‘Government securities’ is a term we use to describe securities issued by the Treasury. These are also known as ‘gilts’. The Treasury can issue, and has issued, securities with the condition that they are exempt from UK taxation so long as they are in the beneficial ownership of persons who are not resident (IHTM13025) in the UK. Securities issued with this condition are known as FOTRA (Free of Tax to Residents Abroad) gilts.

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