Working abroad?

[Sloter]

Hi,

 

An opportunity has arisen for me to work out of the country. It’s out side the EU and I was wondering if anyone knows the script with regards TAX? Some people tell me that you have to work abroad for more than 6 months in any one year to not pay tax others say you have to pay tax no matter what. I was just wondering if anyone had any first person experience of this and if so what the crack is.

Thanks

[Dunkield]

I did it for 3 years and never paid a dime, tax or ni

 

First thing to do is get good advice, not from the bloke down the pub, someone who knows what they are on about! ExPat Tax were the company I used they will tell you the ways to do it.

 

You either, pay tax locally (in the country you are working in) , so you don't have to pay it here, or you stay out of the country for most of the year, and that starts at the begining of the tax year, so the clock is already ticking. I think it is 9 months, but check that don't take my word for it.

 

There are scams of course, but they all have risks associated with them that would depend on where you are going. Most people you will meet are there for a reason, normally re-building their lives after divorce and shoving the money into an offshore account so the ex can't get her hands on it!!

Edited May 2, 2006 by stuartp

[Sloter]

Most people you will meet are there for a reason, normally re-building their lives after divorce and shoving the mony into an offshore account so the ex can't get her hands on it!!

 

Do you happen to have a web site or contact number for expat tax xompany at all mate?

[scaffman73]

You have to be working out there for more than six months with in the tax year. Days out the country include traveling days in and out of the uk not haven spent 24 hours on land. You will still pay N.I. but only up to 36 grand thats if your employer is paying you through the uk. If not and your getting payed another way you might have to pay tax to that country, and then try and claim it back. It was only 90 days in the uk in a tax year before ,but make sure you get a good accountant. And theres no rush you can go back a few years at a time.So where are you going and how long for. plus what doing allways on the hunt for work.

[al4x]

hang on if its foreign earned income I don't think you need to declare it especially if its earned outside the UK. A lot of whats above I think applies to money earned in the uk by offshore residents who don't pay any tax if they are only in the uk for less than 6 months a year. Don't quote me on this but best ask an accountant.

[Dunkield]

First thing to do is get good advice, not from the bloke down the pub, someone who knows what they are on about!

 

I should have said, 'or off pigeon watch'

 

Speak to the pros, you don't want to be looking over your shoulder for the next 7 years

[Cranfield]

The best advice is to ring round your local Accountants and find one with the experience you require and make an appointment to see them.

The wrong advice could cost you a lot of money.

[Dunkield]

Very few local accountants will know anything about it, best go to a specialist, the same as setting up a company as a sole trader, I found a few that would give it a go but hadn't done it before - so gave them a miss.