Brussels contract quick Q

[xara]

On a fairly brief contract in Brussels (no more than six months, more likely three), paying about 450-500€ per day, not having a UK limited company any longer (but being UK resident) and seeking to do the thing 100% legit, am I correct in concluding from the monster Brussels taxation thread that I am basically going to be taxed minimum 50%, possibly a bit more into the bargain?

Would the expenses of renting a place and some limited travel to the UK etc. be offset at all?

Thanks.

[redgiant]

On a fairly brief contract in Brussels (no more than six months, more likely three), paying about 450-500€ per day, not having a UK limited company any longer (but being UK resident) and seeking to do the thing 100% legit, am I correct in concluding from the monster Brussels taxation thread that I am basically going to be taxed minimum 50%, possibly a bit more into the bargain?

Would the expenses of renting a place and some limited travel to the UK etc. be offset at all?

Thanks.

I was going to take a contract in Brussels earlier this year and was told by a tax advisor that you would only be liable to pay Belgium tax if you worked over there for more than six months. After that time you will be liable for Belgium tax and would need to claim back the UK tax under double taxation - HM Revenue & Customs: Double Taxation Agreements, Tax Information Exchange Agreements and Social Security Treaties

So your expenses can be claimed in the same way as you do over in the UK. If you are going to go via an umbrella rather than your own LTD. you can ask them their opinion as well as the agency you are going through (if you are).

Hope this helps...

[xara]

I was going to take a contract in Brussels earlier this year and was told by a tax advisor that you would only be liable to pay Belgium tax if you worked over there for more than six months. After that time you will be liable for Belgium tax and would need to claim back the UK tax under double taxation - HM Revenue & Customs: Double Taxation Agreements, Tax Information Exchange Agreements and Social Security Treaties

So your expenses can be claimed in the same way as you do over in the UK. If you are going to go via an umbrella rather than your own LTD. you can ask them their opinion as well as the agency you are going through (if you are).

Hope this helps...

Thanks for that -- did you get any indication of your likely % retention?

[redgiant]

Thanks for that -- did you get any indication of your likely % retention?

I didn’t work out how much the retention % was after the Belgium tax comes into effect. It was only a 6 month contract so was going to make the decision closer to the time if it was worth staying on with them longer than the initial contract.

[xara]

Hmm, just reading through the monster thread on contracting in Brussels, combined with the fact that I no longer have a limited company, looks like I might not keep very much out of 500 a day. Plus get manacled to the Belgian social security system.

[LisaContractorUmbrella]

Your contract is less than 183 days and therefore you can continue to pay tax in the UK; the cost of accommodation can be expensed if you are maintaining a property in the UK whilst you are working overseas

[redgiant]

Your contract is less than 183 days and therefore you can continue to pay tax in the UK; the cost of accommodation can be expensed if you are maintaining a property in the UK whilst you are working overseas

This matches what I have been told.

[scot]

This matches what I have been told.

Exactly what I did, I had an umbrella (DJ COlom & Co) and submitted expenses each month. Was no problem, great place to work.