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Posted Mon, 17 Jul 2023 17:10:13 GMT by
Hi. Following the implementation of the new digital nomad visa for Spain, I am in the process of apply for it. This visa allows to live in Spain while working for UK, but I just would like to confirm it does not imply any liabilities/taxes for the company neither now or the future from the UK side. I will estress that this is an employee no with self assesment, and I am asking for tax implications for the company 

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Posted Fri, 21 Jul 2023 15:45:09 GMT by HMRC Admin 5 Response
Hi

If you are employed by a UK company and you are not resident in the UK while undertaking this employment, then your income is taxable in Spain and not the UK.  
If you do not need to complete Self Assessment tax returns, then you would complete form P85 - please see Get your Income Tax right if you're leaving the UK
However if you do need to complete a self assessment tax return, then along with the residence page (SA109), you would need to submit a completed HS304 please take look at the helpsheet here Non-residents tax relief under double taxation agreements (Self Assessment helpsheet HS304)

Thank you

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