Reply to: Need advice on working in Belgium

[Britspud]

And if you do, don't make my mistake an not deregister at the tax office. But really, NL & BE are balls tax wise. I'd jump, if things have been rough so far, as doc says this IS going to be a nightmare.

Yeah, this for sure. I worked in Belgium for 9 months in 2001, via a UK based agency. Registered at the commune which I was forced to do so I could rent a house without being stiffed by the landlord for surcharges or something which he'd have faced if his tenants weren't registered! Then forgot to de-register at the commune. Four years later, I discovered that the Uk based agents were working for a Belgium based agency who they were invoicing for my work...and that the Belgian authorities had turned them over, found my name on the invoices, found that I was still registered at the commune and sent me a load of nasty letters for tax and TVA (their VAT people) threatening 100% penalties for both aspects, and assuming that I'd earned the same for all 5 years as I had in the first one! The bill was eye watering! Fortunately I was able to prove that I left after 9 months and had declared all my earnings in the UK, which they accepted and closed the case. That was stressful. And it cost me £3000 in fees for a Belgian solicitor/accountant to sort it out for me. Be very careful out there...as said many times on here, the taxes and social security are also eye watering, even without penalties!

[stek]

I would be working from NL 3 days a week - 2 days from London office.
5 days a month from Belgium. Only until April. and i'll be hotel hopping/AirBNB.

With that - I think i should be able to stick to just pay UK taxes.

Why do you think you can work in another country and not pay tax there? EU? Well there'll be a lesson to learn my friend, there is no tax harmonisation in EU (I think saying this), non, nada, nichts, nichego.....

If that was true I'd chose IoM to pay my minimal tax in this year, what can go wrong with an IoM-based tax solution?

[Griff]

A1 or E101

A1 or E101 as it was called earlier should be your main subject to concentrate on.
I worked with my own UK Ltd company in Belgium a few years ago. My accountant set up my whole company for me knowing I would be concentrating on the European construction sector.
After applying for E101s, setting up and paying all my insurance, public liability, firms liability (£896 for the year), I then headed to Belgium with 4 carpenters to carry out the work.
6 weeks later Newcastle HRMC informed me I would not be receiving the E101s as my firm had not previously traded in Uk.
As it normally takes 6 weeks before you receive your first payment in Belgium my money was then seized by the Belgian at hours ties, Belgian tax, insurance, pension...you name it, was then deducted (super high rates), leaving me with a super high loss. Accommodation, travel flights, ferries for 2 cars, subsistence for the guys plus wages on a weekly basis, plus Ltd company start up cost, accountant costs getting the guys back to UK. Total loss = £11800.
Make sure your A1 or E101 is in order first. Limos a take no excuces or prisoners.

[tarbera]

I would be working from NL 3 days a week - 2 days from London office.
5 days a month from Belgium. Only until April. and i'll be hotel hopping/AirBNB.

With that - I think i should be able to stick to just pay UK taxes.

I will say this only once

There is no 183 day whatever - it's a figment of posters imagination

If you work in NL 3 days a week you start paying Dutch tax right away from day 1*

*But only if you let them know

[Jigga]

I am not 100% sure on this, but after reading up about contracting in the Netherlands before I would try and avoid that as an option if I were you. They do not recognise UK Ltd companies, so you will need to go through an umbrella / payroll type setup. You can get a 30% ruling, but you will pay a lot of tax / social security if you are based in the Netherlands. Also sounds a bit of a logistical nightmare, you are working for a Belgian company, out of NL, whilst primarily residing in the UK? Unless you can negotiate a large bump to move to NL, I would tell them remote in the UK or not at all.

They pay my agency- my agency (UK based) Pays me. They dont pay me directly into my Limited.

[Jigga]

And if you do, don't make my mistake an not deregister at the tax office. But really, NL & BE are balls tax wise. I'd jump, if things have been rough so far, as doc says this IS going to be a nightmare.

I would be working from NL 3 days a week - 2 days from London office.
5 days a month from Belgium. Only until April. and i'll be hotel hopping/AirBNB.

With that - I think i should be able to stick to just pay UK taxes.

[clearedforlanding]

I am not 100% sure on this, but after reading up about contracting in the Netherlands before I would try and avoid that as an option if I were you. They do not recognise UK Ltd companies, so you will need to go through an umbrella / payroll type setup. You can get a 30% ruling, but you will pay a lot of tax / social security if you are based in the Netherlands. Also sounds a bit of a logistical nightmare, you are working for a Belgian company, out of NL, whilst primarily residing in the UK? Unless you can negotiate a large bump to move to NL, I would tell them remote in the UK or not at all.

And if you do, don't make my mistake an not deregister at the tax office. But really, NL & BE are balls tax wise. I'd jump, if things have been rough so far, as doc says this IS going to be a nightmare.

[doconline]

Summary:

My agency screwed up - they never filed for a LIMOSA and they were not aware of the 183day rule. As a result I have asked to be relocated to work from the UK (remote) for the Belgium Client. Additionally, it's safe to say I wont be extending past April.

They offered to relocate me to the Netherlands until April. Ideas around this in case the UK isnt an option the client will support.

J

I am not 100% sure on this, but after reading up about contracting in the Netherlands before I would try and avoid that as an option if I were you. They do not recognise UK Ltd companies, so you will need to go through an umbrella / payroll type setup. You can get a 30% ruling, but you will pay a lot of tax / social security if you are based in the Netherlands. Also sounds a bit of a logistical nightmare, you are working for a Belgian company, out of NL, whilst primarily residing in the UK? Unless you can negotiate a large bump to move to NL, I would tell them remote in the UK or not at all.

[Jigga]

Summary:

My agency screwed up - they never filed for a LIMOSA and they were not aware of the 183day rule. As a result I have asked to be relocated to work from the UK (remote) for the Belgium Client. Additionally, it's safe to say I wont be extending past April.

They offered to relocate me to the Netherlands until April. Ideas around this in case the UK isnt an option the client will support.

J

I would also like to add i've lost almost 4k in fee's - had an apartment - had to give it up - they took my deposit and first months rent and fee's. Because it was the agencies screw up - should i be asking them to pay that back to me?

[Jigga]

There are a number of bars in Brussels heavily frequented by British IT contractors, and their ex pat friends working for various EU bodies and NATO etc.

Its a case of tracking some of these down and swapping notes.

Summary:

My agency screwed up - they never filed for a LIMOSA and they were not aware of the 183day rule. As a result I have asked to be relocated to work from the UK (remote) for the Belgium Client. Additionally, it's safe to say I wont be extending past April.

They offered to relocate me to the Netherlands until April. Ideas around this in case the UK isnt an option the client will support.

J

[CoolCat]

There are a number of bars in Brussels heavily frequented by British IT contractors, and their ex pat friends working for various EU bodies and NATO etc.

Its a case of tracking some of these down and swapping notes.

[WTFH]

And wouldn't need local registration to rent somewhere? Was the case for me in DK.

I seem to remember that a letter from the client was normally enough.

[stek]

For that length of time, I'd probably just find a hotel/B&B that would put me up. Short term renting in Belgium can be expensive

And wouldn't need local registration to rent somewhere? Was the case for me in DK.

[WTFH]

I should also add - that the contract only runs until 30/04/2018.

For that length of time, I'd probably just find a hotel/B&B that would put me up. Short term renting in Belgium can be expensive

[jamesbrown]

maybe the mods ought to delete the dangerous tripe........

They aren't there to make judgments on technical content, just to uphold the forum rules. It's our job to point out crap when we see it (and why it's crap), so that others can form their own judgements.