Unpaid Invoice LTD Company - Norwegian Tax

[BlasterBates]

We've been through this many times. If you work in a European country you are subject to tax from day one regardkess of whether this is through your UK Ltd, and regardless of whon your contract is with. Obviously if you are below the tax threshold there's no point going after you. Apparently 3 months is a watershed, which sparks them into action.

I dare say the Norwegian authorities have decided to clamp down on contractors as they have all over Europe.

I've seen lots of postings about working in Norway so now it's on the Norwegian taxman's radar. At least they're going after the agency, that sounds preferable to an interview in the local jail.

[computerbarry]

Thanks Sue
Haven't looked at the dunning process yet but will certainly have a look.

Some good information and advice here today, thank all.
I'll see how things go this week and get back with possible updates on the situation.

Best, CB
ps. love the signature Sue

[computerbarry]

If you work in a European country you are subject to tax from day one regardless of whether this is through your UK Ltd,

Correct BlasterBates, but only as a contractor for that limited company. I will be paying what I owe, I just ask to pay it at the end of the year like I have done for years after all my expenses and correct payments have been worked out by my accountant.

[BlasterBates]

Correct BlasterBates, but only as a contractor for that limited company. I will be paying what I owe, I just ask to pay it at the end of the year like I have done for years after all my expenses and correct payments have been worked out by my accountant.

Not always sometimes they want it up front. Depends on the usual complucated rules. You need to check up. It is possible the agency is being held reponsible if you don't pay. You might be a Ltd but they might view you as a temporary employee.

THe other thing is you're not registered as a company in Norway, from what I understand. To be a bonafide business I would have thought your Ltd would have to be registered.

Does need an expert accountant in Norway to help you out.

[computerbarry]

I would have thought your Ltd would have to be registered.

Well, with the all the excitement of working in Norway and my first few invoices getting payed without problems this kind of slipped my mind... paying for it now. Only at the end do I realise the problems this is causing. This is needed along with a norwegian bank account to fill in what they call a 'application for exemption form'.

Anyway, just spoken with the agency and will give them the benefit of the doubt until the they have spoken with the correct people at the end of the week.

Thanks.

[computerbarry]

There we have it. Confirmation today that they will not be paying my invoice because all the tax has been taken by the authorities. Still nothing in writing everything has be discussed verbally. I've been told I need to contact the norwegian tax asap and try and get a fast track tax return.

The agreement between myself/ltd company and the uk company was that my invoice would be paid in full. I explained this from the start and explained I would not be going to Norway unless this happened. All my profits just taken.

The conversation on the telephone consisted of her using lots of big words and talking down to me now, trying to make it sound like they're doing me a favour. Surely I have some legal grounds between us for non-payment.

As I said, I've had no explanation of what I've breached in the contract and no explanation in writing why they haven't paid me.

[Scratch It]

Im confused, are you expecting an expert in norwegian tax law to turn up? Pay a norwegian tax lawyer or accountant. Were you seriously expecting to not pay tax?

[computerbarry]

Frustrated more than anything. I've come here to share the outcome like I said I would in a previous post, though thanks for the concern Scratch It.

Were you seriously expecting to not pay tax?

Not at all. I just ask that my invoice be paid and I pay my taxes at the end of the year, quite simple really. Instead my latest payment/invoice has been totally wiped out. As I said above, this was not the agreement I had with the UK company.

CB

[SueEllen]

Computerbarry if you look through your contract there is likely to be a clause where you have to indemnify them for tax that a relevant authority chases them for.

Whether there is such a clause or not you need to get written confirmation the agency has done this. If they refuse to put it in writing chase them for the money as you will need to pay it.

You will also need to sort your NI payments out.

And don't keep coming back and moaning just do it.

[computerbarry]

Cool. Thank you.

This seems the only place to share the pain. Thats what the forums are for no.
And yes there are some clauses in the contract that was referenced in our conversation, but nothing in writing as yet.

I've been doing it all week, and last week.

Anyway, thanks again all, hopefully I'll get a better outcome in the coming weeks.

Best,
CB