Tax/Residency

[nwgb]

Thanks for the comments guys.

Can anyone recommend a good accountant? This might be a bit specialist?

[centurian]

Doesn't sound outwardly dodgy to me. You were not resident in the UK. You didn't do the work in the UK. You (presumably) paid US taxes on the earnings, so I don't see that you should be liable for any UK taxes. The LtdCo were merely an invoicing vehicle.

Worst that will probably happen is that you may have to pay the UK tax, minus the tax you already paid to the various federal/state/local US taxes.

However, I would speak to a UK accountant to be absolutely sure.

[Sockpuppet]

Nothing illegal as far as I can see. You better ask a UK based accountant though.

[nwgb]

Hi everyone

In July 2005, I emigrated to the US from the UK. I filed my P85 and left the UK. I never (and still haven't) heard a dickybird from the Inland Revenue. Nothing. Nada.

In 2006, I was contacted by an old colleague who wanted me to do some work. This UK company would only deal with a UK Ltd Co, they wouldn't let me bill them as a US entity.

So I did all the work in the US, I billed them in GBP from my Ltd Co, they paid my Ltd Co, I invoiced my UK Company from my US company for the full amount and wired the cash (minus the VAT element) over to the USA and paid US taxes on the income as if I were a US independent contractor.

The word my US accountant used was 'treat the UK Company as a flow through entity'.

The UK Ltd Co filed and paid it's VAT returns, but due to me invoicing it for the full amount, did not pay any corp tax since it wasn't showing profits. It filed it's annual returns, but personally I've filed, nor been asked to file nothing - no self assessment - not a word from the IR.

This contract has just ended.

Here's the problem. My family now want to go back to the UK - we miss it a lot. But I am freaking out - I can't help but feel the IR are going to slap me in irons as soon as I enter the UK? I don't know why but I feel like something is wrong - maybe because I used a UK Ltd Co to route the money through? Have I acted illegally?

I'd appreciate any comments!

Cheers