C
confussed
Guest
Hi everyone,
I am in a wierd tax situation. I am a self employed engineering contractor, but I do not work in Ireland. I work in other EU coutries except the UK simply because mainland europe has a better rate for my profession. For example: when a job comes up I will receive a call from any of the several agencies I am registered with in the UK, they will say something like "our client in Denmark has a requirement for you for 3 months, at €x per hour, expect 60 hrs per week, flights and accomadation etc included".
Now I will accept the offer and go to Denmark work for the Danish company, send my timesheet to the agency weekly (the agency will invoice Danish company at the rate they agreed , then it takes their cut and pays me the rate we agreed!!!). BUT I had to register with whats called an umbrella company in the UK,who have my banking details etc (eg here http://nopalaver.co.uk/ or http://www.paytechpayroll.co.uk/). The agency said they could not by law pay me directly into my personal account but could pay me through these umbrella companies. So the umbrella company also takes a cut and they pay me the following friday into my personal bank account which is in Ireland.
So the money goes from Danish company-agency-umbrella company-me!
I lose about €100 per week through bank charges and umbrella company charges.
I have never been asked in any country to pay tax.
Is this illegal?
I just want to know do I have to pay tax? If so to who etc?
If so whats the best way to pay the least tax, a friend advised me to set up a Ltd company, she also said she thinks I can become non resident?
Im a first time poster and I hope I have explained my question clearly.
I dont want to come home some day to a letter from the Revenue, im trying to go about this the right way. Please let me know what you think or if you can shed some light on this. Cheers.
I am in a wierd tax situation. I am a self employed engineering contractor, but I do not work in Ireland. I work in other EU coutries except the UK simply because mainland europe has a better rate for my profession. For example: when a job comes up I will receive a call from any of the several agencies I am registered with in the UK, they will say something like "our client in Denmark has a requirement for you for 3 months, at €x per hour, expect 60 hrs per week, flights and accomadation etc included".
Now I will accept the offer and go to Denmark work for the Danish company, send my timesheet to the agency weekly (the agency will invoice Danish company at the rate they agreed , then it takes their cut and pays me the rate we agreed!!!). BUT I had to register with whats called an umbrella company in the UK,who have my banking details etc (eg here http://nopalaver.co.uk/ or http://www.paytechpayroll.co.uk/). The agency said they could not by law pay me directly into my personal account but could pay me through these umbrella companies. So the umbrella company also takes a cut and they pay me the following friday into my personal bank account which is in Ireland.
So the money goes from Danish company-agency-umbrella company-me!
I lose about €100 per week through bank charges and umbrella company charges.
I have never been asked in any country to pay tax.
Is this illegal?
I just want to know do I have to pay tax? If so to who etc?
If so whats the best way to pay the least tax, a friend advised me to set up a Ltd company, she also said she thinks I can become non resident?
Im a first time poster and I hope I have explained my question clearly.
I dont want to come home some day to a letter from the Revenue, im trying to go about this the right way. Please let me know what you think or if you can shed some light on this. Cheers.