Tolley’s Expatriate Tax Planning covers the taxation of both UK individuals working abroad and foreign nationals working in the UK, however short or permanent the work period, enabling the reader to:
Plan international assignments in advance
Find solutions and answers to issues that arise in regard to existing employment situations
Deal with expatriate employee issues without recourse to third-party specialist advice
This title focuses on: planning to mitigate the income tax and social security contributions on expatriate employees’ earnings (often an employer cost); reducing the employer’s payroll and administration costs; limiting the employer’s potential exposure to HMRC PAYE audits and avoiding section 9A enquiries into employee tax returns.
- 2017-18 is a critical year for expatriates and their employers, as they cannot rely on the EU rules after 31 March 2019. Alternative arrangements and strategies must be established for current and future international employments, and adopted before the UK leaves the EU. This edition proves a summary of the BREXIT issues (to be developed in future editions) affecting expatriate employments within the EU/EEA and Switzerland, including US corporation employees based in the UK to work in Europe. Effects on the earnings and capital of expatriate employees of the deemed UK domicile rules from 6 April 2017, including employment income, residential property gains, 6 April 2017 CGT rebasing for foreign assets, and IHT in cross-border situations.
- Mixed account cleansing for individuals deemed UK-domiciled at 6 April 2017.
- New guidance on Scottish-resident taxpayers.
- New termination payment rules from 6 April 2018, including abolition of foreign service relief and employer NICs.
- New requirements for UK-approved foreign pension schemes from 6 April 2017, the new overseas transfer charge, HMRC guidance cash lump sums and the reduced annual allowance.
- Class 2 NICs abolition: effect on topping up NICs to protect UK benefit entitlement.
- Apprenticeship Levy for expatriate employers.
- 2017-18 updated Appendices: the basis of assessment of earnings, the remittance basis charge, and the 183-day employment rule in recent double taxation treaties.
Table of contents
1. Domicile and Residence in Employment Situations
2. Taxation of General Earnings
3. Tax and NICs on Special Types of Earnings
4. Employee Expense Deductions and Exemptions
6. Share-Based Incentives
7. Double Taxation
8. Social Security Contributions
9. Special Employments
10. Employer and Employee Compliance
11. Capital Taxes