Yes there are tonnes of threads but frankly they are as clear as mud.
So here is the situation.
Seems that there are lots of companies that are setting up UK contracts to send consultants to other countries. In these cases there is no cross border billing just UK B2B transactions with UK vat paid. There are a fair few angents that are using the line dont worry its paid in the UK you will be fine, to get lower rates. I think this is nowhere near correct but we do not have a good example of what good looks like.
With this in mind a UK consultancy wishes to engage my UK company on a fixed price piece of work based on UK law.
Some of the work will require me to pop over to Germany and have some client meetings. I am required to pay for the flights and accommodation in those cases.
Now the common advice that is on the other threads is:
Register as a freelancer in Germany. But Im not staying there and as such will not be renting accomodation. As an estimate I intend to be staying no more than 2 days at a time to allow for flight in, meetings then out again...
However the part that is never discussed is:
What portion of the cash should be paid in Germany?
Given that I am basing the work on additional value derived through the work not days worked apportioning £500 a day will not work. As a day taking a client for a meal is not the same as siting in Somerset and planning a thousand server migrations and the automation schemes for that...
UK how does one account for a reasonable salary paid in the EU country per day vs the overall profit on the job in the UK?
So here is the situation.
Seems that there are lots of companies that are setting up UK contracts to send consultants to other countries. In these cases there is no cross border billing just UK B2B transactions with UK vat paid. There are a fair few angents that are using the line dont worry its paid in the UK you will be fine, to get lower rates. I think this is nowhere near correct but we do not have a good example of what good looks like.
With this in mind a UK consultancy wishes to engage my UK company on a fixed price piece of work based on UK law.
Some of the work will require me to pop over to Germany and have some client meetings. I am required to pay for the flights and accommodation in those cases.
Now the common advice that is on the other threads is:
Register as a freelancer in Germany. But Im not staying there and as such will not be renting accomodation. As an estimate I intend to be staying no more than 2 days at a time to allow for flight in, meetings then out again...
However the part that is never discussed is:
What portion of the cash should be paid in Germany?
Given that I am basing the work on additional value derived through the work not days worked apportioning £500 a day will not work. As a day taking a client for a meal is not the same as siting in Somerset and planning a thousand server migrations and the automation schemes for that...
UK how does one account for a reasonable salary paid in the EU country per day vs the overall profit on the job in the UK?
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