The clock starts the moment you become UK resident and runs continuously — it does not pause if you leave and return, so unused years are simply lost.

3. The annual claim and its cost

FIG relief is claimed each year on your Self Assessment tax return. You must quantify the foreign income and gains you are designating. In any year you claim, you forfeit your income tax personal allowance (£12,570) and your CGT annual exempt amount (£3,000). Because those allowances are modest relative to the tax on large foreign income and gains, claiming is usually worthwhile — but the calculator above shows you the exact trade-off for your numbers.

Old remittance basis vs new FIG regime

How this calculator estimates your saving

The tool compares two scenarios on your own figures. In the normal scenario your foreign income is stacked on top of any UK income and taxed at 2025/26 rates of 20%, 40% and 45%, and your foreign gains are taxed at 18% or 24% depending on how much of your basic-rate band remains, after the £3,000 annual exemption. In the FIG scenario the foreign income and gains you elect to claim are removed from charge entirely, but your personal allowance and CGT exemption are set to zero for the year. The difference between the two total tax figures is your estimated saving. We deliberately keep the model transparent rather than perfectly precise: Scottish taxpayers, dividend and savings nil-rate bands, treaty reliefs and residential-property gains at 24% can all shift the true number.

Because the FIG window is only four years long and the claim mechanics are unforgiving, the value of getting this right is enormous. A single well-timed disposal of appreciated foreign assets, or the repatriation of accumulated offshore income, can save hundreds of thousands of pounds — but only if it falls inside your qualifying years and is claimed correctly. That is where specialist, dual-qualified advice pays for itself many times over.

The cross-border angle: don’t plan the UK in isolation

The FIG regime is powerful, but it is only one side of the ledger. Income and gains that escape UK tax may still be taxable in your home country — and for US citizens, who are taxed on worldwide income regardless of residence, a UK exemption does nothing to remove the US charge. Foreign tax credits, treaty tie-breakers and the timing of disposals all have to be coordinated across two or more tax systems simultaneously. Jungle Tax specialises in exactly this: aligning UK residence planning with US and other overseas obligations so that relief on one side is not simply handed back on the other. Use the calculator to frame the opportunity, then let our team pressure-test it against your full international picture before you act.