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Tax

Old 7th Aug 2019, 17:53
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Tax

Are there any more tax free countries for UK long haul pilots who want to commute?
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Old 8th Aug 2019, 08:12
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Why do you feel itís appropriate to work in the UK but pay no tax for the services that you may end up using.
I dan take a disagreement with the level of taxation but to avoid it entirely is immoral.
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Old 8th Aug 2019, 08:22
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You want to live in the UK, you have to pay tax in the UK. The end.
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Old 8th Aug 2019, 08:50
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I donít want to live in the UK but would like to move abroad and commute to work.
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Old 8th Aug 2019, 09:03
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To the OP...not sure of the exact details but you might want to look for any threads here relating to Portugal.

Other than that it looks like the outrage bus has been boarded by some, so to them:

If an individual is commuting in/out of the UK for work but resides with family "elsewhere" and they are using facilities "elsewhere" (healthcare, schooling etc) then I certainly don't see why the UK should be claiming the lion's share of tax on income ...just a IMHO of course.

To further reduce the angst dare I point out that many in the situation described by the OP still pay the full eye watering amount of UK NI (no reduction to that) and also a proportion of Income Tax based on time spent working in the UK.

What happens "taxwise" when you get home to family "elsewhere" is down to things such as Double Taxation agreements and local arrangements.
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Old 8th Aug 2019, 09:24
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Originally Posted by wiggy View Post
To the OP...not sure of the exact details but you might want to look for any threads here relating to Portugal.

Other than that it looks like the outrage bus has been boarded by some, so to them:

If an individual is commuting in/out of the UK for work but resides with family "elsewhere" and they are using facilities "elsewhere" (healthcare, schooling etc) then I certainly don't see why the UK should be claiming the lion's share of tax on income ...just a IMHO of course.

To further reduce the angst dare I point out that many in the situation described by the OP still pay the full eye watering amount of UK NI (no reduction to that) and also a proportion of Income Tax based on time spent working in the UK.

What happens "taxwise" when you get home to family "elsewhere" is down to things such as Double Taxation agreements and local arrangements.
Thanks a lot!
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Old 8th Aug 2019, 13:12
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Originally Posted by FlyingStone View Post
You want to live in the UK, you have to pay tax in the UK. The end.
maybe the younger generations donít want to pay for later generations greed and inter-generational theft. Property prices being an example of this.

Especially as we wont see anything like the perks certain earlier generations got in terms of state pension, welfare and opportunities to work.
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Old 8th Aug 2019, 14:20
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maybe the younger generations don’t want to pay for later generations greed and inter-generational theft. Property prices being an example of this.

Especially as we wont see anything like the perks certain earlier generations got in terms of state pension, welfare and opportunities to work.
Oh dear. It seems that the tax I paid didn’t do much for VinRouge. “Later generations” ... how do you know that the children of YOUR generation and those that follow are going to be greedy? Perhaps they will take after their parents?



Last edited by Small cog; 8th Aug 2019 at 15:22.
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Old 8th Aug 2019, 14:38
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Originally Posted by Googlebug View Post
Why do you feel itís appropriate to work in the UK but pay no tax for the services that you may end up using.
I dan take a disagreement with the level of taxation but to avoid it entirely is immoral.
There are many loop holes to avoiding tax many are legal if done correctly.
Immoral is your opinion.

In my previous self employed job I paid pretty much 0 tax all legally. Immoral maybe illegal no.

If you can find a way round it crack on.

Last edited by AIMINGHIGH123; 8th Aug 2019 at 15:30.
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Old 10th Aug 2019, 08:13
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Originally Posted by Googlebug View Post
Why do you feel itís appropriate to work in the UK but pay no tax for the services that you may end up using.
I dan take a disagreement with the level of taxation but to avoid it entirely is immoral.
Good question Googlebug. Why indeed. Why would any taxpayer feel it's appropriate to pay taxes for services they neither need, nor want? Let's consider them for a moment - free health - the greatest con of all time. Decades ago, PJ O'Rourke said, "If you think health care is expensive now, wait 'til it's free", yet many still consider lawful drug pushing beneficial for their health! Certainly not the Royals, who rely on Homeopathy, or anyone else who's bothered to consider the subject objectively. The same goes for education, which are state run indoctrination camps that help create gaps between generations, pitting the youth against their own parents, just by stealing their minds slowly, but surely. For each service our taxes provide, there is a much greater cost in freedom we lose as we become dependent on big bruvver to do for us what we could, and rightly should, do for ourselves.

Then we could ask why should Govts need any taxes at all from us when they have the proverbial horn of plenty. When we work and get $1000 gross, straight away tax takes at least $300, then we spend about $500 in the next week just to live, on things that include at least another $200 in tax. So, by the end of the week, we've just given half our pay to Govt, but that's not the best part. When Govt spend any money, it comes back to them, even if they throw it around like drunken sailors. Therefore, the notion that we even need to pay tax is absurd if we knew the true figures behind this scam. Walter J Burien calculated that in the US, tax provided just 1/3 of Govt revenue, the remaining 2/3 was from investments on capital. But it gets even better. Govt funds never lose, unless they're set up for public benefit. Why? Because they make the rules, so they never back something they know won't win because it doesn't suit their long term agenda. In fact, they have so much money invested at high return on zero tax that they can even afford to crash a few of their own investments if it suits their plans to do so. Remember, Govt win whether we win or lose. In fact, it can be argued that they win more when we lose.

If you want further reason, we could talk about how all wars are ploys to plunder countries at taxpayers expense on the justification that they're for our defence. After that, it gets ugly. Seriously ugly. Do you need to know any more?
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Old 10th Aug 2019, 08:59
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No-one really likes to pay tax. We tolerate a rate of taxation which we perceive is fair in return for the things that the state gives us in return. It seems almost the natural scheme of things that if we can reduce the amount of tax that is to be paid, we will, if we perceive that the tax has risen above our perception of fair. Perhaps the OP is sensibly predicting a Corbyn government in waiting and the re-introduction of super taxation for the perceived wealthy. A sensible plan to mitigate over-taxation might well be re-locating and commuting to the UK. Just as people did during the 1970's.
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Old 10th Aug 2019, 11:45
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Andorra as a passive resident, 90 days per year in the country as a requirement. Flat tax of 10% on anything above Ä40000 if you are married, (above Ä24000 if single). Many pilots living here, but even on a full time long haul schedule it can be a tough commute. I myself do a 30/30 rotational schedule.
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Old 10th Aug 2019, 16:27
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And what about Malta, Gibraltar, or Switzerland?
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Old 10th Aug 2019, 17:09
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I would choose somewhere that has an easy commute with plenty of flights or transport links. Spain, Portugal are pretty good. I know there are pilots that live in Monaco and Andorra, but it is a bit of a drag of a commute.
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Old 10th Aug 2019, 18:14
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Originally Posted by hunterboy View Post
I would choose somewhere that has an easy commute with plenty of flights or transport links. Spain, Portugal are pretty good. I know there are pilots that live in Monaco and Andorra, but it is a bit of a drag of a commute.
The only way to be tax exempt in Spain is to spend less than 183 days/year there as a single guy. If you are married and/or have children in Spain then you are considered to have your main financial interests in Spain no matter how few days you yourself spend there, i.e the tax man wants his share and with a decent salary that will be 40ish percents.

As mentioned, there are nowadays very few places in Europe where you can (legally) avoid paying taxes. Itís all fun and games until itís not.
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Old 10th Aug 2019, 22:29
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I know quite a few who are doing the following in Spain:

​​​​
Quote:
In accordance with article 7p of the Spanish Personal Income Tax (PIT) Law. If certain conditions are met, Spanish tax residents are entitled to an exemption in their tax return for the employment carried out outside Spain of up to 60,100 euros per year.

Therefore, everyone who has worked abroad temporarily, keeping residency in Spain has right to the exemption of this article if the certain requirements are met, such as:
  1. The work must be developed physically abroad.
  2. The employment must be carried out for a company not resident in Spanish territory.
  3. In the country where the work is performed there must be an identical or similar tax to the Spanish PIT. This requirement shall be considered achieved whenever there is Double Tax Treaty signed between both countries, that includes a clause of information exchange. This cannot be effective if the country of destination is qualified as a tax haven.
  4. The exemption has a limit of 60,100 annual euros.
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Old 10th Aug 2019, 23:13
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I was talking about fully exempt.

I suppose if that’s the kind of number we are talking about then it can be worth it. With any kind of decent sized salary you will still be paying a lot in taxes.
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Old 10th Aug 2019, 23:26
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As far as Spain goes, I understand that minor children don’t count as a residence tie. I appreciate that for the vast majority of pilot commuters that wouldn’t be particularly relevant, as their children would be cared for by the mother/spouse that does count as a tie.
The €60,100 deduction does come in handy though.
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Old 11th Aug 2019, 05:37
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Itís not so much where you live, itís where you donít live. Itís necessary to pass the non-residency tests in the UK, then either find a country with a favourable tax regime for non-nationals, e.g. Portugal, or not spend long enough anywhere outside the UK to become liable for taxation under their rules.

If the flights you operate go in or out of the UK, then some of that counts as work and is taxable but when set off against allowances will leave you in a low tax bracket with very little to pay.
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Old 11th Aug 2019, 07:20
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Originally Posted by srjumbo747 View Post
Are there any more tax free countries for UK long haul pilots who want to commute?
You can check out this list of income tax rates. Not too many tax free countries left, but Isle of Man has a low rate.

https://tradingeconomics.com/country...ncome-tax-rate
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