Remote working

[dhrubo]

Hi,

Just wondering if anyone here has experience of working remotely for a UK based company whilst living abroad.

My wife has a job in Brunei and I will be living there under a dependent visa. My current company has offered to keep me on as a contractor so I was wondering if anyone is in a similar situations and what the tax implications are in Brunei working remotely.

Thanks,
Dhrubo

[northernladuk]

I'd guess you'd bill the gross amount and then pay the local taxes as you tend to get taxed where the work is done. What is the tax situation in Brunei? I'd guess Google is your friend here. Can you work in Brunei on that visa even?

Is there an ex-pats forum for that area that would be better than a UK forum? I know NAT quotes a Swiss ex-pats forum where it's much more useful to ask 'What's it like in Switzerland' type questions? That said with a population around half a million I'd guess there aren't that many ex-pats there

EDIT : well blow me down with feather.

http://www.expatfocus.com/expatriate-brunei-taxation

[mrv]

Hi,

Just wondering if anyone here has experience of working remotely for a UK based company whilst living abroad.

My wife has a job in Brunei and I will be living there under a dependent visa. My current company has offered to keep me on as a contractor so I was wondering if anyone is in a similar situations and what the tax implications are in Brunei working remotely.

Check the double taxation treaty between UK and Brunei if there's one, it will shed some light. Generally speaking, if you work for UK company and get paid in UK bank account Brunei might not even find out.

[Lance]

Brunei might not even find out.

That implies bad things if they do find out.
Best to know what the risks are before taking this sort of suggestion. I wouldn't fancy 2 months of porridge at the courtesy of the Sultan of Brunei.

[northernladyuk]

That implies bad things if they do find out.
Best to know what the risks are before taking this sort of suggestion. I wouldn't fancy 2 months of porridge at the courtesy of the Sultan of Brunei.

Depends if he throws in a Sultana.

[BlasterBates]

The tax implications are that it is income in Brunei because that is where your office is. The fact that you are remote working means they're not going stumble across an invoice in the UK. However, if you're registered in Brunei then you may just flagged up on the computer as having no income and this may trigger a routine enquiry as to whether you have any income and that is the point you will wish you'd done it all legally. That of course maybe an unlikely scenario but would be highly unpleasant if it did happen. The other point is, I can't see any arguments for not making this legit other than the perceived "hassle". I would have thought it would be straight forward to get an accountant to sort it out for you. I suspect it wouldn't cost very much.

[northernladyuk]

http://tradingeconomics.com/brunei/p...ncome-tax-rate

Brunei Personal Income Tax Rate 2004-2017 | Data | Chart | Calendar
The Personal Income Tax Rate in Brunei stands at 0 percent. Personal Income Tax Rate in Brunei averaged 0.00 percent from 2004 until 2016, reaching an all time high of 0.00 percent in 2005 and a record low of 0.00 percent in 2005.

If your visa allows you to work in Brunei, then best find a way to pay 0% income tax in Brunei, where you will be physically located when doing the work. I guess you need to find a payroll solution.