Running a business from the UK whilst in NZ on an Essential Skills Visa?
#1
Running a business from the UK whilst in NZ on an Essential Skills Visa?
Hey guys - I hope that someone can help with this conundrum!
I've asked advice from some friends who run their own online businesses and are dotted around the globe, but no one seems to have a clear cut answer (making me think they don't know what they're doing either).
I'm a UK citizen but I'm currently in New Zealand. I return to the UK at least once every 12 months for a visit (at least two weeks). I have recently been granted a three year Essential Skills Visa after being on a Working Holiday Visa for a year.
I recently launched an online CV/resume writing business which is international (.com address), however in reality most of my clients are based in New Zealand. I've set up a Paypal Merchant account where I can be paid in any currency, and I deposit this into a UK bank account.
From a UK perspective: Am I legal in what I'm doing so long as I declare my income with HMRC and file my UK taxes correctly.
From an NZ perspective: One of the Essential Skills visa conditions is that I can't be self employed, but I assume that this means just in New Zealand. I imagine a lot of expats have limited companies set up for properties and whatnot at home? Any insight would be great.
Sadly this business isn't a crazy money spinner or anything, I just wanted to test the water and see how it went, and it's doing okay so it would be a shame to have to pack it in after the work I've put in. The amount I make in the next year is unlikely to raise any eyebrows...but I would like to know the correct way of doing things.
Thanks!
I've asked advice from some friends who run their own online businesses and are dotted around the globe, but no one seems to have a clear cut answer (making me think they don't know what they're doing either).
I'm a UK citizen but I'm currently in New Zealand. I return to the UK at least once every 12 months for a visit (at least two weeks). I have recently been granted a three year Essential Skills Visa after being on a Working Holiday Visa for a year.
I recently launched an online CV/resume writing business which is international (.com address), however in reality most of my clients are based in New Zealand. I've set up a Paypal Merchant account where I can be paid in any currency, and I deposit this into a UK bank account.
From a UK perspective: Am I legal in what I'm doing so long as I declare my income with HMRC and file my UK taxes correctly.
From an NZ perspective: One of the Essential Skills visa conditions is that I can't be self employed, but I assume that this means just in New Zealand. I imagine a lot of expats have limited companies set up for properties and whatnot at home? Any insight would be great.
Sadly this business isn't a crazy money spinner or anything, I just wanted to test the water and see how it went, and it's doing okay so it would be a shame to have to pack it in after the work I've put in. The amount I make in the next year is unlikely to raise any eyebrows...but I would like to know the correct way of doing things.
Thanks!
#2
MODERATOR
Joined: Oct 2011
Location: Wellington - I miss Castles, the NHS & English school system
Posts: 9,077
Re: Running a business from the UK whilst in NZ on an Essential Skills Visa?
Hi, I think you would need to speak to an accountant that understand both NZ & UK tax implications. especially after the change of Government lately
#3
BE Enthusiast
Joined: Jul 2008
Location: Auckland
Posts: 463
Re: Running a business from the UK whilst in NZ on an Essential Skills Visa?
Hey guys - I hope that someone can help with this conundrum!
I've asked advice from some friends who run their own online businesses and are dotted around the globe, but no one seems to have a clear cut answer (making me think they don't know what they're doing either).
I'm a UK citizen but I'm currently in New Zealand. I return to the UK at least once every 12 months for a visit (at least two weeks). I have recently been granted a three year Essential Skills Visa after being on a Working Holiday Visa for a year.
I recently launched an online CV/resume writing business which is international (.com address), however in reality most of my clients are based in New Zealand. I've set up a Paypal Merchant account where I can be paid in any currency, and I deposit this into a UK bank account.
From a UK perspective: Am I legal in what I'm doing so long as I declare my income with HMRC and file my UK taxes correctly.
From an NZ perspective: One of the Essential Skills visa conditions is that I can't be self employed, but I assume that this means just in New Zealand. I imagine a lot of expats have limited companies set up for properties and whatnot at home? Any insight would be great.
Sadly this business isn't a crazy money spinner or anything, I just wanted to test the water and see how it went, and it's doing okay so it would be a shame to have to pack it in after the work I've put in. The amount I make in the next year is unlikely to raise any eyebrows...but I would like to know the correct way of doing things.
Thanks!
I've asked advice from some friends who run their own online businesses and are dotted around the globe, but no one seems to have a clear cut answer (making me think they don't know what they're doing either).
I'm a UK citizen but I'm currently in New Zealand. I return to the UK at least once every 12 months for a visit (at least two weeks). I have recently been granted a three year Essential Skills Visa after being on a Working Holiday Visa for a year.
I recently launched an online CV/resume writing business which is international (.com address), however in reality most of my clients are based in New Zealand. I've set up a Paypal Merchant account where I can be paid in any currency, and I deposit this into a UK bank account.
From a UK perspective: Am I legal in what I'm doing so long as I declare my income with HMRC and file my UK taxes correctly.
From an NZ perspective: One of the Essential Skills visa conditions is that I can't be self employed, but I assume that this means just in New Zealand. I imagine a lot of expats have limited companies set up for properties and whatnot at home? Any insight would be great.
Sadly this business isn't a crazy money spinner or anything, I just wanted to test the water and see how it went, and it's doing okay so it would be a shame to have to pack it in after the work I've put in. The amount I make in the next year is unlikely to raise any eyebrows...but I would like to know the correct way of doing things.
Thanks!
I can't imagine that HMRC care what is going on.
#4
Re: Running a business from the UK whilst in NZ on an Essential Skills Visa?
Thanks for the advice guys, it's all a bit murky. I actually currently live in Queenstown with a UK lawyer who has a bit of tax and immigration experience, and she isn't sure either so is currently putting the call out to some old colleagues for me.
I'll pay tax wherever I need to pay tax, my main concern is messing up the terms of my visa.
I'll pay tax wherever I need to pay tax, my main concern is messing up the terms of my visa.
#5
Lost in BE Cyberspace
Joined: Jul 2016
Posts: 10,009
Re: Running a business from the UK whilst in NZ on an Essential Skills Visa?
Thanks for the advice guys, it's all a bit murky. I actually currently live in Queenstown with a UK lawyer who has a bit of tax and immigration experience, and she isn't sure either so is currently putting the call out to some old colleagues for me.
I'll pay tax wherever I need to pay tax, my main concern is messing up the terms of my visa.
I'll pay tax wherever I need to pay tax, my main concern is messing up the terms of my visa.
I thin you have a very concern to deal with on the visa issue.
I believe there may be some tax implications if you are paid and remit funds to UK bank account from the work derived payment.
#6
Lost in BE Cyberspace
Joined: Jun 2005
Location: In a large village called Auckland
Posts: 5,249
Re: Running a business from the UK whilst in NZ on an Essential Skills Visa?
You need to check out the universal concept of 'tax residency' as it seems to me you should be paying your taxes in NZ not UK if you are living here for majority of the time.
i.e. If you spend more than 183 days in any one country per year then that's generally where you pay tax.
What is my personal tax residency? (Tax residency and status)
i.e. If you spend more than 183 days in any one country per year then that's generally where you pay tax.
What is my personal tax residency? (Tax residency and status)