Britain Considers Imposing ‘Exit Tax’ on Those Moving Investments to Dubai
London: The government is considering an ‘exit tax’ for millionaires who withdraw investments from Britain and invest in other countries.
The British government has a budget deficit of Rs 2.40 lakh crore.
Accordingly, the government is exploring measures to generate revenue for the exchequer in various ways.
Accordingly, many of the millionaires who have invested in real estate and bank deposits in Britain are planning to relocate their investments to Dubai, which offers many benefits.
Following this, reports indicate that the British government is considering imposing an ‘exit tax’, including an investment gain tax on the sale of assets.
Many European countries already charge an exit tax.
In particular, 1,300 crore rupees have been collected as exit tax in France from 2012 to 2017. Henry and Partners predicts that 67,000 global millionaires will relocate their investments to Dubai this year.
It is said that 10,000 of them are planning to withdraw investments from Britain. The company’s research has stated that Dubai is the top investment choice of the super rich.
There is no tax on personal income, investment gains, inheritance, gifts and immovable property. As a result, they are shifting their assets and deposits in other tax-enforced countries to Dubai.
Knowing this, Britain is said to be planning to impose an exit tax, to partially prevent outflows or collect a portion of the amount as tax.
67,000 global millionaires from various countries are planning to shift their investments to Dubai this year, according to a study.