A quick Q to our German resident friends...

[Mordac]

How long does one have to be in a contract in Germany before having to register for personal tax etc. I'm considering an open ended contract and I need to know where I stand before I can quote a rate. I opened up at a suggested 800 Euros and not an eyelid was batted, maybe I can blame Brexit and whack another 20% on top?

[northernladuk]

When you wake up you won't remember anything about it so don't worry.

[BlasterBates]

How long does one have to be in a contract in Germany before having to register for personal tax etc. I'm considering an open ended contract and I need to know where I stand before I can quote a rate. I opened up at a suggested 800 Euros and not an eyelid was batted, maybe I can blame Brexit and whack another 20% on top?

You are subject to tax from day one. There is no point in running through your Ltd and no advantage whatsoever in trying to avoid tax, because the tax rates on a short term contract are in any case low, i.e. you will have a tax free allowance. If you are in Germany less than 6 months you will not have to include any UK income in your tax return for the purpose of calculating tax rates- If you are longer than 6 months it gets more complicated.

In Germany you simply bill in your own name, don't set up a company, this of course makes it very simple.

I would advise getting an accountant in Germany. Ask a few colleagues when you get there. They will register you for VAT (or not) as the case may be and submit your tax return.

You could also enquire about management companies in the UK that do this for you.

In the UK you then submit your German tax return and HMRC will take tax paid into account.

[sasguru]

How long does one have to be in a contract in Germany before having to register for personal tax etc. I'm considering an open ended contract and I need to know where I stand before I can quote a rate. I opened up at a suggested 800 Euros and not an eyelid was batted, maybe I can blame Brexit and whack another 20% on top?

So you get 50 Euro and the agent 750? Not bad at all. Well done.
Fantasist.

[Mordac]

When you wake up you won't remember anything about it so don't worry.

If I am ever in need of deep inspirational answers, I'll hit you with a PM.

[OwlHoot]

How long does one have to be in a contract in Germany before having to register for personal tax etc. ..

Six months, cobber, tax free and VAT you can claim and keep, but then you have to hoof it back to Aussie land!

an Aussie

[Mordac]

You are subject to tax from day one. There is no point in running through your Ltd and no advantage whatsoever in trying to avoid tax, because the tax rates on a short term contract are in any case low, i.e. you will have a tax free allowance. If you are in Germany less than 6 months you will not have to include any UK income in your tax return for the purpose of calculating tax rates- If you are longer than 6 months it gets more complicated.

In Germany you simply bill in your own name, don't set up a company, this of course makes it very simple.

I would advise getting an accountant in Germany. Ask a few colleagues when you get there. They will register you for VAT (or not) as the case may be and submit your tax return.

You could also enquire about management companies in the UK that do this for you.

In the UK you then submit your German tax return and HMRC will take tax paid into account.

Thanks, that's very helpful, especially as it may run over the 6 months. The other thorny question is should I ask for payment in sterling or euro? They have given me the option, and I'm not sure why.

[northernladuk]

This help at all?

http://forums.contractoruk.com/busin...m-p85-nhs.html

[Mordac]

Six months, cobber, tax free and VAT you can claim and keep, but then you have to hoof it back to Aussie land!

an Aussie

Bloody hell, everyone's on the juice today. Kinda feel like I'm missing out...

[OwlHoot]

Bloody hell, everyone's on the juice today. Kinda feel like I'm missing out...

Clientco celebration lunch, don'tcha know, to celebrate a milestone delivery.