The word or phrase domicile refers to housing that someone is living in, or (law) the residence where you have your permanent home or principal establishment. Domicile refers to the place you call home permanently.Your domicile is important for legal purposes such as paying taxes, voting, and claiming benefits. Domicile is primarily a state of mind that a certain place is your permanent home. It is a mental attachment that you carry around with you. The meaning of DOMICILE is a dwelling place : place of residence : home. How to use domicile in a sentence.