Domicile is different to a person's place of residence or nationality. In the UK, when someone dies, domicile will be a key factor in assessing the extent of their estate's liability to UK Inheritance Tax (IHT).Domicile is intended to be permanent rather than temporary, whereas residence means living in a particular locality and requires mere physical presence. There are three main types of domicile: domicile of origin, domicile of dependence and domicile of choice. You may also be 'deemed UK domiciled', Domicile is where you plan to have your permanent home. It is the place you eventually intend to return to if you reside in another place for a short time.