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Umbrella if not UK resident

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    #21
    Hi there just thought I’d update that according to HMRC if I am not resident in the UK for tax purposes I don’t pay tax in the UK if I work for less than 6 months, UK tax only becomes payable after 6 months, so my earnings are declared locally and I pay tax where I am resident.

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      #22
      Originally posted by panders View Post
      Hi there just thought I’d update that according to HMRC if I am not resident in the UK for tax purposes I don’t pay tax in the UK if I work for less than 6 months, UK tax only becomes payable after 6 months, so my earnings are declared locally and I pay tax where I am resident.
      I think you're confused or perhaps you confused whomever you spoke to or perhaps the person you spoke to was confused or perhaps all of these things. Remember, any given person at HMRC can be completely clueless and that will not be an excuse when you make a mistake (this is why you should seek advice from a professional and not from HMRC). Anyway, tax is payable on your locally earned income where the work is done, not after 6 months. Tax is payable on your worldwide income where you're tax resident. There may be a tax treaty to offset double taxation of the same income.

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        #23
        Originally posted by panders View Post
        Hi there just thought I’d update that according to HMRC if I am not resident in the UK for tax purposes I don’t pay tax in the UK if I work for less than 6 months, UK tax only becomes payable after 6 months, so my earnings are declared locally and I pay tax where I am resident.
        If you're non-resident you still pay tax on UK earnings. The main difference is when you become resident you are taxed on worldwide income.

        HMRC don't use the term tax-resident, they use the term resident.

        https://www.gov.uk/tax-uk-income-live-abroad

        You usually have to pay tax on your UK income even if you’re not a UK resident. Income includes things like:
        • pension
        • rental income
        • savings interest
        • wages
        If you work less than 6 months HMRC would tax you on your income as a non-resident.
        I'm alright Jack

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          #24
          wow, what a patronising reply, not sure what your credentials are but clearly you know better than the 3 professionals I have spoken to just to be sure. Do you have personal experience of the same situation?


          Originally posted by jamesbrown View Post

          I think you're confused or perhaps you confused whomever you spoke to or perhaps the person you spoke to was confused or perhaps all of these things. Remember, any given person at HMRC can be completely clueless and that will not be an excuse when you make a mistake (this is why you should seek advice from a professional and not from HMRC). Anyway, tax is payable on your locally earned income where the work is done, not after 6 months. Tax is payable on your worldwide income where you're tax resident. There may be a tax treaty to offset double taxation of the same income.

          Comment


            #25
            Originally posted by panders View Post
            clearly you know better than the 3 professionals I have spoken to just to be sure. Do you have personal experience of the same situation?
            Well, that's excellent news. I'm sure you won't be needing any lube in the near future.

            Yes, I have experience of contracting in several countries. You've had three people in this thread, all of whom have some experience of international working and taxation, tell you the same thing.

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              #26
              Originally posted by panders View Post
              wow, what a patronising reply, not sure what your credentials are but clearly you know better than the 3 professionals I have spoken to just to be sure. Do you have personal experience of the same situation?

              So what umbrella firm are you using?
              merely at clientco for the entertainment

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