Working for an UK Employer whilst living in WA? Tax Query
Jun 18th 2007, 1:51 pm
#1
On Our Way in Nov!
Thread Starter
Joined: Jun 2007
Location: Wigan
Posts: 54
Working for an UK Employer whilst living in WA? Tax Query
Hi
Wonder if anyone can help. I've potentially got the opportunity to do some work from home for a company that are based in UK. From their point of view, me moving to Aus isn't a problem. I'd be classed as self-employed and they'd just be one of my customer's I guess, who are paying for my services.
My question arises from the tax implications of this? Would I need to pay UK tax, and also Aus tax? Is it better for them to deposit/pay me through a UK account or Aus?
Any advice would be appreciated,
Thanks
KAREN
Wonder if anyone can help. I've potentially got the opportunity to do some work from home for a company that are based in UK. From their point of view, me moving to Aus isn't a problem. I'd be classed as self-employed and they'd just be one of my customer's I guess, who are paying for my services.
My question arises from the tax implications of this? Would I need to pay UK tax, and also Aus tax? Is it better for them to deposit/pay me through a UK account or Aus?
Any advice would be appreciated,
Thanks
KAREN
Jun 18th 2007, 2:17 pm
#2
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Joined: Dec 2004
Location: Tapping (Perth)
Posts: 2,619
Re: Working for an UK Employer whilst living in WA? Tax Query
If you're living in Oz and working there as self-employed with them as one of your customer, then you only pay Oz tax. For tax purposes it doesn't matter if they pay you through a UK or Oz bank account.
If they pay you through a UK bank account, you will have the hassle of changing and transferring the money to Oz, but you may gain depending on the exchange rate situation.
If they pay you through an Oz bank account, you know exactly what you're getting money-wise.
Gina
If they pay you through a UK bank account, you will have the hassle of changing and transferring the money to Oz, but you may gain depending on the exchange rate situation.
If they pay you through an Oz bank account, you know exactly what you're getting money-wise.
Gina
Jun 19th 2007, 1:01 am
#3
BE Enthusiast
Joined: Mar 2007
Posts: 313
Re: Working for an UK Employer whilst living in WA? Tax Query
This is how I work - you are liable for the majority of your tax here, there may be something called withholding tax which your UK employer may take off you which you then claim back against your Aus tax return.
As for payments - you can get paid into a UK bank account then TT the money here, depending which banks are talking to each other it costs between 10 and 25 pounds, there is also a limit as to how much you can TT by phone in one go but HSBC's is 10000 pounds so I've not found it to be an issue!
The one thing not to do is get a sterling cheque sent here - that was how I was paid in New Zealand and it was easy as i had a sterling account and it took a fortnight to clear, but here it's a nightmare to even pay those into a sterling bank account, it takes at least 6 weeks to clear and they will charge you ALL the fees they incur - HSBC quoted me $100-200 per cheque (not sure how true that is, it just seemed way to much a faff to deal with the whole 8 week thing so I've made other arrangements with my clients)
As for payments - you can get paid into a UK bank account then TT the money here, depending which banks are talking to each other it costs between 10 and 25 pounds, there is also a limit as to how much you can TT by phone in one go but HSBC's is 10000 pounds so I've not found it to be an issue!
The one thing not to do is get a sterling cheque sent here - that was how I was paid in New Zealand and it was easy as i had a sterling account and it took a fortnight to clear, but here it's a nightmare to even pay those into a sterling bank account, it takes at least 6 weeks to clear and they will charge you ALL the fees they incur - HSBC quoted me $100-200 per cheque (not sure how true that is, it just seemed way to much a faff to deal with the whole 8 week thing so I've made other arrangements with my clients)
