Gaines-Cooper Loses Tax Residency Appeal

by Robin Pilgrim, LawAndTax-News.com, London

30 October 2008

The British-born businessman Robert Gaines-Cooper has failed to convince Court of Appeal judges in London that he is non-domiciled for tax purposes in a key case concerning tax residency.

He now faces a multimillion-pound tax bill, as the judges in the case could not be persuaded that he had severed ties with the UK, despite his arguments that the Seychelles had been his home for the last 30 years.

The original 2006 judgement had ruled that Gaines-Cooper never abandoned his domicile of birth - England, something he still strongly denies.

Over the past 30 years Gaines-Cooper has set up businesses in countries such as Canada, the US, Singapore and Cyprus. Despite his globe-trotting, the court considered his well-maintained house and 27-acre country estate, along with his social life and recurrent visits, enough to justify calling England his home.

The ruling leaves Gaines-Cooper with a huge tax demand for the years 1993-2004.

The judge dismissed the appeal as “nothing more than an illegitimate attempt to reargue the facts”. However, a judgment is still awaited from a separate judicial review that took place last month.

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