Hello
Guest

Sponsored Links


Topic: freelance/contract work for usa company working remotely in uk  (Read 1348 times)

0 Members and 1 Guest are viewing this topic.

  • *
  • Posts: 1249

  • Liked: 0
  • Joined: Aug 2004
  • Location: High Wycombe, Bucks
I've been in contact with an IT company that is considering having me do freelance work for a client in USA but working remotely from home in the UK.
The payments could be made to my USA bank account so would not be remitted to the UK unless I later did a transfer from my USA bank account to UK account.

If I was contracting for a UK company I know that I'd simply setup a LLC with Companies House and get standard UK accountant to deal with tax affairs.

Does anyone know if similar process would be followed for the USA client, ie setup LLC company in UK and invoice to it and would tax implications be much more complex?
And the world first spoke to me in Sensurround


  • *
  • Posts: 2638

  • Liked: 107
  • Joined: Dec 2005
Re: freelance/contract work for usa company working remotely in uk
« Reply #1 on: April 21, 2012, 10:20:52 AM »
LLCs do not exist in the UK. I suspect you meant to talk about a UK Ltd. If you were using a UK Ltd this would be either a CFC or a PFIC so would have more complex tax issues.

UK based self-employment would be taxable in the UK. If you are a US person it would also be taxable in the US, subject to credits for UK tax.


  • *
  • Posts: 1249

  • Liked: 0
  • Joined: Aug 2004
  • Location: High Wycombe, Bucks
Re: freelance/contract work for usa company working remotely in uk
« Reply #2 on: April 21, 2012, 11:58:10 AM »
Thanks guya, yes, I did mean UK Ltd. Company.
Could you advise what CFC and PFIC stand for?

It's most likely I'd be self employed if I took this work so I'm assuming most likely would setup UK Ltd company.  I don't know if there are any other options in this particular circumstance?
And the world first spoke to me in Sensurround


Sponsored Links





 

coloured_drab