Last week, in a surprise move just as the PBTG Newsletter was being prepared for publication (can’t get more hot off the presses than that!) HM Revenue and Customs published new guidelines regarding determining what constitutes ‘disguised employment’ in the freelance community.
The guidance is to be trialled for a year, accompanied by twelve online questions which will be used to determine employment status, categorizing contractors into 'High risk', 'Medium risk' and 'Low risk' in terms of their exposure to the IR35 rules.
I am facing a dilemma and would like to invite any reader to advise me.
I am a Brit who has lived outside UK since 1993- initially in Belgium (5 years) & subsequently in 4 African countries. After a year outside UK, the UK Inland Revenue confirmed my status as ‘non-resident’ for tax purposes and as I have had no income in UK, I have not completed a UK tax return for many years. I visit UK very rarely, normally for one or two weeks per year.
In May 2011, I was made redundent by my employers, who were downsizing. This coincided with a move to retire in the Netherlands, where I now have official residency (my wife is Dutch). I thought that, at 63 years of age, I would be unlikely to find suitable employment; in fact, I have not tried hard and had resigned myself to permanent (but slightly premature) retirement.
However, to my surprise, I have recently been approached (through a mutual acquaintance) by a company that wishes to use my skills on a project in the Isle of Man. The role, if & when confirmed, would see me working for about 10 days a month in Isle of Man, with about 5-7 additional days per month, working from home. Contract will be for about two years. The firm has asked me to confirm if I would prefer to be paid (and therefore be taxed) in Netherlands or Isle of Man, the idea being that I create a self-employment entity for this employment. I have no data on which to base a response. Given Isle of Man's traditional ‘low tax ‘environment, are there any benefits to declaring an income in IOM? Are there any Isle of Man residency implications? Netherlands takes a tax cut on total world wide income, and, as I have never had any contact with the Dutch authorities, I am reluctant to start such a relationship now. Do I have to declare income in both countries, with a breakdown prorata to the time spent in each jurisdiction? Should I declare income to UK Inland revenue?
If anyone has pertinent advice on these points, I’d be grateful to hear them.
Hi, I live in South Africa, and along with 2 business partners (one in South Africa and one in Ireland - all South African citizens though) are setting up a company that designs Smart phone applications. As they will be sold on the various platforms (none of which operate out of South Africa)we have to list our company as operating out of Ireland anyway. As such, we have decided to set up our company in the best tax country and are wanting info on whether Jersey or Malta is best? If anyone has some inside info we would really appreciate it!! Thanks!Mary
Just wondering if anyone 'on the ground', as it were, might be reading and able to help me...I was considering relocating my hairdressing business from the UK to Ireland before the economy started to go properly belly-up...now, not so much.
Are things as bad as they seem over there, or is it being over-hyped by the media? And is the government still keen to support small business people? Cos if not, I'll look elsewhere...
I am moving full time to France in Jan 2012 where I will be working as a freelance contract engineer to a number of Australian based companies. It is my choice to move to France not a work requirement. I will be renting my house out in Austrlalia and renting a house while I am in France. I hold both EU & Austrlain citizenshiip. I am married with 2 young children. Approx total family income $100k AUD. Do I pay tax in France or Australia or both ? Any help or guidance would be much appreciated.France move
Following the delayed delivery last week of updated IR35 guidance for UK freelancers, the Professional Contractors Group (PCG) has slammed HM Revenue and Customs for missing 'a great opportunity to bring clarity, transparency and fairness in dealing with IR35'. RSS
| Email Updates
New HMRC guidelines on disguised employment, delayed from the initial planned commencement date of April 6th, were finally published on May 9. RSS
| Email Updates
According to figures released recently by the Singapore Business Federation, small business sentiment remains somewhat flat, with SMEs in the city state remaining cautious regarding the prospect of taking on new staff or investing more in their business. RSS
| Email Updates
According to data recently compiled by the Organisation for Economic Cooperation and Development (OECD), small and medium-sized enterprises suffered more in terms of access to credit than their larger counterparts over the 2007 to 2010 period. RSS
| Email Updates
It was announced this week by Dubai SME that registration for the 7th cycle of the 'Mohammed Bin Rashid Award for Young Business Leaders' has begun, and will be open till July 12, 2012. RSS
| Email Updates
Belgium’s Federal Planning Bureau, providing economic analyses and forecasts
for the government, has recently announced that if Belgium is to limit its public
deficit to 2.15% of gross domestic product in 2013 and to re-establish
a balanced budget in 2015, in line with its targets, new measures totalling
around EUR11bn (USD14bn) will be necessary, of which EUR3bn from next year. RSS | Email
Updates
New Zealand’s tax system has become overly complex, the country’s Institute of Chartered Accountants has said, calling for simplification of the rules for small businesses and setting out proposals for reform. RSS | Email
Updates
The United States Government Accountability Office has disclosed that, as
the implementation of the Foreign Account Tax Compliance Act should provide
the Internal Revenue Service with a substantial amount of new information,
Congress has asked for a review of how it plans to manage that information. RSS | Email
Updates
In his remarks during a meeting with the management of the Italian Revenue Agency
and Equitalia (which collects the country’s taxes), the Italian Prime Minister
Mario Monti emphasized that it had to be recognized that the payment of their
taxes was everybody’s duty, before it could be possible to reduce the overall
tax burden. RSS | Email
Updates
With the prospect of a further stand-off between the Democrat and Republican parties
later this year over the United States government statutory debt limit, House
of Representatives Speaker John Boehner has returned to his mantra
of spending cuts with no tax increases. RSS | Email
Updates
Cyprus
Full Guide
Read more
