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Hmm, I wonder why a German bloke has ended up working in Berlin through their UK office then. Seems a little pointless.
I can offer a reason...VAT
If one works in Germany through a German agency, you have to charge the VAT up front, this goes through all the channels and eventually the agency can claim it back.
But if one works in Germany through a UK agency you don't have to charge the VAT up front, and they don't have to claim it back.
Hence lower capital exposure. Much cheapness with plenty quickness.
(I'll forgive you for not knowing this, there aren't that many contractors on this board any more)
Incidentally the rule was brought in to try and stem carousel fraud.
There are other reasons too, but this is the biggy.
I know someone in Berlin working through Progressive. He seemed surprised when I told him they were well known for being tulip. Needless to say he's had bother with them and it's harder to chase them when you're in another country.
I’ve had several very friendly approaches from Progressive, none of which have led to interviews but all of which have ended in ‘who can I phone at <clientco> to get a reference for your skills?’
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