HELP ... Advice on PAYE & N.I. from my Swiss registered company - I reside in the UK

**Zoiderman** · 5 October 2011, 09:23

Originally posted by future View Post

Hello all

I have been advised to post my question on this forum via a post I have recently created over on englishforum.ch by one of there users and my question / advise required is:

I am a joint share holder and Director of a company located in Zurich, Switzerland which I share with my Swiss national business partner.

Whilst our (GmbH) factory facilities are located in Switzerland I actually reside full time in the UK working remote.

Our company which was originally setup as a side line business was established 4 years ago and as of January 2011 I started taking a monthly salary (monies from the previous 3 years have been invested back into the business).

The Swiss authorities require details of my salary payment and our accountant in Switzerland has requested me to fill in an E101 form. I have read through this form and it does not appear to be applicable to my circumstances as I am employed by my company on a fixed salary plus and do not live in CH nor am I self employed which the E101 is applicable to.

As I am now taking salary etc Iwill need to pay UK Tax Return plus N.I. contributions.

I have spoken with various accountants in the UK but none have been able to advise me on the best way forwards with my situation so can anybody help advise me my best way forwards or put me in contact with an accountant whom can best advise/service me.

I do not have a personal bank account in CH but our business solely does. The company is not registered in the UK in any form if this helps clarify our operating setup.

Thanks in advance for your assistance

Best regards,
Mark

It's not something that can be answered here, unfortunately, as there are many things to consider; are you resident here, or on secondment? Do you have a home in Switzerland, or one here, or one in both? The best thing you can do, is to call HMRC and discuss it with them, otherwise you could end up being liable for tax in both countries. If you are seconded to work in France from a UK company, I know you pay your income tax there, and your NI here. It's very likely to be different in other countries.

HTH

**BlasterBates** · 5 October 2011, 10:23

Originally posted by future View Post

Hello all

I have been advised to post my question on this forum via a post I have recently created over on englishforum.ch by one of there users and my question / advise required is:

I am a joint share holder and Director of a company located in Zurich, Switzerland which I share with my Swiss national business partner.

Whilst our (GmbH) factory facilities are located in Switzerland I actually reside full time in the UK working remote.

Our company which was originally setup as a side line business was established 4 years ago and as of January 2011 I started taking a monthly salary (monies from the previous 3 years have been invested back into the business).

The Swiss authorities require details of my salary payment and our accountant in Switzerland has requested me to fill in an E101 form. I have read through this form and it does not appear to be applicable to my circumstances as I am employed by my company on a fixed salary plus and do not live in CH nor am I self employed which the E101 is applicable to.

As I am now taking salary etc Iwill need to pay UK Tax Return plus N.I. contributions.

I have spoken with various accountants in the UK but none have been able to advise me on the best way forwards with my situation so can anybody help advise me my best way forwards or put me in contact with an accountant whom can best advise/service me.

I do not have a personal bank account in CH but our business solely does. The company is not registered in the UK in any form if this helps clarify our operating setup.

Thanks in advance for your assistance

Best regards,
Mark

This is the wrong way to do things. You're working in the UK so you should be employed by a UK co.

You need to employ yourself as a UK employee in a UK based company. Your Swiss co needs to setup a branch in the UK, alternatively setup a Ltd in the UK and bill the Swiss Co.

Not quite sure how you get out of this one, because it's all wrong.

Better get a UK and a Swiss accountant to sort it all out, you'll need both of them.

I expect there will be a lot of confusion when your sorting this out. You will have to straighten things out with the Swiss authorities, i.e. you're not there and you've never been there, otherwise you'll get a tax bill. As a Swiss employee they will assume you have been there.

I think in principle you can sort it out because if you can prove you've not worked in Switzerland they won't tax you. The fact though that you're a Swiss employee, means you have the obligation to prove that to them, rather than it being automatic.

**NotAllThere** · 5 October 2011, 10:37

Notwithstanding that I'd operate via a ltdco in the UK, if you register with HMRC as self-employed, this might cover all the bases...

but you'll have to do that today to pick up the 01.2011 to 04.2011 income:

You must register at the latest by 5 October after the end of the tax year for which you need a tax return.

otherwise you could end up being liable for tax in both countries.

This is not really a problem due to the double taxation treaty. You'll pay only the maximum due - i.e. the UK rates. It might be split across the two countries, but I don't really think it should, as BB says.

HELP ... Advice on PAYE & N.I. from my Swiss registered company - I reside in the UK