How do I pay tax in UK on income from US-based company

[andelin]

I am a UK resident currently working as a sole trader doing translation work, and I'm registered as such with the HMRC.

I am now planning to start selling on Amazon.com (i.e. only in the US), and for that purpose I will have to set up a company in the US, but I will be paying tax on the income in the UK.

My question: How do I go about this with the HMRC? Should I use the same UTR and just register online using form CWF1 and enter the business name of the US-based company?

I've been checking the info this page:
https://www.gov.uk/log-in-file-self-assessment-tax-return/register-if-youre-self-employed

but not quite sure if I've understood it correctly.

[GlobalTaxAdviser]

Use the same UTR but depends on what type of US company LLC or C Corp you have on the disclosure of income

[andelin]

It's going to be an LLC, but how do I notify HMRC about that, so they don't think that I'm doing it as a sole trader?

[bd6759]

You need specialised advice on the structure, otherwise you will end up paying tax in both in USA and UK, without UK giving credit for the tax paid in USA. This is due to the different ways that the USA and UK treat the income of an LLC.

[DavidTreitel]

A US based LLC would most probably be a UK resident corporation, subject to UK corporation tax on its profits. You would also be subject to US tax on underlying profits. This seems a very high tax structure to create.

[andelin]

Alright. I will obviously have to look deeper into this before going ahead with my plans. Many thanks to all for your contributions.