Working Part-time in the UK and USA
#31
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Re: Working Part-time in the UK and USA
Thanks Pulaski! That is exactly what I was I thinking.
#32
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Re: Working Part-time in the UK and USA
Ok, looks like I will be paid full-time in the US, but will actually only be there for 20 weeks of the year and the rest in the UK.
My wife will reside in the UK for the majority of the time and will visit me for 9 weeks of the year in the US.
Can I be paid my salary in to a US bank account, then transfer it to the UK and gift it to my wife, and thus avoid any further US taxation (e.g. Exit tax or gains on a house purchase in the UK)?
It is all very complicated!
Cheers
Del
My wife will reside in the UK for the majority of the time and will visit me for 9 weeks of the year in the US.
Can I be paid my salary in to a US bank account, then transfer it to the UK and gift it to my wife, and thus avoid any further US taxation (e.g. Exit tax or gains on a house purchase in the UK)?
It is all very complicated!
Cheers
Del
#33
Re: Working Part-time in the UK and USA
Ok, looks like I will be paid full-time in the US, but will actually only be there for 20 weeks of the year and the rest in the UK.
My wife will reside in the UK for the majority of the time and will visit me for 9 weeks of the year in the US.
Can I be paid my salary in to a US bank account, then transfer it to the UK and gift it to my wife, and thus avoid any further US taxation (e.g. Exit tax or gains on a house purchase in the UK)?
It is all very complicated! ....
My wife will reside in the UK for the majority of the time and will visit me for 9 weeks of the year in the US.
Can I be paid my salary in to a US bank account, then transfer it to the UK and gift it to my wife, and thus avoid any further US taxation (e.g. Exit tax or gains on a house purchase in the UK)?
It is all very complicated! ....
You are creating the mirror of the problem that most people (who come here to BE) have when trying to live in the US and work remotely for a UK employer. You are required to pay HMR&C the taxes and NI in respect of the work you perform while in the UK, anything less is tax fraud.
#34
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Re: Working Part-time in the UK and USA
Thanks. Absolutely fine with that. How do they work out how much I am working in the UK?
Also, I guess that through the UK/us tax treaty that the tax I pay in the UK will be taken off my US tax bill?
Has anyone ever been through something similar.
Again, thank you for your help.
Also, I guess that through the UK/us tax treaty that the tax I pay in the UK will be taken off my US tax bill?
Has anyone ever been through something similar.
Again, thank you for your help.
#35
Re: Working Part-time in the UK and USA
.... Also, I guess that through the UK/us tax treaty that the tax I pay in the UK will be taken off my US tax bill? ....
You pay tax in each country on the money earned in each country. If you earn $100, $40 in the US and $60 in the UK, then you pay income tax, SS contributions and unemployment insurance in the US on $40 and you pay income tax and NI on $60 in the UK.
.... Has anyone ever been through something similar. ....
Honestly, if they want you enough to apply for a visa for you and allow you to work remotely more than half the time, then you need to tell them that the "one payroll" solution won't work, and you need to invoice them for the work in the UK so they can pay you gross. Failing that they probably need to bump up your pay in respect of the work in the UK by about 20% to reflect the excess SS and unemployment insurance being deducted.
Last edited by Pulaski; Sep 17th 2017 at 12:16 pm.
#36
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Re: Working Part-time in the UK and USA
Thanks Pulaski, much appreciated.
#38
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Re: Working Part-time in the UK and USA
Thanks Pulaski, just seen your edited bit. You are right, I will see if I can do the split and invoice from over here. I am guessing there are major benefits in doing it like that.
Again, I will post here with what happens.
Again, I will post here with what happens.
#39
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Re: Working Part-time in the UK and USA
Sorry, just noticed you mentioned self-employed rather than set up a limited company. Someone elsewhere mentioned that is the easier way to go as well as it does not fall foul of ir35. Less tax beneficial though.