HOW can you determine if Britain is your domicile? With Britain's Inland Revenue offering tax breaks for non-British domiciliaries, the question has significance for those planning to live there. And the arcane rules governing domicile (the place considered your home for tax purposes) make finding out a challenge. Hong Kong has thrown up some interesting cases, according to Craig Davidson, a consultant at financial planning company Portfolio and Investment Management Services (PIMS). 'A lot of the complications stem from increasingly mobile expatriates who leave their country of origin either permanently or for lengthy periods,' Mr Davidson said. A person's domicile is determined at birth and is normally the domicile of one's father. It is not necessarily the country of one's birth. Mr Davidson gave the following example of a client who recently approached PIMS wanting to clarify whether or not he was domiciled in Britain. The client's mother was Canadian. His father, while born in Britain, migrated to Canada with his family while still a child. The parents married and migrated to South Africa. The client was born in South Africa and lived there until he was 32 years old. He now lives in Hong Kong but ultimately plans to live in Britain. In this case, the client had almost no contact with Britain and even his father's ties with the country were remote. Nonetheless, he was deemed to be British-domiciled. Mr Davidson said it was important to remember that people could be residents in Britain without being domiciled there. People in this category enjoy tax freedoms because overseas income and capital gains are not liable to British tax, provided money is not remitted to Britain. A good financial adviser, lawyers and accountants can provide answers to people planning to live in Britain on the often unclear domicile issues.