Director Abroad

Hello, If one of our Managers/Directors moves abroad to the EU to work remotely and either registers as Self-employed or as a Limited Company in the destination country can we pay them as a contractor while keeping the same position in the company? The subject will be invoicing us every month together with proof that the earnings are being registered in the destination country and has also submitted a document from the local tax authority that attests that our company is not liable to do any retention at source of any contributions and to avoid double taxation. I have done a lot of research into this topic, and from my interpretation, there seem to be no issues with this arrangement. Thank you in advance

Hi Nuno,
HMRC would not comment on how to engage with someone for their services.
However, we would direct you to:
2024 to 2025: Employer further guide to PAYE and National Insurance contributions
specifically sections 4.5 and 4.6 which will advise on paying someone who leaves the UK but is still employed.
Thank you. 

 

Thank you very much, we have gone trough the documentation thoroughly. Putting it simply, it's ok from an HMRC point of view for someone occupying a managing position in the company to be paid as a contractor living abroad? (Considering all the due diligence tax and contribution wise was made in the destination EU country)

Hi ,
 

Can you please contact the Employers helpline on 0300 200 3200 as we would require further information to advise on this. Thank you .