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Cameron urges Tory candidate Zac Goldsmith to ditch non-dom status
Paul Waugh, Deputy Political Editor30 Nov 2009
High-profile Tory candidate Zac Goldsmith was facing pressure to end immediately his "non-dom" tax status today as the party struggled to fend off claims that it wants to featherbed the rich.
Millionaire Mr Goldsmith was accused of a "cynical" attempt to avoid taxes after it emerged that he benefited from a device normally used by wealthy foreigners working in Britain.
The environmentalist, who is standing for the Richmond Park constituency at the election, was last night forced to deny that he had "dodged" taxes by using the exemption for "non-domiciled" residents.
Mr Goldsmith, who owns a 300-acre farm in Devon and a £7million home in Richmond, said that he had already decided to relinquish "non-dom" status.
Amid suggestions that his tax status won't change until next year, sources close to David Cameron said the party high command wanted swift action.
One source said: "It is right his status changes and asap." Senior party figures were unaware whether Mr Goldsmith's changes would kick in only when the new tax year begins.
Richmond Park is a key target for the Tories in London.
Mr Goldsmith's tax affairs are embarrassing to the Tories as the party has put great store in its pledge to impose an annual £25,000 levy on non-doms.
Mr Goldsmith, who grew up in Britain, once claimed that his wealth will make him a good MP, saying: "I was born into a position of privilege and am therefore not corruptible."
He inherited a £200million fortune and said he was "non-domiciled" due to his late Anglo-French father Sir James's own tax status. The bulk of his inheritance is said to remain in a Cayman Islands-based family trust.
In a statement, he said it was defamatory to suggest he had "dodged" taxes. He said: "Virtually all my income comes to the UK where I pay full tax on it. I do not derive any benefits as far as capital gains tax or inheritance since I am registered for the latter in the UK.
"Because of my choices, the non-domicile status has delivered few benefits. I have, in any event, decided to relinquish it."
Lib-Dem Treasury spokesman Vince Cable said: "It gives out all the wrong signals. It's quite cynical."
Reader views (16)
This man is a committed environmentalist, as well as a localist, who chose to fight Richmond Park as it was his home seat. I know that he made it into the final primary for the East Hampshire seat, one of the safest Tory seats in the country.
Furthermore, he is a resident for tax purposes in the UK so any suggestions that he has 'dodged' any tax are wrong and lies.
How many MPs have actually dodged tax and are facing trial.
Goldsmith actually chooses to contribute to the nations fast declining coffers even though he is not required to. I will still vote for him, Kramer has been in for 5 years and has done NOTHING for her constituents. Another example of dirty liberal politics. Wish she would put her energy into useful means.
- Charles Arthur, Richmond, London, 01/12/2009 01:49
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A non dom is someone who has signed an official government document (a DOM1 available on the HMRC website) saying that although they are resident here for business reasons they do not regard this country as their homeland and that they shall eventually leave Britain. In what sense is Mr. Goldsmith a fit and proper person to sit in Parliament as the representative of the people of Richmond making decisions that shape the future of this country?
- Paul, London, 30/11/2009 18:24
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I am sacking Zac should be Cameron's riposte. Instead we are likely to have to swallow I I am backing Zac but the voters will decide!
- David Lloyd, Richmond London, 30/11/2009 17:48
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It is time for Cameron and his cronies, including Lord Ashcroft, to come clean about their tax status. I'm sure that a number of Dave's Shadow Cabinet also indulge in Tax avoidance. Not illegal but a bit like swindling the Taxpayer by claiming legitimate but dodgy expenses. It seems wasting Taxpayer's money is bad but cheating the Taxpayer is a Tory Policy.
- Bill Bailey, Basing England, 30/11/2009 16:54
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Just another ordinary guy standing for the Conservatives ? If Cameron wants to win an election, he'd better start finding regular people to become MPs.
- Doug Watt, london (EUSSR)14, 30/11/2009 16:25
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The likes of Goldsmith and Cameron are typical of the Tory PR clique ( it's what the rich do to justify thier existance) who have focaus groups to tell them what to do, and speech writers to tell them what to say. How could they understand the lives of ordinary people? They are pointless windbags who haven't a clue. The Labour party is dead, and the Lib-Dems non existant. We will vote outside parliament.
- Sylvie, Epping Essex, 30/11/2009 16:19
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Since a considerable part of his father's fortune was aquired in mining and forestry I think it obscene that this man lectures others from his ivory private jet.
- Alex C, London, 30/11/2009 16:07
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Mr Goldsmith has spent the last few years arguing for more taxes to be imposed on other people while avoiding them himself. His argument about being a UK tax resident, even though non-domiciled, is irrelevant once you find out that his UK properties are owned offshore to avoid UK CGT and stamp duty.
Unless they get rid of this tax dodger as their candidate, the Tories can forget about my vote at the next election in the Richmond Park seat.
- Ian Smith, Richmond, 30/11/2009 15:58
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Bob,
Being non-domiciled in the UK has little do with residence. Being domiciled doesn't necessarily mean where you was born, as ZG was born in London as it is entirely possible you can claim domicile of a country you have never ever been to! Quite a few bods in the old House of Lords, who had ancestral seats in the UK were non-Doms and you can bet your life that with the numerous first and second generation British in the current House of Lords there are a lot more.
- Mark, South-East London, 30/11/2009 15:24
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I'm just curious as to how exactly you can be involved in UK politics if you technically don't live there?
- Bob, Cheam, 30/11/2009 13:52
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Zach just proves that all change means no change for the Tories. Are they all tax dodgers?
- Steve S, London, 30/11/2009 12:54
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I might be a bit stupid but could someone please explain to me how a person not domiciled in this country can stand for public office and represent the views of the electorate?
- Investment Banker (Uk Tax Payer And Proud Of It), London, 30/11/2009 12:44
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Mr. Zac Goldsmith could not help being born into a rich family. What really matters is what he does with his wealth. His intentions so far has been extremely good. As a voter, I will be in favour of giving him my vote.
- Jo, london.uk, 30/11/2009 12:23
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"Mr Goldsmith's tax affairs are embarrassing to the Tories as the party has put great store in its pledge to impose an annual £25,000 levy on non-doms."
Is this on top of the £ 30k per annum RBC charge that has been with us since April 2008?
- Mark, South-East London, 30/11/2009 11:45
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with £200,000,000 of daddies money he can afford to be an enviromentalist and fly all around the world along with his sister and be a tax exile but dont preach to others about global warming get a proper job and earn your own living then come back, instead of being one of cameron cuties.COME BACK WILLIAM HAIG
- Anon, leicestershire, 30/11/2009 10:32
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Richmond Park voters would be off their heads if they elected Mr. Zach Goldsmith a non-domicile as their MP. Is he a fit and proper person? His father was highly questionable (remember poor Mr David Mellor) and this will I fear the start of more truths.
- Andrew, Notting Hill, London, 30/11/2009 10:13
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