Working for US company in the UK

[headinghome]

Hello

I'm a British guy who works for a US brewery in the states and married to a US citizen.

We're going to be exporting our beer to the UK soon and my company want me over there to manage it.

How does this work in terms of which tax i pay and general holiday allowance i should receive etc?

Thanks

[jamesbrown]

Hello

I'm a British guy who works for a US brewery in the states and married to a US citizen.

We're going to be exporting our beer to the UK soon and my company want me over there to manage it.

How does this work in terms of which tax i pay and general holiday allowance i should receive etc?

Thanks

This forum is aimed at contractors rather than employees.

That being said, if you're taxed on your US income at source, you'll receive a credit on the foreign tax paid when you become resident in the UK for tax purposes (there's a double tax treaty). If you're taxed as resident in the UK, you'll report your worldwide income to the IRS and claim the Foreign Earned Income Exclusion (~$95k from memory, but note the keyword "earned"). In general, you won't pay more tax than the higher of the marginal rates.

However, be aware that the IRS and HMRC treat certain tax-friendly vehicles very differently (e.g. interest from a tax-free ISA in the UK would be taxed by the IRS). Also be aware that the IRS requires reporting of foreign investments, subject to certain criteria, with potentially enormous penalties for failure to comply. These include the FBAR (reported by June for the previous tax year) and FACTA (returned with your tax return). It's a notoriously complex area, so you're better off getting professional advice (particularly for the years of departure and arrival, where you may be dual status).

[stek]

Hello

I'm a British guy who works for a US brewery in the states and married to a US citizen.

We're going to be exporting our beer to the UK soon and my company want me over there to manage it.

How does this work in terms of which tax i pay and general holiday allowance i should receive etc?

Thanks

Are you planning to take your family? That would need some planning and a hefty visa cost for your missus assuming she's not a dual-national...

[BlasterBates]

If you are to be based in the UK then you need to be employed by a UK company. i.e. you would need to set up a UK subsiduary and employ yourself there.

If you remain employed by the US company you can only make occasional visits, a few days a month I believe. You ought to check that though.

If you're a UK employee you will pay UK tax and then the US IRS may add some tax or not depending on the double taxation treaty.

It is possible to be a UK employee paying UK income tax even though you are primarily a US resident.