Will I be taxed or not?

**Brussels Slumdog** · 2 June 2009, 16:31

[QUOTE=ld2009;858810] If I am a company estabilished in a south american country, providing services (software development) for a UK company remotely, and I am receiving my payments in my personal UK bank account that I have opened, will I be taxed in the UK?

I won't be living in the UK, but abroad. My company will be formed abroad. My links with the UK would be my client being a company from here, and that I have a personal bank account opened here, which I'll use to receive payments.

Will I have to pay taxes in the UK for the money that I eventually receive in my UK bank account?

If you have access to the money then its taxable somewhere.
In South America I guess.

Every time I phone my bank in the UK an Indian answers the phone and I asume that this Indian sitting in the call center doesn't pay UK tax on his salary.

Where does your South American company have its Bank account?
Are you a UK tax resident or a South American tax resident?
Does this South American country have a tax treaty with the UK?

**Menelaus** · 2 June 2009, 16:33

[QUOTE=Brussels Slumdog;858959]

Originally posted by ld2009 View Post

If I am a company estabilished in a south american country, providing services (software development) for a UK company remotely, and I am receiving my payments in my personal UK bank account that I have opened, will I be taxed in the UK?

I won't be living in the UK, but abroad. My company will be formed abroad. My links with the UK would be my client being a company from here, and that I have a personal bank account opened here, which I'll use to receive payments.

Will I have to pay taxes in the UK for the money that I eventually receive in my UK bank account?

If you have access to the money then its taxable somewhere.
In South America I guess.

Every time I phone my bank in the UK an Indian answers the phone and I asume that this Indian sitting in the call center doesn't pay UK tax on his salary.

Where does your South American company have its Bank account?
Are you a UK tax resident or a South American tax resident?
Does this South American country have a tax treaty with the UK?

Good question.

Dunno. Might be worthwhile talking to a tax lawyer?

The obvious question is why not have your bank account in the S American country? Naturally, if it's in Colombia expect some MAJOR questions to be asked.

HTH

**ld2009** · 2 June 2009, 16:47

Brussels Slumdog,

- Ltd company in Brazil with a company bank account there in Brazil too;

- I'll be resident in Brazil the whole time;

- I will defintely pay tax in Brazil but what I'd like to avoid is double taxation, that is, I don't want to pay tax again in the UK.

The fact that I'm using my personal bank account in the UK to receive payments will make me pay taxes or be investigated somehow?

Menelaus,

I will have my company bank account there in Brazil. But client would like to avoid sending money to a different county, because of the fees involved.

The UK bank account would be just that, a place to receive payments and I'll transfer it myself to my company account in Brazil.

Do I get taxed in the UK by doing that?

Thanks for the replies

**Brussels Slumdog** · 2 June 2009, 19:42

Its looking beter but check if a Brazil-UK tax treaty exists

[QUOTE=ld2009;858970]Brussels Slumdog,

- Ltd company in Brazil with a company bank account there in Brazil too;

- I'll be resident in Brazil the whole time;

- I will defintely pay tax in Brazil but what I'd like to avoid is double taxation, that is, I don't want to pay tax again in the UK.

The fact that I'm using my personal bank account in the UK to receive payments will make me pay taxes or be investigated somehow?

Menelaus,

I will have my company bank account there in Brazil. But client would like to avoid sending money to a different county, because of the fees involved.

The UK bank account would be just that, a place to receive payments and I'll transfer it myself to my company account in Brazil.

Do I get taxed in the UK by doing that?

I believe that its where you do the work thats important and not where
your money ends up otherwise everyone would have their salary paid in the cayman islands.

Brazil has Double Taxation treaties with a number of other countries, which mean that tax paid in one country can be offset against any tax payable in the other.
The problem is that I can't find a UK-Brazil agreement on the web.
You will need to investigate whether one exists

**FarmerPalmer** · 2 June 2009, 20:53

Originally posted by ld2009 View Post

If I am a company estabilished in a south american country, providing services (software development) for a UK company remotely, and I am receiving my payments in my personal UK bank account that I have opened, will I be taxed in the UK?

I won't be living in the UK, but abroad. My company will be formed abroad. My links with the UK would be my client being a company from here, and that I have a personal bank account opened here, which I'll use to receive payments.

Will I have to pay taxes in the UK for the money that I eventually receive in my UK bank account?

I appreciate any information on this

The payment is made by a UK client company to a UK personal bank account.

I would not want to be the client company or the person doing this.

Any monies should go through a business account, otherwise its personal income. And if it goes into a UK personal account then expect to pay tax on it, and if you don't then HMRC will be gunning for you and client co.

**Moscow Mule** · 2 June 2009, 21:25

Originally posted by FarmerPalmer View Post

And if it goes into a UK personal account then expect to pay tax on it, and if you don't then HMRC will be gunning for you and client co.

IF they find out.

**expat** · 3 June 2009, 07:46

Originally posted by ld2009 View Post

If I am a company estabilished in a south american country, providing services (software development) for a UK company remotely, and I am receiving my payments in my personal UK bank account that I have opened, will I be taxed in the UK?

I won't be living in the UK, but abroad. My company will be formed abroad. My links with the UK would be my client being a company from here, and that I have a personal bank account opened here, which I'll use to receive payments.

Will I have to pay taxes in the UK for the money that I eventually receive in my UK bank account?

I appreciate any information on this

Imagine you were a British Tax Inspector. You see work being done for a company in the UK, and the payment for that going into a personal bank account in the UK.

What would you think?

Will I be taxed or not?