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advice for a non-UK citizen

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    advice for a non-UK citizen

    what is best solution is such situation:
    -have double Ukrainian and German citizenship
    -found a customer in UK, we discussing the terms of contract
    -will be more than 183 days out of Germany, probably spending the rest of time between UK and Ukraine, travelling back and forth (programmers are here and there and I should work with both teams)

    I think, these are good prerequisites to save a lot of taxes, but this looks too complicated to me.
    Would you suggest some accountant who is good in such "expat" cases?

    Or may be a good umbrella company understanding this international tax chaos?

    #2
    It looks like there maybe tax implications in all three countries. Basically you tax yourself where you do the work. If you split your time equally between the Ukraine and UK then really you´ll be expected to tax in both of those countries. That´s the safe way to do it. You can try and get it taxed in one of those countries but then the other country will try and come after you.

    Just because you are not 183 days in Germany doesn´t mean to say you´re not tax resident. If your family is there you will be expected declare your income. They will respect the double taxation treaties and may or may not request additional tax to be paid.

    It´s complicated and requires advice in all three countries, it is a can of worms My advice would be to be "paranoid", pay tax on the money you earn in the Ukraine in the Ukraine, pay tax in the UK on money you earn in the UK and be very honest with the German tax authorities, as to whether you are there and submit a tax return.
    Last edited by BlasterBates; 19 March 2013, 23:11.
    I'm alright Jack

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      #3
      advice for a non-UK citizen

      And AIUI neither Germany nor Ukraine allow dual citizenship so you may have lost one or the other without knowing it.

      Comment


        #4
        Originally posted by stek View Post
        And AIUI neither Germany nor Ukraine allow dual citizenship so you may have lost one or the other without knowing it.
        Don't know about Ukraine, but Germany does.

        Linky
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          #5
          Fairly specific rules for Germany as I understand it Contracting in Germany - SJD Accountancy
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            #6
            advice for a non-UK citizen

            Originally posted by TheFaQQer View Post
            Don't know about Ukraine, but Germany does.

            Linky
            Surely you mean doesn't! There are exceptions such as another EU citizenship or that of a parent but mostly it's a no.

            Pretty sure cos my partner worked and lived in Germany and was on the residency/citizen track and told in no uncertain terms the she'd have to give up her Russian passport for a German one. Not many former Sovs would do that! Her gramps would disown her..

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              #7
              advice for a non-UK citizen

              Here we are

              Allowed under following circumstances:

              If he/she is an EU or Swiss citizen during naturalization.
              If he/she is a refugee and holds a 1951 travel document during naturalization.
              where a child born to German parents acquires another citizenship at birth (e.g. based on place of birth, or descent from one parent)
              where a naturalized German citizen, or a child born to non-German parents (non-EU or Swiss) in Germany, request and obtain a permission to keep his foreign nationality.
              where a German citizen acquires a foreign nationality with the permission of the German government (e.g. existing relative ties or property in Germany or in the other country or if the occupation abroad requires domestic citizenship for execution)

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                #8
                Originally posted by stek View Post
                And AIUI neither Germany nor Ukraine allow dual citizenship so you may have lost one or the other without knowing it.
                First of all, many thanks for your attention to this dual citizenship thing. IN GENERAL you are right, it is not allowed on both sides. Nevertheless, the German law contains a number of exceptions (and in the past there was a lot of these exceptions), and I am one of these exceptions. Ukraine just does not care about this, I have official confirmation from Ukrainian embassy.

                I think, the situation with taxes in my case is quite similar, I mean almost everybody knows the GENERAL rules, but "the devil is in the details" and I need somebody who knows such details (accountant?)

                My situation is not so exceptional, I think UK citizens living, let say in Switzerland and having contract in, let say, Holland, are in the very similar situation.

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                  #9
                  Originally posted by stek View Post
                  And AIUI neither Germany nor Ukraine allow dual citizenship so you may have lost one or the other without knowing it.
                  I second that. Make sure you keep the German citizenship though
                  My mind has gone blank. I wonder if it was always that way.

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                    #10
                    is an offshore umbrella company a good idea in my case?

                    I know, there are discussions about how legal these companies are, but may be in my particular case this make sense?

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