This is a question my accountant should answer but because he was so useless I've had to dispense of his services.
I was working in Spain for most of the last financial year and was planning on being non resident in the UK and paying my taxes over there. I would have been taxed at a flat rate of 20% + 4 % NI (or whatever their equivaluent is) - but no expenses are allowable.
On this basis, it would have made financial sense to pay tax in Spain rather than in the UK even if I had deductable expenses in the uk system.
Unfortunately, my contract got cut short and I'm technically resident in the UK again (even though working in the Channel Islands, I've spent more than the allowed 90 days in the UK this year) so I'll be liable to tax for the whole year.
So far I haven't paid tax anywhere this year yet but am thinking about going back to Spain and paying up my 24% on what I earned between April and September. Then I'll have to top this up with a payment to HMRC; how much, I don't know but what I'm thinking is that I can offset ALL my expenses that weren't deductable in Spain against this payment as they are deductable under the UK system thus reducing my burden. Does this sound plausible?
By the way, I need a new accountant who can do a payroll for me every month & do my company accounts + personal tax return all in for a reasonable price.
I was working in Spain for most of the last financial year and was planning on being non resident in the UK and paying my taxes over there. I would have been taxed at a flat rate of 20% + 4 % NI (or whatever their equivaluent is) - but no expenses are allowable.
On this basis, it would have made financial sense to pay tax in Spain rather than in the UK even if I had deductable expenses in the uk system.
Unfortunately, my contract got cut short and I'm technically resident in the UK again (even though working in the Channel Islands, I've spent more than the allowed 90 days in the UK this year) so I'll be liable to tax for the whole year.
So far I haven't paid tax anywhere this year yet but am thinking about going back to Spain and paying up my 24% on what I earned between April and September. Then I'll have to top this up with a payment to HMRC; how much, I don't know but what I'm thinking is that I can offset ALL my expenses that weren't deductable in Spain against this payment as they are deductable under the UK system thus reducing my burden. Does this sound plausible?
By the way, I need a new accountant who can do a payroll for me every month & do my company accounts + personal tax return all in for a reasonable price.
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