Tax implications from UK business
Sep 6th 2007, 10:32 pm
#1
Just Joined
Thread Starter
Joined: Jun 2005
Location: Kettering, UK
Posts: 9
Tax implications from UK business
I will hopefully be moving to the US within the next couple of years (I have been saying this for about 5 years already, but my American wife would rather stay here in the UK)
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
Sep 6th 2007, 10:35 pm
#2
SUPER MODERATOR
Joined: Dec 2005
Posts: 88,022
Re: Tax implications from UK business
I will hopefully be moving to the US within the next couple of years (I have been saying this for about 5 years already, but my American wife would rather stay here in the UK)
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
Sep 6th 2007, 10:38 pm
#3
Account Closed
Joined: Jul 2005
Posts: 15,019
Re: Tax implications from UK business
sorry i can't help with your tax questions however i will comment that you have a very sensible wife by the sounds of things!
Sep 6th 2007, 11:27 pm
#4
Homebody
Joined: Jan 2005
Location: HOME
Posts: 23,181
Re: Tax implications from UK business
I will hopefully be moving to the US within the next couple of years (I have been saying this for about 5 years already, but my American wife would rather stay here in the UK)
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
.
Sep 6th 2007, 11:32 pm
#5
Not living a 9 to 5 life
Joined: Jun 2002
Location: North Carolina
Posts: 11,061
Re: Tax implications from UK business
I will hopefully be moving to the US within the next couple of years (I have been saying this for about 5 years already, but my American wife would rather stay here in the UK)
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
I will shortly be starting an online UK business and I'm trying for find out what the tax implications will be. When I move stateside I shall still want to run the UK business. I will be paid in UK pounds and will be paying UK taxes on those earnings. Most / all of the money made from this business will stay in the UK. Will I also have to pay US taxes on this income as well as the UK taxes. The future anticipated earnings will likely be between £10k - £20k
Regards,
Robert.
Sep 6th 2007, 11:57 pm
#6
.
Joined: Nov 2002
Location: Where bad things rarely happen in movies
Posts: 8,933
Re: Tax implications from UK business
I believe a UK based business earning money in the UK will be liable for UK taxes...
I don't think the company will be liable to US taxes on the company's UK earnings.
Once you start paying yourself a salary from that company, then that will have to be declared on your US returns (and you should be able to offset any UK taxes paid.
I'm pretty sure about the 1st and 3rd statements above, but not the middle one....that may get confused by your residency.....
Note there were lots of "believe", "should" and "think" type words in there - talk to an expert - I'm not one!
I don't think the company will be liable to US taxes on the company's UK earnings.
Once you start paying yourself a salary from that company, then that will have to be declared on your US returns (and you should be able to offset any UK taxes paid.
I'm pretty sure about the 1st and 3rd statements above, but not the middle one....that may get confused by your residency.....
Note there were lots of "believe", "should" and "think" type words in there - talk to an expert - I'm not one!
Sep 7th 2007, 1:19 am
#7
.
Joined: Nov 2002
Location: Where bad things rarely happen in movies
Posts: 8,933
Re: Tax implications from UK business
My last was posted on the basis of actually incorporating a company, but I've just noticed the level of income you're expecting, so I guess you may just be operating as a sole proprietorship? In that case you may end up having to declare the company income as personal income straight off the bat.....definitely talk to a professional!
