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Tax

Old 14th Aug 2019, 22:06
  #21 (permalink)  
 
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It's rather ironic how much flexibility there is with the HMRC Statutory Residence Test if you turn the OP's situation around and wish to have a residence in the UK and commute and work for a long haul operator that is based outside of the UK.

I doubt there would be many who would refuse the ability to legally pay less tax if any at all, given the opportunity presented itself. It will not take a mathematician to invest the surplus capital and achieve a far better return than one would earn through the state!
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Old 14th Aug 2019, 22:26
  #22 (permalink)  
 
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Can you please explain how you satisfy the uk non tax resident criteria at the same time as not spending enough time in Portugal to be classified as a tax resident ( full or non-habitual). Gaming the system between two EU countries to not pay tax in either sounds like it will end in tears
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Old 15th Aug 2019, 00:50
  #23 (permalink)  
 
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It is possible. I am carrying out due diligence on a wide-body commuting job in Asia that is akin to part-time with blocks of days off each month.

As there would be at least 6 trips per year in a working capacity as a crewmember in or out of LHR, the third UK and overseas statutory residence tests (SRT) would not apply, as HMRC would view it as a ‘Relevant Job’ and I would therefore be exempt from those SRT tests. Providing I do not spend more than 183 days in the UK and since I own a second residential property in Spain, which I would spend more than 30 days at every year, then my maximum number of days allowed in the UK would be determined by my number of ties I have to the UK as set by HMRC.

It would allow me 120 days in the UK with every third year allowing me up to and including 182 days. Spain is far easier to assess as the threshold is 183 days and as I have no family living there permanently, plus given I would spend more days in the UK than in Spain, they could not class it as my primary residence either. I would therefore not meet the residence criteria for income tax purposes.

Sorry for the long winded explanation and for the thread drift from the OP's initial topic.
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Old 15th Aug 2019, 14:53
  #24 (permalink)  
 
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Originally Posted by Arthur1815 View Post
Can you please explain how you satisfy the uk non tax resident criteria at the same time as not spending enough time in Portugal to be classified as a tax resident ( full or non-habitual). Gaming the system between two EU countries to not pay tax in either sounds like it will end in tears
Correct me if I'm wrong, but I think the tax break in Portugal is only for retirees.
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Old 15th Aug 2019, 15:10
  #25 (permalink)  
 
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Originally Posted by The Range View Post
Correct me if I'm wrong, but I think the tax break in Portugal is only for retirees.
Depends which "tax break" you are thinking of. According to one or two conversations I have had with Portuguese residents there are certainly some financial advantages to be had by living there even if you are still gainfully employed.
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Old 16th Aug 2019, 11:27
  #26 (permalink)  
 
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Originally Posted by wiggy View Post
Depends which "tax break" you are thinking of. According to one or two conversations I have had with Portuguese residents there are certainly some financial advantages to be had by living there even if you are still gainfully employed.
As an interested bystander, do you know what these advantages are? Google isnít very useful on the subject.

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Old 16th Aug 2019, 12:10
  #27 (permalink)  
 
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Originally Posted by Vokes55 View Post
As an interested bystander, do you know what these advantages are? Google isnít very useful on the subject.


You'd need to ask someone in that system for the exact details, I have enough trouble keeping track of the systems in the two countries I have to declare in...
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