Contracting Overseas - Paid by UK Company

[LisaContractorUmbrella]

Does a word "traffie" mean anything to anyone in this thread?

No Care to enlighten us?

[Gonzo]

So my first question is, can I invoice through a UK Ltd / Umbrella or do I need to start getting involved with the Australian tax system and invoice through an Australian company?

There are two questions that have to be considered:

1. Where are you tax resident?
2. Where is your company tax resident?

I haven't looked into the Australian rules but I do know that the answer to 2 for another antipodean country is that the company becomes resident in their jurisdiction the moment that the control of the company (i.e. you) becomes resident in their jurisdiction.

It is potentially a trappy situation but one I am sure can be mitigated with the appropriate preparation.

[DiscoStu]

There are two questions that have to be considered:

1. Where are you tax resident?
2. Where is your company tax resident?

I haven't looked into the Australian rules but I do know that the answer to 2 for another antipodean country is that the company becomes resident in their jurisdiction the moment that the control of the company (i.e. you) becomes resident in their jurisdiction.

It is potentially a trappy situation but one I am sure can be mitigated with the appropriate preparation.

Thanks Gonzo. Decided to use a UK umbrella so I'm assuming 2 won't apply.

Spoke to Abbey Tax and they've said that < 6 months I should be OK for tax residency - any point after that and I should see an Australian tax specialist.

Think this could be a bit of a minefield if the contract comes off...

[mrv]

Take it easy, gentlemen, no harm intended. I just heard about one project in Australia that has had pretty high demand for contractors recently, so I thought maybe you were talking about the same thing. As it turns out - probably not.