Lord Alan Sugar Tried to Avoid £186 Million Tax Bill by Declaring Himself Non-UK Resident

Background

Lord Alan Sugar, the well-known business mogul and host of The Apprentice, allegedly attempted to avoid a hefty £186 million tax bill by declaring himself a non-UK resident. The move was reportedly aimed at avoiding tax on a £390 million dividend taken from his company in 2021.

Non-UK Residency Claim

According to a Sunday Times investigation, Lord Sugar sought non-residency status by spending less than 91 days in Britain that year. If successful, he could have been liable to pay tax in another jurisdiction.

House of Lords Requirement

However, as a member of the House of Lords, Lord Sugar is automatically considered a UK resident. This meant that he had to pay the full £186 million tax bill to HMRC on the income earned from his holding company, Amshold Group.

Taking Legal Action

In response to the oversight, Lord Sugar has taken legal action against his tax advisers. His spokesperson, Andrew Bloch, emphasized that Lord Sugar has always been a UK tax resident and all his income has been taxed accordingly.

Wealth and Business Ventures

Lord Sugar, with a net worth estimated at £1.21 billion, ranks as the 121st richest person in the UK, according to the Sunday Times Rich List. His wealth is primarily derived from various business ventures, including the founding of Amstrad, a computer and electronics company, in 1968. At its peak, Amstrad was valued at £1.2 billion but was later sold to BSkyB in 2007 for £125 million.

Career Highlights

In addition to The Apprentice, Lord Sugar has made appearances on shows like Who Wants To Be A Millionaire and An Audience with Jeremy Beadle. He also served as the chairman of Tottenham Hotspur from 1991 to 2001.