It's an attractive proposition and there are plenty of TV programmes and magazines on the subject. And while there is no doubt that waking up to sunshine and mild temperatures is attractive, we also need to keep an eye on finances.

That means more than "Can I afford this notion?" but also needs to cover "What are the tax implications of retiring abroad?"

I know — boring! Well I am afraid that's my job in life. To point out to readers and clients the grim realities of life and the implications of what can seem a lovely idea.

This whole subject of ex-pat income tax and inheritance tax was raised recently by the wealth managers and IHT planners the WAY Group.

They point out that by 2010 the UK will have about 12 million pensioners. And almost 10% of them are predicted to leave the UK to live abroad.

The WAY Group's Paul Wilcox points out that "whatever your age and wherever you're going, it's vitally important that the issue of inheritance tax planning is addressed before you leave the country".

I would have to agree with that comment. Both inheritance tax and income tax could become a pain for you if you don't get them right. I am not only talking about UK taxes either — you must take into account the tax regime of the country to which you are moving.

Leaving the UK to live does not necessarily mean getting free from the UK tax system. However, equally important to remember is that you are moving to another country — so will become liable under its tax laws.

Some countries have very unpleasant inheritance tax regimes when applied to ex-pats (people who have moved from another country).

For example, France and Spain have some very nasty rules. On the other hand, Cyprus has no inheritance tax at all, which is good. However, Cyprus does have restrictive laws on the disposal of assets after death.

Where do you go for help on all of this? Well you can take advice from your UK accountant or tax adviser. You can surf the web. You can read the myriad of buying abroad magazines and books.

Or you can take advice from a tax adviser in the new country — one with good English but credentials meaning they know the rules over there.

My suggestion would be that you do most of these and make your decisions having taken an overview of all you hear.

You might wonder why I suggest you take advice from a variety of sources. Simple — the first advice might be wrong! I spend my days telling people that what someone has told them is a load of rubbish. What is worrying is that the person doling out the duff advice is frequently a solicitor, banker, accountant or public servant. So be cynical — ask the questions and note down the answers, but check elsewhere for agreement on those answers.

I myself know very little about the tax regimes in other countries — the UK gives me enough hassle to be going on with. However there is a great deal of advice out there, especially if you make an effort.

Probably the people I would have most concern about are those wanting to help you buy property abroad. Recently there was an event in Belfast promoting property in Germany.

There was massive publicity about it offering Northern Ireland investors the chance to invest with no capital gains tax. Without taking the people up on their offer I presume what they had to offer might have been free of CGT in Germany. However, any person living here who buys and sells property abroad will have to deal with UK CGT. The fact that they leave the money abroad does not get them off the hook either.

So be wary of tax-free offers. Regard them as you would a free lunch — there's virtually no such thing.

And if, having done your tax homework, you decide on retirement abroad, I hope it is a long, warm, hassle-free and prosperous one.

Adrian Huston, a former tax inspector, is a director of Belfast tax and accountancy firm Huston & Co £ www.hustontax.com or (028) 9080-6080.