Contracting in Euroland

[tim123]

There is a possibility of a contract out in Euroland for up to 3 months. The rate is good and getting even better with the weakening pound.

Has anyone got any experience of this? The question is how to handle the financial side of things. Naturally I will invoice in Euro's (assuming I get the gig) but at what stage do I convert to sterling to show on MyCo books? As the exchange rate will fluctuate, how do I show the appliucable exchange rate and where should I obtain this from? How should I handle payments - should I open a Euro account for the company?

The revenue will expect you to use the pound's exchange rate on the day of payment, for your tax calculations.

I will probably commute - despite the costs - to spend weekends with family. Will that impact my ability to say I am non-domiscile?

TIA

No, neither will it affect your ability to say that you are non resident!!!!!.

For a three month gig, there is no chance at all that you can claim a change of residence status

tim

[Manic]

Nice.

I do some business in US$. My accountant told me that for CT purposes I should pay tax on the received value. i.e. once converted to sterling at point of paying(conversion). If I was to hold the value in US$ it would be set at the excahnge rate at the time of receipt, which can be the official IR rate, or can argue a commercial rate as advertised by the bbc, your bank etc.

For dividend and book keeping purposes, the invoice rate is calculated at point of invoice and then adjusted in p&l when received.

I don't have to charge VAt but assume you will, which of course opens up another can of worms.

All AFAIK

[Mustang]

Usual answer is to ask your accountant.

I am waiting for his response.

.....if you state which country.

Portugal

[Manic]

Usual answer is to ask your accountant, but you may get better advice if you state which country.

Assuming a three month contract you'll be dom in the UK however there are rules around length of stay especially Germany.

[Mustang]

There is a possibility of a contract out in Euroland for up to 3 months. The rate is good and getting even better with the weakening pound.

Has anyone got any experience of this? The question is how to handle the financial side of things. Naturally I will invoice in Euro's (assuming I get the gig) but at what stage do I convert to sterling to show on MyCo books? As the exchange rate will fluctuate, how do I show the appliucable exchange rate and where should I obtain this from? How should I handle payments - should I open a Euro account for the company?

I will probably commute - despite the costs - to spend weekends with family. Will that impact my ability to say I am non-domiscile?

TIA