A new tax regime for Asset Holding Companies (QAHCs) has been proposed by the government, allowing the UK to compete with non UK jurisdictions (principally Luxembourg) as a tax efficient host for such structures. The policy objective is to create a structure that will take advantage of the UK’s extensive double tax treaty network whilst ensuring that returns on investments do not suffer further tax as they are passed up through the structure.

The regime aims to both support the UK funds industry and encourage UK holding when commercially viable, for example, when the investment manager is based in the UK. This is an exciting opportunity for the UK funds industry to both expand and enhance its offering on the world stage.

Please do not hesitate to get in touch if you would like any detailed, one-to-one advice about the QAHC regime. Our tax specialists can be contacted at AadilM@wiltongroup.com, TheunisB@wiltongroup.com or taxationservices@wiltongroup.com.