A question of residence

A COMMON TEST for determining the tax residence of trustees for both capital gains tax and income tax purposes with effect from 6 April 2007 was introduced by FA 2006. The new test set out in TCGA 1992 s 69 and TA 1988 s 685E is based on the existing income tax definition.
Under the new test trustees will be treated as UK resident where either (i) all the trustees are resident in the UK or (ii) one or more of the trustees are resident in the UK and one or more are resident outside the UK and the settlor was resident ordinarily resident or domiciled in the UK when the settlement was made or assets added.
However TCGA 1992 s 69(2D) and TA 1988 s 685E(6) go on to provide that a trustee who is not resident in...