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Where Taxpayers and Advisers Meet

Resident in the UK but Employed by a Swiss Company

petetobin
Posts:1
Joined:Mon Jun 21, 2021 5:08 pm
Resident in the UK but Employed by a Swiss Company

Postby petetobin » Mon Jun 21, 2021 5:26 pm

I guess post-COVID there will be more questions of this sort arising. I am going to be employed as a remote worker by a Swiss based company with operations in several countries but not in the UK. I am used to being paid PAYE by a UK entity and having all my deductions taken at source. The company also pays Employers NI on my behalf (of course). How would this work with my new company? Would it be the same way? They have suggested that I might want to setup a limited company, would this be a tax advantageous thing to do? I guess the answer will be to talk to a tax adviser but this is all new to me and I don't really know where to start. To be honest, it is putting me the entire idea but maybe I am looking at it in the wrong way.

ETaxConsulting
Posts:7
Joined:Sun Nov 29, 2020 3:25 pm
Contact:

Re: Resident in the UK but Employed by a Swiss Company

Postby ETaxConsulting » Sun Jul 04, 2021 12:07 pm

I guess post-COVID there will be more questions of this sort arising. I am going to be employed as a remote worker by a Swiss based company with operations in several countries but not in the UK. I am used to being paid PAYE by a UK entity and having all my deductions taken at source. The company also pays Employers NI on my behalf (of course). How would this work with my new company? Would it be the same way? They have suggested that I might want to setup a limited company, would this be a tax advantageous thing to do? I guess the answer will be to talk to a tax adviser but this is all new to me and I don't really know where to start. To be honest, it is putting me the entire idea but maybe I am looking at it in the wrong way.
Hi Pete

There are a few different options available.

1) Setting up your own company in the UK. This is unlikely to be advantageous given the IR35/off payroll working rules introduced in the UK which would mean you would still be taxed as an employee even with your own company. Would suggest not going down this route as the Swiss company is basically then trying to pass it's obligations to your company.

2) The Swiss company registers as an employer in the UK and deals with the PAYE withholding obligations.

3) You set up a PAYE scheme and operate the required monthly/quarterly withholding.

We would be happy to advise you on the above further if needed.

Thanks

Tim
Tax Manager
E-Tax consulting
www.e-taxconsulting.com


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