dbd33

Understood. Some colleagues foster the nerdy look by wearing spectacles with blank glass, there's a cost to those, but the rest of the computer expert appearance package has a negative cost; not doing laundry, not shaving, not having one's hair cut and so on. The simple HST method is better in such cases.

lhb0705

Hi all,

Could do with some advice from anyone with the knowledge, as I'm receiving a lot of conflicting into on the situation. I am due to move to Canada to be with my partner on a PR status over the next few weeks. The UK company I work for wish to keep me employed remotely whilst in Canada. There have been many discussions as to whether I can remain on payroll, or whether as a non-resident for tax purposes (the company I currently work for has no Canadian presence) this is not possible. My payroll department have advised they cannot keep me on payroll, however they have approached an umbrella company who have stated that they can put me on their UK based payroll, paying me in GBP to my UK bank account. However I cannot seem to get out of them how they would do this, or how I would deal with this from a CRA perspective?

I was just wondering if anyone has any experience of staying on a UK based payroll, whilst considered a non-resident for tax purposes?

Thanks very much in advance.

lhb0705

Hi all,
​​​​​​Hit another stumbling block here that the company I work for is stating that they cannot pay me to a Canadian bank account. However as I would not be VAT registered in the UK, there are issues here also.
​​​​​​Does anyone know of any issues of me being paid into a UK bank account, whilst registered as a business in Vancouver and transferring the funds over?

Thanks again

dbd33

I don't know how you would get caught but surely it's a nonsense to claim that you are a Permanent Resident and non-Resident at the same time. How would you meet the "residence in Canada" requirements for citizenship later on?

Some kosher options might be:

- get paid in the UK as you describe, declare all the income in both Canada and the UK, treaties mean it's only taxed once. I would expect a nightmare of administrivia.
- become a contractor and bill your former employer in pounds or dollars (dollars if they'll agree to it) from Canada, deal with all taxes in Canada. This is a common thing to do, I'd say it's the usual approach.

dbd33

Just bill them from Canada and charge HST/GST, at a rate of zero, instead of VAT. Everyone wins.

Siouxie

I would question their assumption that they can't pay you to a Canadian bank account - it's a simple wire transfer - I've been paid (in STERLING) to my Canadian bank account for the last 4 years.

You may leave yourself open to paying NI contributions (potentially) in the UK if you get paid in the UK for work performed there - as an employee.
If you intend to remain as an employee then you would need to apply for a NT code from the Inland Revenue..


As DbD said - become self employed then you invoice them - 0 rate the HST/GST and they pay you

Siouxie

I've merged your 2 threads.