The non-dom system, which dates back to 1799, originally shielded foreign property owners from taxation as the government raised money to fight the Napoleonic wars. Over time, it evolved into a modern tax shelter, allowing the wealthy who live in Britain but are legally considered to have a “permanent home” elsewhere to pay tax only on their UK earnings. Instead of paying taxes like everyone else, they could pay a fixed annual fee — £30,000 for those living in Britain. For seven years out of the past nine years, £60,000 for those there for 12 out of the past 14 years.
