Tax Question - Please Help

[choppychugger]

Hi,

I'm a UK citizen, living in Thailand, employed by a multinational company out of Singapore, and untill recently have been working mainly in the Asia Pacific region.

We have recently taken on a few big contracts in Australia and it looks like the work scope will be focused here more than anywhere else - anywhere else being Japan, China, SIngapore, Papau New Guinea. In Australia I have been on a visa that entitles me to attend meetings and advise, which is pretty much what I have been doing, this visa does not entitle you to pay tax in Australia or carry out day to day work duties. I will soon have to be taking on a more hands on approach and may have to change my visa status - think it's called a non resident business visa 424 ( for Australia ). This came to light when a new boss took over and he brought up that I was on the wrong visa. I just get told where I am going and a visa is requested for me from my head office and electronicaly entered onto my passport, I have no say in what visa for which country I receive.

Untill now I havent semmed to fall under any tax areas, because I'm out of the uk, in Thailand for less than 6 mths, and apparently been on the wrong visa on the occasions I enter Australia. Will probally be working over in Australia for 3-4 mths a year form now on.

Who is liable for this error if it comes up ?

When I apply for the correct business visa in Australia, can they backcharge me for tax ?

Have been trying to find the tax rules for an expat that will work in Oz for 3-4 mths of the year with no luck.

I am currently on the books (?) out of Singapore, and have the option to go as consultant, if thats the case, is it possible to off set the taxation that I will receive from Australia somehow in Thailand, ie. setup a company and pay Thai tax.

I am after genuine advice please, I know I will probally get stick for not paying my tax, untill now it hasnt been possible.

thanks in advance

Choppy

Edited November 12, 2009 by choppychugger

[Soutpeel]

You really need to take advice from a Tax consultant who knows Aussie tax rules.

Bear in mind the new tax rules for overseas workers and aussies nationals who work outside of Aussie have just come into effect and personally know of 3 Aussie nationals working in Thailand who are trying to get themselves declared non-resident in aussie for tax purposes, but it appears its very difficult to do, if you have property etc there...

As regards who is liable if you are "caught out".....you are...

I dont think setting up a Thai company and working through that will help you, as although you would pay lessor tax in Thailand, the Aussie tax man will want the difference between what you are paying in Thailand and what you should be paying in Aussie, also think Aussie works on a PAYE scheme same as the UK and you will pay your tax and then try and claim it back at the end of the tax year...

[choppychugger]

I wrote to a tax consultant also, and am just waiting to hear back.

From what I have read on the net tonight, I would require a non resident 457 visa, which unfortunatley has the highest tax bracket of around 50% ouch. Non resident being that I would only be entering the country for less than 6 mths and don't reside here.

After speaking to a friend, he reckons that I could get my salary and O/A split so I would only be getting taxed on one of them ? with the other payed direct to my Thai account as usual.

From some of your other posts Soutpeel, am guessing you're a rig sup, or company rep ?

Anyways appreciate your reply, I should have a better idea of whats what in the next coule of days.

Choppy

[Soutpeel]

After speaking to a friend, he reckons that I could get my salary and O/A split so I would only be getting taxed on one of them ? with the other payed direct to my Thai account as usual.

You could, but be careful as technically in Thailand "double contracts" which is what we are bascially talking about are illegal from a taxation standpoint..

Yes I work O&G