Algerian Witholding Tax

[just1morethen]

Hi. Hope you can help. I am a contractor working in Algeria for BP In Salah. I operate through my own limited company. The end client, BP, is required to pay tax on my behalf to the Algerian tax office. This is basically deducted from my rate before I receive it. I was wanting to know if there is any way of offsetting the tax against tax due in UK - either my corporation tax, or my higher rate self-assessment? Any help would be appreciated.

[taxationuk]

Hi Just1morethan

I have a client who had the same issue as this. Although there is no double tax treaty between the UK and Algeria, it is possible to offset some of the tax against Corporation tax. It does depend however, on how contracts are worded between your company and BP.

If you would like to discuss this further please contact me.

Kind regards

Terry