Working abroad with company in UK
JodieR
Registered Posts: 1,002 Beyond epic contributor 🧙♂️
Client has been working in Dubai since June 2011 and intends to stay based there until May 2013 and therefore should qualify to be regarded as a non-resident while he's away.
He now wants to set up a Ltd Company with his wife so that when he comes back he'll have work to return to. There's also a chance that the company will start to generate money before he's back from Dubai.
So, at what point would he loose entitlement to ESC A11? would becoming a director of a UK company trigger this? or managing a UK company? or receiving dividends from a UK company? Or none of these? I've read it ESC A11 but it doesn't cover anything like this. Hope someone can help.
He now wants to set up a Ltd Company with his wife so that when he comes back he'll have work to return to. There's also a chance that the company will start to generate money before he's back from Dubai.
So, at what point would he loose entitlement to ESC A11? would becoming a director of a UK company trigger this? or managing a UK company? or receiving dividends from a UK company? Or none of these? I've read it ESC A11 but it doesn't cover anything like this. Hope someone can help.
0
Comments
-
Is his wife also in Dubai?
If she is in the UK, keep the company in her sole name until he returns. Simples?0 -
That is an option, yes, but it's all a bit vauge & I'd quite like to know where the line is drawn, there just doesn't seem to be much guidence on it0
-
Fair enough.
ESC A11, split year treatment, seems to me to be fine. It's about residency. Having a Ltd Co in a country does not make you resident. If he meets all the other non-residency tests then I would have thought it would be ok but like you say, something definitive would be nice.
I would say he passes ESC A11 and qualifies.
So now, look at the rules for non-resident directors of UK Ltds, maybe you will find something there. If it helps, I have friends who own Ltd Companies that are trading and they are non-resident for a few years while living abroad. They still get dividends etc. But that's a medium sized company - I don't know if an OMB is different.0 -
thanks... phoned HMRC.... on hold for 15 mins... told to write in with the facts and someone will make a decision. what a hassle!0
Categories
- All Categories
- 1.2K Books to buy and sell
- 2.3K General discussion
- 12.5K For AAT students
- 318 NEW! Qualifications 2022
- 161 General Qualifications 2022 discussion
- 11 AAT Level 2 Certificate in Accounting
- 56 AAT Level 3 Diploma in Accounting
- 87 AAT Level 4 Diploma in Professional Accounting
- 8.8K For accounting professionals
- 23 coronavirus (Covid-19)
- 272 VAT
- 92 Software
- 273 Tax
- 135 Bookkeeping
- 7.2K General accounting discussion
- 200 AAT member discussion
- 3.8K For everyone
- 38 AAT news and announcements
- 345 Feedback for AAT
- 2.8K Chat and off-topic discussion
- 582 Job postings
- 16 Who can benefit from AAT?
- 36 Where can AAT take me?
- 42 Getting started with AAT
- 26 Finding an AAT training provider
- 48 Distance learning and other ways to study AAT
- 25 Apprenticeships
- 66 AAT membership