Contracting in UK with NL limited

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norrahe replied

20 July 2012, 10:07
Originally posted by ClearSky Accounting Dan View Post

The UK/Netherlands Tax Treaty provides that a company will only be taxed in a State if it carries on business via a “Permanent Establishment” which means a fixed place of business through which the business of an enterprise is wholly or partly carried on. Provided you don't set up such a fixed place, e.g. an office, and if management and control remains in the Netherlands, then income derived from the UK contract would not be subject to UK Corporation tax.

Thanks Dan, I had done some reading up on the treaties and my accountant here alluded to the "permanent establishment". Just wanted clarification from the UK side of things.
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ClearSky Accounting Dan replied

20 July 2012, 09:08
Originally posted by norrahe View Post

Has anyone had experience of doing this?

There's a possibility of a gig in London, I'm now based full time in NL and resident here. Limited company (B.V) is also based in NL, does anyone know if the company conducts business in the the UK does it have to pay corporation tax in the UK for profits generated in another country or is it a simple case that the limited pays taxes in its own country?

Agency is trying to get me to use an umbrella company if the contract pans out.

I will be talking to my accountant about this but just wanted to see if anyone had first hand experience of doing this.

TIA

The UK/Netherlands Tax Treaty provides that a company will only be taxed in a State if it carries on business via a “Permanent Establishment” which means a fixed place of business through which the business of an enterprise is wholly or partly carried on. Provided you don't set up such a fixed place, e.g. an office, and if management and control remains in the Netherlands, then income derived from the UK contract would not be subject to UK Corporation tax.
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norrahe started a topic Contracting in UK with NL limited

19 July 2012, 14:29
Contracting in UK with NL limited

Has anyone had experience of doing this?

There's a possibility of a gig in London, I'm now based full time in NL and resident here. Limited company (B.V) is also based in NL, does anyone know if the company conducts business in the the UK does it have to pay corporation tax in the UK for profits generated in another country or is it a simple case that the limited pays taxes in its own country?

Agency is trying to get me to use an umbrella company if the contract pans out.

I will be talking to my accountant about this but just wanted to see if anyone had first hand experience of doing this.

TIA
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