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Posted Wed, 10 Nov 2021 16:55:18 GMT by Angela Foscan
Hello, My partner and I are moving to Portugal with the intention of staying there for more than one year at least. He is currently employed by a UK based company and planning to continue working remotely from abroad. Can the company continue paying taxes in the UK for him? Portugal has a special scheme for new residents according to which any income received from abroad (included from employment) is not taxed in Portugal as long as is taxed in another country. Thank you in advance for your help A
Posted Fri, 12 Nov 2021 15:30:50 GMT by HMRC Admin 10

You need to pay taxes in the country in which you are tax resident.

You would need to check with Portugal regarding their residency rules.

The UK residency rules can be found here:

RDR3 Statutory Residence Test

To avoid paying tax twice for the same income, you would need to complete a P85 form and HMRC can review to exempt the tax from the UK.

Get your Income Tax right if you're leaving the UK

If you do not complete this form then you will continue to be taxed in the UK. 


Posted Mon, 15 Aug 2022 12:49:56 GMT by NasreenZ
Hi I am a British Citizen living in Pakistan, can I work in a company in the UK, will taxes be deducted from my income
Posted Tue, 16 Aug 2022 07:50:56 GMT by HMRC Admin 17

Yes, you can work for a UK company while living in Pakistan.

Your UK employer would be required to deduct PAYE tax from your earnings.

However, depending on your long term residency status, the tax authority of Pakistan may wish to tax your UK earnings - in which case you might
be able to obtain full UK tax relief on your earnings.

To enable HMRC to fully review the position (if and when you start working for a UK company) you should complete form P85
to enable HMRC to confirm the tax code your UK employer should operate.                            

See Link:

Employees working abroad   .

Thank you.

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