A $13 billion property mogul is the latest to flee Britain’s new taxes for Monaco, a warning sign as California votes on a billionaire tax
Source: Fortune ·
David Reuben's move to Monaco follows a wave of departures since the U.K. scrapped its non-dom regime—and offers a preview of the fight California voters are deciding with Proposition 40.
From the source
Monaco has long been a tax haven for London’s ultrawealthy seeking to shield their fortunes from the UK Treasury. This summer, David Reuben, the 88-year-old property magnate who shares second place on the Sunday Times Rich List with his brother Simon, left his Holland Park home for the principality, a spokesman for the brothers recently confirmed. The Times first reported the move. The brothers were reported to have been non-doms, a status that let them pay U.K. tax only on income earned or brought into the U.K. That was until Britain abolished it last year—a change that also brought long-term residents’ worldwide assets within reach of Britain’s 40% inheritance tax. Monaco, meanwhile, levies no income, capital gains, or inheritance tax. The brothers’ combined fortune is estimated at almost £28 billion, and Bloomberg’s Billionaires Index values David Reuben alone at $13.1 billion. Across the globe, a similar drama is playing out in California. Britain’s exodus follows a tax regime…