UK national, resident in Spain offered contract in Belgium. Umbrella company ideas?

[International Adviser]

Contracting in Belgium

If you reside in Spain and are working in Belgium then you should start the process by looking for a Spanish Umbrella Company to post you to work in Belgium.

The reasons behind this are:

1. If the client is based in Belgium then the Belgium Tax Authorities will have first taxing rights in respect of income paid to you as an Employee and will have first have Social Security Rights.
2. If the money is routed through your own Limited Company then Belgium will have first taxing rights on the Profits the Company makes, as it is likely that you will trigger a Deemed Permanent Establishment in Belgium.
3. Any dividends drawn down by you will be subject to Belgium Income Tax as they will be Belgium source income, or will be taxable after 183 days when you trigger your Belgium Tax Residency.

As the Belgium Social rates are one of the highest in Europe, then you might want to opt for the capped NI of the Spanish system.

I believe that Capital Tax Consulting have a Spanish Operation and might be able to help.

Happy Hunting and I hope this helps.

[cojak]

Hi,

If the author of this thread is still reading posts please get in touch. I am in a similar situation (Resident in Spain, looking at contract in Belgium).

Thanks

Don't hold your breath, his last activity was 2 days after he joined.

In 2012...

[BenK]

..Similar situation - any advice

Hi,

If the author of this thread is still reading posts please get in touch. I am in a similar situation (Resident in Spain, looking at contract in Belgium).

Thanks

[dansmith51]

Great stuff. I'll give them a shout and see how I get on.

Thanks!

[LisaContractorUmbrella]

Try this:

[dansmith51]

Hi all,

First post on here and first contract for me so go easy on me! For those reasons alone I could use some solid advice from any pros here as my research efforts are starting to get me down...

I'm a UK national currently based in Spain (tax resident) and I've been offered an 8 month contract (160 days) in Belgium.

I have a Ltd set up in the UK and was considering going down this route with regards to the contract. However through my research I have got the 'IR35 fear' and the fact I am living in Spain I wonder if it would be better to deal with an umbrella company with ties to Spain/Belgium rather than getting involved with HMRC at all.

So my questions are:
1) Does this sound like a reasonable idea?
2) Is there another way that I may not have considered to get the most out of my hard earned?
3) Is there something obvious I may have missed/not considered that means I should look at one particular route - umbrella or Ltd.?
2) Can anyone recommend a solid umbrella company that might be able to help (advise) at the very least?

Through my research I have seen Capital Consulting come up and also Pearl. Anyone have any feedback about CPMPeople?

All thoughts and opinions welcome. Thanks so much!!