I am currently director of my own Ltd company. I am employed by the company together with my partner (both of us are shareholders) and we have also conducted some self-employment work.
We work and invoice through our Ltd company working online.
We plan to move to Austria on June 2016 for period of less than 24 months mainly for learning the language (we are translators and believe this may positively affect our business) and for research (we provide educational services)
We have passed the UK residency test 2 so we will be UK resident for tax year 2015/16 and as far as I understand a split year will apply.
We want to continue to pay NI contributions in the UK and get form A1 as Austrian contributions are extortionate. The compliance in Austria for doing through the UK company seems long winded, as it requires loads of compliance in Austria when seconding workers and I feel we risk to be challenged by the Austrian authority that a permanent establishment is present in Austria for the Ltd company. It appears to be easier to do as self employed as no compliance in Austria is required. Is this possible where one is both UK employed and self employed. Is there a minimum limit to ask for the A1/E101 form?
In terms of taxation:
- Is there are way to continue to be subject to UK income tax - which is notably lower - on the salary from our UK company?
- Can we get a detached duty relief through our Ltd company for the duration of the stay in Austria for travel and accommodation?
Any other ideas?