Contract for working in the Netherlands and the UK

[Bob Oxtoby]

I am hoping that someone can give me some advice with regard to a contract which allows me to work 2 days a week in the Netherlands and 3 days a week from home.

I have my own limited company which my wife and I both work for. We work on separate unconnected contracts.

I am lead to believe by the agent that for my work in the Netherlands I will need to be a temporary employee of their partner Dutch agency. This means I will be paying Dutch PAYE, but getting a 30% reimbursement.

However, I am lead to believe that because my company issues multiple invoices per month and therefore I am not a "one man band" and that I am working less than 158 days per year in the Netherlands there is no reason why I should not have a 5 days a week UK contract.

I am quite happy that I am IR 35 proof on this which is another reason for the agent wanting to go this way, apparently.

Any views would be very welcome.

Thank you in advance,

Bob.

[Advocate]

I am hoping that someone can give me some advice with regard to a contract which allows me to work 2 days a week in the Netherlands and 3 days a week from home.

I have my own limited company which my wife and I both work for. We work on separate unconnected contracts.

I am lead to believe by the agent that for my work in the Netherlands I will need to be a temporary employee of their partner Dutch agency. This means I will be paying Dutch PAYE, but getting a 30% reimbursement.

However, I am lead to believe that because my company issues multiple invoices per month and therefore I am not a "one man band" and that I am working less than 158 days per year in the Netherlands there is no reason why I should not have a 5 days a week UK contract.

I am quite happy that I am IR 35 proof on this which is another reason for the agent wanting to go this way, apparently.

Any views would be very welcome.

Thank you in advance,

Bob.

My understanding is that the 30% tax reimbursement is only if you're resident in NL...

[BlasterBates]

I am hoping that someone can give me some advice with regard to a contract which allows me to work 2 days a week in the Netherlands and 3 days a week from home.

I have my own limited company which my wife and I both work for. We work on separate unconnected contracts.

I am lead to believe by the agent that for my work in the Netherlands I will need to be a temporary employee of their partner Dutch agency. This means I will be paying Dutch PAYE, but getting a 30% reimbursement.

However, I am lead to believe that because my company issues multiple invoices per month and therefore I am not a "one man band" and that I am working less than 158 days per year in the Netherlands there is no reason why I should not have a 5 days a week UK contract.

I am quite happy that I am IR 35 proof on this which is another reason for the agent wanting to go this way, apparently.

Any views would be very welcome.

Thank you in advance,

Bob.

For short periods you can tax in one place, but if you really are doing work in the UK for more than 183 days, strictly speaking you must tax that in the UK. In an organisation I worked in near a border they only allowed home working in the same country.

However I think it is unlikely that they anyone in HMRC would investigate.

You'll be spending most of your time in the Netherlands so I don't think HMRC are going to be questioning it.

You will have to declare your Netherlands income on your UK tax return, but as you are an employee it won't be taxed again, but you may need an accountant to ensure that HMRC don't slap on a surcharge.

[coultog]

I would be pushing to bill everything through the UK agency and have the clientco do internal invoicing across the two business units/countries.

That seems by far the easiest solution for everyone.

[norrahe]

My understanding is that the 30% tax reimbursement is only if you're resident in NL...

yes!

IF you've got a decent accountant, then speak to them about the best way to invoice.