THE AMOUNT of income tax paid by non-doms has risen by a fifth since the credit crunch, up 19 per cent to £6.8bn since 2008-9.
Law firm Pinsent Masons shows that the tax take from people who are not domiciled in the UK has risen in each fiscal year since the crash, up until 2011-12, the last year for which there is data.
The amount collected went up by eight per cent from 2010-11’s £6.3bn. Non-doms pay taxes on UK earnings, but only pay tax on income from abroad if they bring a portion to the UK.
“They have huge spending power, invest in UK businesses and create thousands of jobs in the UK. They can’t do this if they aren’t here so the Treasury needs to be careful that they don’t kill the golden goose” said Jason Collins, Pinsent Masons’ head of tax.
In comparison, the £30,000 annual levy on non-doms that have been in the country more than seven years only raised £178m in the same year, just 2.6 per cent of what was raised in income tax.