Clore (Deceased) (No. 2), Official Solicitor v Clore and Others

Ch D [1984] STC 609

An individual had been born in the UK in 1904, He left the UK in February 1977 and left the UK was and was accepted by the Inland Revenue as being non-resident and not ordinarily resident in the UK for tax purposes.  He owned properties in France and Israel, and in 1978, acquired an apartment in Monaco. He established a Jersey trust in 1979, and died in London five months later. The Inland Revenue claimed that capital transfer tax (the predecessor of Inheritance Tax) was due on his estate outside the UK, and on the assets of the settlement, on the basis that he was still domiciled in England when he made the settlement and at his death.  An appeal was made by the deceased’s estate.

It was held that on the evidence that the deceased's father had been domiciled in England when he was born, so his domicile of origin was England.  He had not sufficiently broken his ties with the UK to established a domicile of choice elsewhere and therefore retained his English domicile of origin.