overseas pension for non residents

[tax-bill]

UK non resident works in Holland and is about to receive a pension from Bermuda for past employment. The pension is to be paid into an overseas bank account. Is the pension taxable in the UK and if so is it the whole of the pension that is taxable. Also, does anyone know if it is also taxable in Holland.
Hope someone has come across this and can help.

Tax-bill

[etf]

Hi tax-bill,

A non UK (overseas) pension is not liable to UK tax where the recipient is considered not resident for UK tax purposes.

I'm not sure whether the pension will be taxable in the Netherlands, but as a starting point you may like to look at PWC's Netherlands guide which you can access through the useful links section of the website below. These guides often provide useful information on how assignees are taxed in an overseas country.

From memory, the Netherlands used to offer a favourable tax regime for expatriate employees known as the 30% ruling. You may like to check whether your client qualifies, if these rules still apply.

Kind regards

etf

http://theexpatriatetaxfactory.com