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Posted Wed, 15 Mar 2023 23:45:51 GMT by Hil Arg
Hello! I came from Türkiye to study my masters here with tier 4-student visa. And my former employer in Türkiye wanted to hire me back. I know that I have 20 hours work permit so this will be on the contract. Now I am actually going to start working remotely with my salary paid to my Türkiye account and also the company does not have any presence in the UK. So in terms of the info provided in the website: ------------------------ You pay mandatory National Insurance if you’re 16 or over and are either: an employee earning above £242 a week self-employed and making a profit of more than £11,908 a year You do not pay National Insurance, but still qualify for certain benefits and the State Pension, if you’re either: an employee earning between £123 and £242 a week self-employed and your profits are between £6,725 and £11,908 a year ------------------------ It is a part time job and also because of Türkiye's very low currency value, the amount is between £123 and £242 a week. I don't know what self-employed means by the way but if I were a self-employed, it would still apply for this as well: "You do not pay National Insurance, but still qualify for certain benefits and the State Pension," In addition to all of these: Here it says that (https://www.gov.uk/tax-foreign-income/study-in-the-uk): You may need to pay tax on your foreign income in the normal way if you: are from a country without a double-taxation agreement for students (it seems that Türkiye has a double-taxation agreement for students so I guess I don't have to pay tax on my foreign income?) have other income that you do not bring to the UK (I do not have any other income apart from this job) bring it to the UK and spend it on things other than living costs and course fees (If I bring it, of course I will be spending this the living costs..) plan to stay in the UK as your permanent home (‘domicile’) ( I did not understand this.. I plan to stay in the UK after my graduation with the Graduate Visa?) Also it says: If you work in the UK Some double-taxation agreements mean you do not pay UK tax on your income if you work while you’re a student. So what should I do? I am fully confused. Should I apply as a self-employed and pay taxes for the income? Thank you! I would appreciate your help. Kind regardsa
Posted Wed, 22 Mar 2023 12:28:29 GMT by HMRC Admin 25
Hi Hil Arg,

If you have a contract of employment with this company, you would be considered as employed.

 Self employment is where you work for yourself, in which case, you are classed as a sole trader.
 
Article 20 of the double taxation agreement between UK and Turkey advises that a student who was resident in Turkey, before visiting the UK soley for the purposes of his education or training, shall be exempt from tax in the UK on all remittances made from abroad, for the purposes of his maintenance, education or training.

If the foreign income does not meet article 20 of the double taxation agreement, then this income will be taxable in the UK and would need to be declared on a Self Assessment Tax return.  

There is more guidance here:

Tax on foreign income    

Thank you.       
                        
Posted Wed, 22 Mar 2023 13:16:13 GMT by Hil Arg
Hello! Thank you for your detailed explanation. Now I looked at that article, and there is nothing against that article. So I think I do not have to declare on anything. Thank you! Kind regards,

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