Dual residency created reporting obligations in both jurisdictions, and several existing holdings carried unfavourable treatment for a UK-resident investor.
The problem
Offshore funds without reporting status were exposing the client to income-rate tax on gains rather than capital gains treatment.
What we did
- Reviewed every holding for reporting status and treaty treatment
- Replaced non-reporting funds with compliant equivalents
- Structured currency exposure against actual spending needs
- Coordinated with tax advisers in both jurisdictions
- Introduced consolidated cross-border reporting
Outcome
Effective tax on portfolio returns materially reduced, with clean reporting in both countries.