Aussie resident and placement, but UK agency.

[pechnatunk]

Hi,
I'm an Australian citizen who's been in the UK a year and a half - freelancing as a sole trader through C0nsort, the last 6 months.
I'll be returning soon but have just been offered a possible year long contract in Sydney through my London agency.
I have an ABN in Australia and I'm wondering whether the same law exists about sole-traders not using agencies.
(I've searched for a similar forum for Australian tax to no avail.)
I would really like to cut out one of the "middle-men".

Is there any other advice you can give me for this situation? Is there dual taxation? I'm quite at a loss.
Thanks.

[stek]

Aussie resident and placement, but UK agency.

What visa are you on?

[northernladuk]

Agents won't deal with as a sole trader as I believe they would be liable to pay your taxes if you default. Also you have problems with being seen as an employee so might turn round and demand employee rights and so on..

This page spells it out well..

Contractors rarely operate as sole traders

another nice article from the company of one our well known posters

Sole traders and recruitment agencies

and some advice from a load of gimps on some half baked forum... Note Mal's post as it actually mentions some of the laws associated

http://forums.contractoruk.com/accou...la-ltd-co.html

[pechnatunk]

Hi,
Thanks.
I'm in my last month of a Tier 5 Youth Mobility visa. Though this shouldn't be an issue, as I'm returning to Australia (my country of residence) to do the work.
I'm aware of the limitations of working as a sole trader in the UK - I should have been clearer - C0nsort is effectively an Umbrella company, though all they do is invoice the agency - I have to do all other tax matters.

AFAIK - In Australia there is no such thing as an Umbrella company and to be classed as a company I believe you have to have a minimum number of employees.
Otherwise you are simply a Small Business. Please correct me if I'm wrong.
So I'm wondering if I will effectively be a foreign business invoicing a UK company.
Or,
Northernladuk - Are you saying nothing changes - I'll just be an "Umbrella Employee/UK Ltd Company working offshore?
In which case won't this mean I will have to pay UK tax AND Australian tax?

Thanks again - I really wish I could find a business tax forum like this for Australian tax - but it seems it doesn't exist.

[rambaugh]

Hi,


Thanks again - I really wish I could find a business tax forum like this for Australian tax - but it seems it doesn't exist.

Check out whirlpool forums (for e.g. http://forums.whirlpool.net.au/archive/1875948). They discuss a range of contractor topics specific to Oz.

[pechnatunk]

Excellent - thanks for that.

[Andy Hallett]

Lesters are our biggest brolly supplier in Australia, they have been there years and get good feedback from our teams there.

[BlasterBates]

So I'm wondering if I will effectively be a foreign business invoicing a UK company.

Yes you will.

The Australian tax authorities will expect you to pay tax.