Deleted

Thejesh · Post by **Thejesh** » Fri Feb 20, 2009 1:57 pm

Deleted

nksg · Post by **nksg** » Fri Feb 20, 2009 2:21 pm

Hi,

I dont see any relavance in Tier 1 and the scnerio you have mentioned. You can apply for Tier 1 if you have the required threshhold of 75+ points. As long as you can prove the same to the case worker.. all should be fine..

The only legal thing comes here is all your caims and documentation should be genuane...

Atleast in UK there are no work restrictions on Tier 1.. and if your employer is fine.. its fine for India as well...

N

Thejesh · Post by **Thejesh** » Fri Feb 20, 2009 2:27 pm

Deleted

Vanadil · Post by **Vanadil** » Fri Feb 20, 2009 2:30 pm

As long as all of your money is paid into an indian bank account then I can see no problem at all. Of course the cost of living in the UK is quite high and espcially if you are going to be converting INR to GBP, so I would look for a UK based role ASAP upon your arrival.

Thejesh · Post by **Thejesh** » Fri Feb 20, 2009 2:37 pm

Deleted

Post by **PaperPusher** » Fri Feb 20, 2009 2:45 pm

You would have permission to do work in the UK, no problem with that. I am sure lots of Tier 1 people do work for people overseas.

All I can see is that there could be tax implications.

Vanadil · Post by **Vanadil** » Fri Feb 20, 2009 2:46 pm

"(iv) does not intend to take employment except as specified in his work permit;"

That quote is from the guidelines for WorkPermits. You will be on a Tier 1 and have full rights to basically do whatever you wish work-wise in the UK. You are un-restricted and have no work specifications tied into your visa status.

Thejesh · Post by **Thejesh** » Fri Feb 20, 2009 2:55 pm

Deleted

hsmp28122006 · Post by **hsmp28122006** » Fri Feb 20, 2009 2:59 pm

Thejesh wrote:Wow thats a great news.

Should i contact UK consulate in India to clarify my doubts regarding tax etc? or who is the best person?

Thanks,
Thejesh

What do you want to clarify reg tax etc?

nksg · Post by **nksg** » Fri Feb 20, 2009 3:00 pm

Tajesh,

sorry did not understand yr question properly..

If you are in UK on Tier 1 and your earnings are in India.. you are not supposed to pay any TAX in UK. You will have to pay tax in India by normal...

There is something called overseas tax but i am 100% sure Tier 1 is not counted in the same category and there is some limit.. i.e if your annual income overseas is above some amout.. (I would not worry about it if i were you)

Just try to search internet for last year's 2008 UK budget.

All the best for your search...

Post by **PaperPusher** » Fri Feb 20, 2009 3:06 pm

nksg wrote:If you are in UK on Tier 1 and your earnings are in India.. you are not supposed to pay any TAX in UK. You will have to pay tax in India by normal...

nksg, are you absolutely sure about that, 100% guaranteed certain because you are an income tax specialist? If not perhaps the original poster should make sure that there are no tax implications for themselves.

If what nksg is saying were true, there would be nothing to stop people paying tax in very low taxation countries but working in the UK.

Vanadil · Post by **Vanadil** » Fri Feb 20, 2009 3:17 pm

There are normally implications where if you are working in a country for a prolonged period (Normally over 6 months) then you are considered a resident of that state and must then pay tax on any earnings that you are reciving. However this normally counts if you are actually working on a site within that state, rather than the situation you will be in.

In all honesty I am not 100% on the procudures and so I would recomend getting in touch with both the Indian authorities as well as the HMRC to dobule check the rules around this.

Thejesh · Post by **Thejesh** » Fri Feb 20, 2009 3:25 pm

Deleted

Vanadil · Post by **Vanadil** » Fri Feb 20, 2009 3:27 pm

http://www.direct.gov.uk/en/MoneyTaxAnd ... G_10026136

Meaning of 'resident', 'ordinarily resident' and 'domiciled'
Resident

* if you're in the UK for 183 days or more in a tax year, you're a 'resident' for that year for tax purposes
* if you come to live in the UK permanently or to remain for three years or more you're resident from the date of arrival
* you're also treated as resident if you're in the UK for an average of 91 days or more in a tax year (worked out over a maximum of four consecutive tax years)

Ordinarily resident

* if you're resident in the UK year after year you will normally be treated as 'ordinarily resident'
* you're treated as ordinarily resident in the UK from the date you arrive if it's clear that you intend to stay for at least three years

Domiciled

* your domicile is normally acquired at birth, but this is a general law concept covering a range of factors

More than one of these definitions can apply to you - or even none of them at all.

* Detailed definitions of resident, ordinarily resident and domiciled (PDF, 320K) Opens new window
* Help with PDF files

If you're not resident in the UK for tax purposes

If you're not resident in the UK for tax purposes you won't pay UK tax for work done overseas (but it may be taxable in another country).

However, you will pay UK tax on overseas earnings from work you do in the UK. Your employer might have to operate Pay As You Earn (PAYE - where tax is deducted from your wages) and you might have to fill in a Self Assessment tax return.

There are special rules for when you become or stop being UK resident part way through the tax year. There are also special rules for seafarers. See the separate sections below.

nksg · Post by **nksg** » Fri Feb 20, 2009 3:28 pm

PaperPusher, did i say i am a tax cunsultant?? please stop making biased posts for a subject you have little or nill knowledge.. I am sure u did not read my post poperly othewise u would have responded responsibly..

read my post again If you are in UK on Tier 1 and your earnings are in India.. you are not supposed to pay any TAX in UK..

My statement is based on the fact that people who work for companies line infy or TCS, wipro are paid their salary in India but allowances in UK. In some cases people get partial salary in India and some in UK. They dont pay any tax in UK for their Indian part.. (seriously i would not worry if i were you...)

Also this is a forum... not necessarily you have to follow every thing others are saiyng.. people put their comments on their experiance.. and looks like you are triyng to misguide people by the comments below "If what nksg is saying were true, there would be nothing to stop people paying tax in very low taxation countries but working in the UK."

People please take off my name from it as i this guy seams to be confused..

Post by **PaperPusher** » Fri Feb 20, 2009 3:32 pm

Thejesh wrote:If I go to UK on Tier 1 visa & still work in India for my current employer, where my salary will be paid to my Indian account, Should I need to pay tax in UK for that earnings?

Possibly, especially if you end up staying in the UK when you get a job in the UK. I would recommend that you are certain that you would not be liable for UK tax before you decide not to pay any.

http://www.hmrc.gov.uk/migrantworkers/tax-non-uk.htm

Tax on income and gains outside the UK

See the above link for example.

My only advice is to ensure that you are paying tax you are liable for.

Thejesh · Post by **Thejesh** » Fri Feb 20, 2009 3:39 pm

Deleted

Post by **PaperPusher** » Fri Feb 20, 2009 3:41 pm

nksg

I did read your post properly and answer responsibly, in my opinion.

Please can you clarify what you want you name taken from.

Furthermore, I am a girl, not a guy.

I will be more direct nksg, I believe you are wrong and if anyone follows your advice not to pay UK tax if their salary is paid into an account in India they could get themselves in trouble.

nksg · Post by **nksg** » Fri Feb 20, 2009 3:48 pm

I should have been more generous... specially for the lady..

In this case this guy is talking about the earnings in India.. not UK... As every one knows, You have to pay tax for your earnings in UK.. but for the overseas earnings you dont have to .. unless you intend to bring that money to UK.. that also implies on the citizens of UK.

Please refer to my second post which explains the reason i am advising him "not to worry". He said that he has been asked to work from home by his Indian company so is it legal if he comes to UK and starts looking for job and continue to work for his company in India (from home in UK). In this case he is not liable to pay tax in UK but yes in India.. Once he gets job in UK.. ofcourse he will have to make the contribution towards IT and NI..

Just responded as your posts looked biased towards me..

Post by **PaperPusher** » Fri Feb 20, 2009 3:58 pm

Please accept my apologies nksg, I didn't realise you would get so upset if I disagreed with you.

nksg · Post by **nksg** » Fri Feb 20, 2009 4:02 pm

Dear Paperpusher..

may be you are interested in this!!

Adult non-domiciles who have been resident in the UK for more than seven years will have to pay Â£30,000 a year, the Chancellor confirmed, after the Government ignored warnings that it could prompt an exodus of high net-worth foreigners.

Business leaders have warned that the policy could threaten London as a financial centre.

Non-doms will have to pay the Â£30,000 or be taxed on overseas income above Â£2,000 a year. They will no longer be entitled to the personal allowance afforded to UK citizens, unless their overseas income is less than the minimum threshold
.

http://www.telegraph.co.uk/finance/fina ... y-cut.html

this will surely help you to change your opinion

if you search internet for Budget 2008 you will find more details...

aah.. i am not a tax consultant.. but most of my comments are based on experiance and evidance.. i done assume things (some times assumption works

though)... as you have been assuming...

Post by **PaperPusher** » Fri Feb 20, 2009 4:11 pm

That article isn't evidence or confirmation that the original poster would not have to pay tax on earnings paid into an Indian bank account.

I am already aware of that government announcement.

The 2008 budget is not the entire tax regulations for the UK, I posted the link to the HMRC website if you would like to have a look.

I don't understand what I am supposed to change my opinion on.

nksg · Post by **nksg** » Fri Feb 20, 2009 4:14 pm

God bless you..

.. i have given up now..

Vanadil · Post by **Vanadil** » Fri Feb 20, 2009 4:16 pm

*De-lurks* That was an intresting battle

*lurks*

Post by **PaperPusher** » Fri Feb 20, 2009 4:21 pm

Vanadil wrote:*De-lurks* That was an intresting battle *lurks*

Sometimes it isn't worth it, I have learnt my lesson and will not do it again.

Trying to get through to a brick wall just gives you a sore throat.

Immigrationboards.com: Immigration, work visa and work permit discussion board

Deleted

Deleted

Deleted