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Where Taxpayers and Advisers Meet

Working a contractor for a French company but being paid by a UK agent

dominoman
Posts:59
Joined:Fri Jan 15, 2016 6:41 pm
Working a contractor for a French company but being paid by a UK agent

Postby dominoman » Tue Jul 27, 2021 5:40 pm

This is slightly complicated, to me at least...

I got a job starting next month in Paris. I will be paid in Euros by the UK-based agent that got me the job. I am actually a resident of Abu Dhabi where I live full-time now with my other half.

What's the best way for me to be paid. If I set up my own company in UK can I avoid IR35? And what kinds of costs can I offset against tax? My flights to Paris from Abu Dhabi? Accommodation in Paris? Food?

Sorry for all the basic questions. I have not worked as a contractor for many years.

Samson22
Posts:53
Joined:Mon Aug 17, 2020 10:54 am

Re: Working a contractor for a French company but being paid by a UK agent

Postby Samson22 » Tue Jul 27, 2021 8:16 pm

Unless I am missing something as your not resident in uk no uk income tax will apply.

dominoman
Posts:59
Joined:Fri Jan 15, 2016 6:41 pm

Re: Working a contractor for a French company but being paid by a UK agent

Postby dominoman » Wed Jul 28, 2021 8:34 am

Hmm. Well that would be good news. Currently I am in Abu Dhabi but havent declared myself as non resident. I will need to do that.

So I can still have a UK company and not pay income tax when I take money out of it?

Samson22
Posts:53
Joined:Mon Aug 17, 2020 10:54 am

Re: Working a contractor for a French company but being paid by a UK agent

Postby Samson22 » Wed Jul 28, 2021 3:12 pm

Taking money out of a uk company would be a different matter and uk tax on dividends tax would be payable (not with standing any Abu Dhabi tax) Unless I am mistaken. However I would caution full uk income tax will be due if you have not been non resident 5 tax/6 actual years.

But best wait for better minds to come along.

bibescu
Posts:25
Joined:Tue Sep 21, 2010 9:33 am

Re: Working a contractor for a French company but being paid by a UK agent

Postby bibescu » Fri Jul 30, 2021 11:12 pm

If you are paid by a French company, you have to comply with the French legislation and also the legislation of the country where you are a tax resident.
There are some rules related to being treated as an employee of self-employment in France.
In my opinion, you have to ask your new company.

dominoman
Posts:59
Joined:Fri Jan 15, 2016 6:41 pm

Re: Working a contractor for a French company but being paid by a UK agent

Postby dominoman » Tue Aug 17, 2021 1:57 pm

Would I be right in thinking that because my UK company is being paid by the French company, I wouldn't have to pay income tax in France, so long as I don't draw down any income until after I have finished the work and left France?

I could then take a mixture of income and dividends, spread out over a longer period, to reduce UK taxation.


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