IR35 and a contract abroad in Europe.

[gooddayall]

Q1. Should you worry about IR35 when you are contracted somewhere in Europe through your UK Ltd ?

Q2. In Sweden I will be paying something like 40 % to the local authorities ( because I am physically in Sweden) . Is there point at all to have this contract signed with my UK limited company ? I mean , if I am taxed 40 % already then whatever tax break the HMRC gives me is pointless and I am better off skipping the UK LTD entirely ?

[The Wikir Man]

Where are you paying your tax?

[expat]

Should you worry about IR35 when you are contracted somewhere in Europe through your UK Ltd ?

Of course. What difference would that make?

[gooddayall]

Where are you paying your tax?

UK for my contracting company! But I am Bulgarian.

[stek]

UK for my contracting company! But I am Bulgarian.

Do u have a Work Permit of have you been here longer than whatever the restriction was (two years?)

[gooddayall]

Of course. What difference would that make?

It is a contract in Sweden , however they may be paying me through my UK LTD.

[gooddayall]

Do u have a Work Permit of have you been here longer than whatever the restriction was (two years?)

We don't need permits for LTDs, only for being on someone else's PAYE.

I have been in the UK for 3 years , but my nationality is Bulgarian.

[Moscow Mule]

If you are paying your tax in the UK, it's wise to consider IR35 - no matter where your contract is.

You need to make sure you're following the golden rules, which may or may not be hard to prove depending on where you are...

[chef]

If you are paying your tax in the UK, it's wise to consider IR35 - no matter where your contract is.

You need to make sure you're following the golden rules, which may or may not be hard to prove depending on where you are...

i.e you should consider IR35 as your paying tax in the Uk and so the way you handle your business,the contracts you have with clients etc. should all be IR35 friendly wherever possible..

However, as you are contracting in Sweden, unless you give a very good reason I personally believe it is unlikely that HMRC would send anyone to a Swedish company to discuss your working practices as part of an investigation, although having aid that given the desperate levels HMRC seem to be going to for extra tax then it is not outside the realms of possibility. If it were me I'd ensure my contract was IR35 friendly and not worry too much about onsite working practices.. however, the above is my own opinion and not based on facts or precidents.

Chef

[stek]

We don't need permits for LTDs, only for being on someone else's PAYE.

I have been in the UK for 3 years , but my nationality is Bulgarian.

AIUI A2 countries citizens are only allowed to be self employed?