Contract job in Europe, set up company in Thailand?

[TheAceFace]

Hi Guy's

 

I am looking for some advice on the below, I will try to explain my situation the best I can.

 

I have been away from the UK since 2002 and have my family in Thailand, during this time we had lived due to my work in Dubai for 5 years. The job has now finished so my family have relocated back to Thailand, unfortunately I am now based in Norway with a new company, obviously missing the family very much, given the high tax over here at 43% I am barley getting by let lone to be bale to properly take care at home. My family do not want to relocate here.

 

I may have the opportunity to work with another company as a contractor to help save on tax and get home home more often, I believe in the UK you can do this with a CIS card? Given I have been away so long I am unfamiliar with this and am just chasing my NI number as I forget that long ago. I had been told that as long as I pay tax (Which obviously I am willing to do), the company would consider paying me in Thailand as long as I set up a company there, I would just like your advice on the best way for me to approach this, can I or do I register a company in Thailand and provide the details to my Europe employer or shall I go the route of trying to obtain and register through the UK going the CIS route?

 

Sorry if the above is a bit vague as I have never worked as a contractor before and I am just trying to find the best solution that suits financially without the high tax burden.

[Crossy]

Thailand is the last place I'd consider setting up.

 

It's been a while since I've been contracting, but I used an umbrella company in Luxembourg (sorry I don't recall the name) or set up yourself in British Virgin Islands.

 

[TheAceFace]

1 minute ago, Crossy said:

Thailand is the last place I'd consider setting up.

 

It's been a while since I've been contracting, but I used an umbrella company in Luxembourg (sorry I don't recall the name) or set up yourself in British Virgin Islands.

 

Thanks Crossy, can the above be done online, I just want the easiest solution, last resort is to go on the books with the company in the UK, but again its the high tax.

[Crossy]

1 minute ago, TheAceFace said:

Thanks Crossy, can the above be done online, I just want the easiest solution, last resort is to go on the books with the company in the UK, but again its the high tax.

 

Like I said it's been a while, but yes I set up with the umbrella outfit (I really wish I could remember their name) and opened a Luxembourg bank account by remote control.

 

Can't say for setting up in BVI.

 

Sadly, I'm sure things have tightened up since.

 

[VocalNeal]

If your wife is Thai she can easily set up a company and get a tax/vat number.  

You can be an employee even if you don't work in and therefore have a work permit in Thailand. 

You can pay her to be office manager so she can pay the tax? As obviously you can work in Thailand.

 

If she lives in near Bangkok I can point her/you in the right direction.

 

Or they could hire you through and agency. If oil and gas should be easy.

 

[TheAceFace]

1 minute ago, VocalNeal said:

If your wife is Thai she can easily set up a company and get a tax/vat number.  

You can be an employee even if you don't work in and therefore have a work permit in Thailand. 

You can pay her to be office manager so she can pay the tax? As obviously you can work in Thailand.

 

If she lives in near Bangkok I can point her/you in the right direction.

 

Or they could hire you through and agency. If oil and gas should be easy.

 

Thanks Neil, not sure that route is possible. The company in the UK needs to see I pay tax somewhere, with me being a UK citizen they mentioned the CIS (self employed route) this way they will pay the 20% tax, I am just unsure on doing this hence looking at the offshore set up as Crossy mentioned. Its all giving me a headache tbh as never having done it before. Can you shed any more light on the agency option? the industry would be construction.

[VocalNeal]

Ask the guys in the offshore section?

[mshs]

9 hours ago, TheAceFace said:

may have the opportunity to work with another company as a contractor

Where is the company located?  If it is in the socialist utopia of Norway, taxes are owed there.  Assuming income taxes are higher than business taxes (working for your company), your best bet would be to form a Norske company with all its concomitant fees - formation, counsel, auditor etc. which may well be lower than BVI/Luxem offshore.

 

In addition, you'd have to set up a bank account for the offshore co. and have to deal with currency transfers fees, reporting etc.

 

Given that you are willing to invest ~$2,000-$3,000 on co. formation etc,, I'd suggest a $1.000 consultation with a CPA in your town in the first instance and you may well find that the path to lower tax burden to be quicker, easier and cheaper.

 

 

[TheAceFace]

11 hours ago, mshs said:

Where is the company located?  If it is in the socialist utopia of Norway, taxes are owed there.  Assuming income taxes are higher than business taxes (working for your company), your best bet would be to form a Norske company with all its concomitant fees - formation, counsel, auditor etc. which may well be lower than BVI/Luxem offshore.

 

In addition, you'd have to set up a bank account for the offshore co. and have to deal with currency transfers fees, reporting etc.

 

Given that you are willing to invest ~$2,000-$3,000 on co. formation etc,, I'd suggest a $1.000 consultation with a CPA in your town in the first instance and you may well find that the path to lower tax burden to be quicker, easier and cheaper.

 

 

The company is located in the UK, but the job will be in Finland. I can just go on the books with the UK company or set up as a contractor to them, this is what I am exploring.

[mshs]

13 hours ago, TheAceFace said:

The company is located in the UK, but the job will be in Finland. I can just go on the books with the UK company or set up as a contractor to them, this is what I am exploring.

Taxes will have to be paid in Finland.

If I were you, I'd find out whether income taxes are higher than corporate-taxes.  I suspect they are not.  Then, I'd want to know if I can write-off transport/accommodation expenses from the top-line of my corporation's income. 

A CPA can do all this much cheaper than the alternative.

 

I see no advantage in setting up a Sole-Prop in the UK and entering into a contract with the Finnish employer.  You still have to pay Scandinavian taxes and then have to deal with HMR&C.