Working + taxed in the Netherlands. Do I have to account for earnings in the UK?

[BlasterBates]

wise, sometimes contractors don't take foreign tax authorities as seriously as the HMRC, because it's "abroad", but they should, as they are usually nastier than HMRC.

[KentPhilip]

The dutch don't know about the UK dividend. And I have not intention of telling them - it will be paid into my UK personal account from my UK based Ltd company, on money earned on work purely in the UK. So I don't see how it can be taxed double.
The question is: when I fill in my UK personal tax return at the end of the year, do I have to declare my dutch income, and if so will it affect the level of taxation on the dividend?.

Translation = I would like the opportunity to share a cell with a gentleman called Bubba or Pieter-Bubba.

Get professional advice from someone who understands both tax systems.

Yes OK you're right. I've done some more research and I would have to declare my UK divi to the Netherlands authorities.
Sorry for appearing to be an arrogant pig

[KentPhilip]

Translation = I would like the opportunity to share a cell with a gentleman called Bubba or Pieter-Bubba.

Get professional advice from someone who understands both tax systems.

You know we have gotton rid of prejudice against blacks and gays. I think we should get rid of prejudice against prison occupants. Lets be Gaol friendly

[BlasterBates]

The dutch don't know about the UK dividend. And I have not intention of telling them - it will be paid into my UK personal account from my UK based Ltd company, on money earned on work purely in the UK. So I don't see how it can be taxed double.
The question is: when I fill in my UK personal tax return at the end of the year, do I have to declare my dutch income, and if so will it affect the level of taxation on the dividend?

Yup you do, and if it is employment income it shouldn't be taxed, but will probably used to calculate tax rates on other income, but you'll need to demonstrate that it is, so you need sufficient documentation. Take advice from an accountant.

[pzz76077]

Bottom line:
somewhere in the world you are required to pay tax on your worldwide income.

Find a way to legally satisfy this requirement while paying as little as possible.

AFAIK, currently being resident in Romania requires the lowest payment in Europe - max 19% less expenses at the mo.

PZZ

[vetran]

The dutch don't know about the UK dividend. And I have not intention of telling them - it will be paid into my UK personal account from my UK based Ltd company, on money earned on work purely in the UK. So I don't see how it can be taxed double.
The question is: when I fill in my UK personal tax return at the end of the year, do I have to declare my dutch income, and if so will it affect the level of taxation on the dividend?

Translation = I would like the opportunity to share a cell with a gentleman called Bubba or Pieter-Bubba.

Get professional advice from someone who understands both tax systems.

[pzz76077]

I think that it depends where you are resident for tax purposes, where control of you company resides and what double taxation treaties are in place, how much tax you have paid in each jurisdiction and many other things, so would suggest that you find a tax advisor/accountant that knows the law in both countries.

PZZ

[KentPhilip]

If this employment income, then there is no additional tax to pay, but probably needs to be declared nethertheless. So expect no extra tax to pay on your NL income as a temp. employee. All types of income are treated differently under the DTA, so dividends are taxed by crediting tax paid in another country. Your UK dividends for example will be taxed twice.

This is quite tricky and tax authorities often get it wrong applying the wrong rule, so very important to have a good accountant in both jusridictions as I suspect you're tax resident in both countries.

The dutch don't know about the UK dividend. And I have not intention of telling them - it will be paid into my UK personal account from my UK based Ltd company, on money earned on work purely in the UK. So I don't see how it can be taxed double.
The question is: when I fill in my UK personal tax return at the end of the year, do I have to declare my dutch income, and if so will it affect the level of taxation on the dividend?

[BlasterBates]

If this employment income, then there is no additional tax to pay, but probably needs to be declared nethertheless. So expect no extra tax to pay on your NL income as a temp. employee. All types of income are treated differently under the DTA, so dividends are taxed by crediting tax paid in another country. Your UK dividends for example will be taxed twice.

This is quite tricky and tax authorities often get it wrong applying the wrong rule, so very important to have a good accountant in both jusridictions as I suspect you're tax resident in both countries.

[ASB]

It depends on the basis of the UK/NL DTA. You will still (it would appear) be tax resident in the UK. My expectation is that you would need to add up your income as normal (including the dutch income). Work out the UK tax payable, deduct the dutch tax paid and hand over the difference. However it may be that the dutch income counts as exempt - it could be either.

Equally the dutch may - or may not be - interested in the UK income you still have.

[KentPhilip]

I have started a 6-month contract in the Netherlands working as a temporary employee (i.e. not my Ltd company). My Netherlands accountant is trying to get me a UK HMRC "NT" - No Tax rating because I am paying tax in the Netherlands.

This year I am planning to pay a dividend of £20K or so from retained funds in my Ltd company (that I earned in a Ltd company contract last year). When I fill in my personal tax return and declare this then on its own it will be taxed at basic rate, and because of the dividend tax credit then there will be no further tax to pay.

However if I have to declare the fact of having received around 50000 euros in the Netherlands this year (around £40000) even though there is no UK tax to pay on this, will this have the effect of pushing my Ltd company dividend into higher-rate territory (so requiring more tax to pay on it).
My accountant in the Netherlands thinks the answer is Yes, but does not seem to be sure of this.
Will I have to declare it?
Any thoughts?
Thanks