It is understood work on the Budget measure was delegated to Deputy Prime Minister Oliver Dowden to carry out with the Chancellor.
Rishi Sunak was recused from policy talks on the scrapping of the non-dom tax status previously enjoyed by his wife in order to avoid a potential conflict of interest.
Work on the measure was delegated to Deputy Prime Minister Oliver Dowden to carry out with the Chancellor, it is understood.
Jeremy Hunt announced in the spring Budget that the status for wealthy overseas UK residents would be abolished, putting the £2.7 billion a year raised as a result towards tax cuts.
The move will be seen as a bid to pile pressure on Labour, for which the measure was a long-held pledge and key plank of party policy.
A Number 10 spokesperson said: “There are established processes whereby arrangements can be put in place to mitigate against potential or perceived conflicts of interest.
“The Prime Minister was recused from all policy development and was only sighted on the policy once final decisions had been taken.”
Non-dom status allows foreign nationals who live in the UK, but are officially domiciled overseas, to avoid paying UK tax on their overseas income or capital gains.
Mr Sunak’s wife, Akshata Murty, has previously enjoyed non-dom status.
She declared she would pay UK taxes on all her worldwide income following controversy over the arrangement.
The current regime will be replaced with new rules from April 2025 so that those with the “broadest shoulders” pay more, Mr Hunt announced on Wednesday.
From 2025, new arrivals to the UK will not pay any tax on foreign income and gains for their first four years of residency, but those who continue to live in Britain after that will pay the same tax as other UK residents.
The move causes a headache for Labour, which has long backed removing the status and said it would use the money to help fund the NHS and schools.
