Akshata Murthy, which receives about £ 11.5 million in annual dividends from its stake in Indian IT company Infosys, declares non-dom status, a system that allows people to avoid taxing foreign profits. Murthy, the daughter of billionaire Infosys founder, owns a 0.93% stake in the tech company worth about 90 690 million. The company’s most recent accounts suggest that Murthy’s share would have generated 11 11.6 million in dividend payments in the last tax year. Under UK tax law, Murthy being a non-resident would mean that she would not have to pay dividend tax on foreign companies. Infosys is headquartered in Bengaluru, India and is listed on the Indian and New York Stock Exchanges. In contrast, UK taxpayers pay a 38.1% tax on dividend payments. A Murthy spokeswoman said: “Akshata Murthy is a citizen of India, her country of birth and her parents’ home. India does not allow its citizens to have the citizenship of another country at the same time. Thus, under British law, Ms Murthy is treated as a non-resident for UK tax purposes. “It will always continue to pay taxes in the United Kingdom on all of its British income.” The Ministry of Finance declined to comment. It comes a day after it was revealed that Sunak and Mercy had donated more than 100 100,000 to the chancellor’s old private school, Winchester College. It is understood that Sunak, the chancellor, declared his wife’s tax status to the Cabinet when she became a minister in 2018, while he had also informed the Ministry of Finance “to manage any possible conflicts”. Tulip Siddiq, the shadow finance minister at the Treasury, said: “The chancellor has imposed a tax increase after a tax increase on the British people. It is shocking that – at the same time – his family could benefit from tax cuts. This is another example of Tories who believe it is one rule for them and another for everyone else. “Risi Sunak now has to explain urgently how much he and his family have saved in their own tax bill at the same time as he was taxing millions of working families and choosing to leave 2. 2,620 a year in a worse situation.” Under current law, Murthy will automatically be considered a resident after living in the UK for 15 years. Mercy, who married Sunak in 2009 shortly after they met while studying for a master’s degree in business administration at Stanford University in Silicon Valley, moved to the United Kingdom in 2015. The non-resident status, first introduced by King George III in 1799, is legal and can be used to avoid paying tax in the UK on foreign rental income and bank interest, as well as foreign dividends. Non-domes can live in the UK all year round. The revelation of Mercy’s tax system comes as Sunak’s popularity with voters plunges into his handling of the cost-of-living crisis. Sunak’s net worth fell 24 points from just before its March 23 announcement to minus 29, according to a YouGov poll. It’s the lowest poll ever for the chancellor and puts his support below that of Labor leader Sir Keir Starmer (minus 25) for the first time since taking office. In his spring statement last month, Sunak raised the tax burden on British taxpayers to the highest level since the 1940s, even as the population faces the greatest pressure on living standards ever recorded. The Resolution Foundation think tank suggested that the Sunak package would push 1.3 million people, including 500,000 children, into poverty. Murthy had previously been accused of receiving “blood money” dividends from the continued operation of Infosys in Russia despite the invasion of Ukraine. Following growing pressure, the company announced last week that it was closing its Russia office “urgently”. Sunak, who has repeatedly called on British companies to leave Russia to “inflict maximum financial pain” on Putin’s regime, declined to comment on his wife’s 0.93% stake in Infosys. Murthy, whose family business is estimated to be worth about ,5 3.5 billion, took advantage of the valuable tax system only in April 2020 – two months after her husband took over taxes for the country, according to two well-known people . financial arrangements.
