Domicile
Reviewed by The legal concept of a person's 'permanent home' — the country they treat as their principal and permanent residence — used in tax and inheritance law.
Domicile is the legal concept of a person's 'permanent home': the country or jurisdiction they treat as their principal and permanent place of residence and to which they intend to return. Domicile is not the same as citizenship or actual whereabouts and plays a key role in tax and inheritance law, especially in common-law countries.
A distinction is drawn between domicile of origin, which a person acquires at birth, and domicile of choice, acquired by moving to another jurisdiction with the intention of settling there permanently. Changing domicile is harder than simply relocating: it requires a settled intention to make the new country one's permanent home.
The concept underlies special tax regimes — for example the 'non-domiciled' (non-dom) status in some countries, under which foreign income is taxed on particular terms. Domicile is therefore usually analysed together with tax residency when planning international living.
FAQ
Does acquiring a second citizenship or residence permit change my domicile?
Not by itself. A passport or residence card records a legal status, while domicile reflects where you intend your permanent home to be and is judged on the facts of your life. A change is assessed on the whole picture, not on a new status alone.
How is domicile different from tax residency?
Tax residency is decided for a defined period, usually by days spent and ties to the country, whereas domicile reflects a long-term attachment to a permanent home. You can be tax resident in one country while remaining domiciled in another.
Can a person hold two domiciles at once?
Under the classic doctrine, no: you have one domicile at any given moment, and the existing one persists until a new domicile of choice is acquired. That is why shedding a domicile is harder than changing tax residency.
Why does domicile matter for estate planning?
In several countries, particularly common-law ones, inheritance or estate tax exposure and the succession rules that apply follow the domicile of the deceased rather than their citizenship. Holding a second passport does not change that analysis on its own.
What evidence supports a change of domicile?
Authorities look at the overall pattern: a permanent home, where family and business are based, length of stay, the severing of former ties and the intention to remain. The burden of proof normally sits with the individual, and the tests differ by jurisdiction.