Looking Abroad

[pjt]

If the T&S & IR35 changes come in as planned then I'm toying with the idea of working in other countries. Is anyone else considering doing the same?

At the moment I have no idea how feasible this is, a number of complications I can see...

• Language Barrier
• Other country's tax complications
• Travel costs & times
• Finding and securing roles

Does anyone have any experience taking contracts in other country's? If so how did it work out?

Another more drastic option is to actually up sticks and move to another country altogether but things aren't quite that bad yet

[jamesbrown]

Perhaps, although tax/regulation would be one of many factors. A lot of people will scream about moving overseas (myself included to some degree ), but very few will do it in reality. I've contracted in several different countries, within the EU and outside, and tax/regulation has never been a decisive factor (either for or against). Where would you go that has lower taxes or less regulation? For example, Ireland might seem to have low headline CT and favourable business conditions, but the reality is quite different for self-employed/small outfits. Most countries have some regulations against perceived TMI (whose parameters change with the political wind), and many have less favourable regimes than the current IR35, probably more akin to son-of-IR35.

[jamesbrown]

Another more drastic option is to actually up sticks and move to another country altogether but things aren't quite that bad yet

I don't recall reading that upon first reply; I guess you added it....

So, if you aren't moving altogether, what exactly do you mean? You'll still be UK resident (plus, you may have issues with corporate residency in managing YourCo from elsewhere).

[pjt]

I don't recall reading that upon first reply; I guess you added it....

So, if you aren't moving altogether, what exactly do you mean? You'll still be UK resident (plus, you may have issues with corporate residency in managing YourCo from elsewhere).

Not saying it would be easy but possibly worth some research which is what I plan to do.

[stek]

I'd only do it if the rate was stellar or I was relocating to the Continent permanently, too much dual tax worry, too much to lose on Euro etc exchange/fees, too much worry about booking flights well in advance, and generally rates are worse anyway....

I did a year in Ireland on a decent rate yet didn't bank half a much in the war chest as normal.

[jamesbrown]

I'd only do it if the rate was stellar or I was relocating to the Continent permanently, too much dual tax worry, too much to lose on Euro etc exchange/fees, too much worry about booking flights well in advance, and generally rates are worse anyway....

I did a year in Ireland on a decent rate yet didn't bank half a much in the war chest as normal.

Yeah, agreed on Ireland, and good point on FX. The FX variations can far exceed anything that might be expected from dividend taxation etc. Take the last couple of days, for example, where Cable is down 2+%. In principle, you can negotiate any currency you want but, in practice, it's difficult.

[SueEllen]

Does anyone have any experience taking contracts in other country's? If so how did it work out?

Another more drastic option is to actually up sticks and move to another country altogether but things aren't quite that bad yet

Main issue is you remain a UK tax resident when you don't want to, or you aren't a UK tax resident when it's advantageous to be. You really don't want to be taxed in two countries so that means knowing and understanding their tax and residency laws around contracting as well as the UKs.

I've done a couple of EU countries. However their cost of living wasn't cheaper than the UK - it was the same. Mainly because if you want temporary accommodation e.g. don't want to live abroad permanent then you get charged a lot.

In my case the last time I managed to do it when the Euro to pound exchange was reasonable. Now there is absolutely no point working in most EU countries unless you are starting out and want the experience.

[Fred Bloggs]

Plus, competition for jobs is now international with some excellent overseas candidates both taking roles and depressing day rates.

[WordIsBond]

WFH for foreign companies.

Hard for tax man to prove SDC when you aren't even in the same country. Can't force client to talk to them. Virtually IR35 proof, if you have to meet with client the travel is foreign and thus not taxable, and if you are working from home you don't have to worry about foreign taxes.

Win.

All you have to do is figure out how to get the jobs.

[oliverson]

I have a place in Southern Spain. If the government kills contracting like it intends to, I'm out of here. If I'm going to be forced to pay a high level of tax, I'll pay it in Spain.