WFH (mostly) for a client in Ireland

[nedk87]

Hi all,

I've been offered my first ever contract role, working for a client (via. agency) in Dublin.
Based in Northern Ireland, I'll be WFH for the first few months, then possibly commuting, at least part time, until the end of a 12 month contract.

My head is absolutely melted with the various options:

1. I work for an Irish based Umbrella Director, pay Irish taxes. Retention seems to be around 61%. Submit a tax return to HMRC later in the year.

2. Work for a UK based Umbrella. Retention is 58% after employers NI is paid and I can't claim expenses until my end of year tax return.

3. Set up a Ltd company in either jurisdiction.

Rate is €400/day. Not amazing, but a fair mark up on my current salary.

What might(?) be relevant is that although I'm primarily based in Belfast, I do also have an address and a PPS number in the Republic - but based there for much less than 183 days.

Any advice/experiences would be welcome!

[Lance]

Brexit?
How does the internal market bill affect your ability to work in RoI?

I'd be worried about those as in 2 weeks time you might find you can't work in RoI. The withdrawal agreement would have guaranteed you to be able to, and the 1922 treaty also. But as BoJo and his clowns are tearing up old deals who knows.

[courtg9000]

Where is the client exactly?
If in the north (over the republic border) its the UK. Bill in Sterling. Ir35 is as it would be if you were contracting in London or Long Itchington. What would you do if the contract was in Tidworth? would you do the same in Birmingham if it was the same contract?

[Lance]

Where is the client exactly?

I've been offered my first ever contract role, working for a client (via. agency) in Dublin.

should have gone to specsavers

[nedk87]

Brexit?
How does the internal market bill affect your ability to work in RoI?

I'd be worried about those as in 2 weeks time you might find you can't work in RoI. The withdrawal agreement would have guaranteed you to be able to, and the 1922 treaty also. But as BoJo and his clowns are tearing up old deals who knows.

Maybe optimistic, but I can't see brexit having a material effect on work between NI and ROI. There are just too many cross border workers and contractors for any significant barriers to be put in place.

[Lance]

Maybe optimistic, but I can't see brexit having a material effect on work between NI and ROI. There are just too many cross border workers and contractors for any significant barriers to be put in place.

I agree.
Shame the government appears not to as part of their vanity project.
It's not like you'll be nipping over the border though. You need to get money across the border, and who knows what the rules will be.

Will you need to add 25% tariff? If you do will the client pay extra?
Will you be able to export services at all?
VAT? You don't want to get done for VAT fraud, but you don't know what the rules are yet.

[nedk87]

should have gone to specsavers

Yep, my 'office' will be in Dublin, but with Covid, it's difficult to say when I'll actually be able to work there.

The agent is also based in Dublin and will be paying me in Euro.

[Lance]

Yep, my 'office' will be in Dublin, but with Covid, it's difficult to say when I'll actually be able to work there.

The agent is also based in Dublin and will be paying me in Euro.

I think you want to wait till the end of the month. It should be more clear by then... maybe

[nedk87]

I agree.
Shame the government appears not to as part of their vanity project.
It's not like you'll be nipping over the border though. You need to get money across the border, and who knows what the rules will be.

Will you need to add 25% tariff? If you do will the client pay extra?
Will you be able to export services at all?
VAT? You don't want to get done for VAT fraud, but you don't know what the rules are yet.

The issue of VAT melts my head even further.
If I work under an Irish Umbrella, is this likely ever to be an issue?

[courtg9000]

should have gone to specsavers

Ah I got mixed up. He is based in the North.
Pay Irish tax is my advice.
He has PPS and address in the south.
Do anything on a UK tax return.
The way the UK is going he might want to stay south!

I have business interests in UK and ROI and keep them pretty much seperate. No cross country invoicing these days gets messy. He will probably also not want UK tax authoriities determining an Irish contract. The Irish version of IR35 is due in the 2-3 years according to my chaps in the know.

He needs to be aware that he will likely have border issues and delays as the brexit situation is screwed so driving south will not be as pleasurable as it is today.