Double taxation treaty on employment, interest

Dear HMRC, I am trying to figure out my tax obligations and am confused how the Slovenia-UK double taxation treaty applies. 1) If I am employed in the UK by a UK company, is my salary only taxable by the UK? 2) If I receive interest from a UK bank, does only the UK tax this? Thank you very much! Some miscellaneous information that might be useful: -I am a UK Tax resident according to UK law. -I am a Slovene tax resident according to Slovene Law. -I live and spend the vast majority of time in the UK.

Hi,

If you are tax resident in the UK and employed by a UK employer, you are taxable on your employment income in the UK.

If you are tax resident in the UK and receive UK bank interest, then this is taxable in the UK.

As you are dual tax resident, you may find you have to pay taxes in both countries. As the UK is your main place of residence, then the UK has the first rights to tax your sources of UK income. Slovenia may also claim the right to tax them. Article 14 of the double taxation agreement confirms that you are taxable in the UK, however, if you undertake any of that work while in Slovenia, you are taxable on that work in Slovenia.  

UNITED KINGDOM / Slovenia DOUBLE TAXATION CONVENTION

Article 23 of the DTA allows you to claim a tax credit in Slovenis against tax paid in the UK.

Thank you.

This advice does not appear to be correct. Article 14 states: (2) Notwithstanding the provisions of paragraph (1) of this Article, remuneration derived by a resident of a Contracting State in respect of an employment exercised in the other Contracting State shall be taxable only in the firstmentioned State if: (a) (b) (c) (3) the recipient is present in the other State for a period or periods not exceeding in the aggregate 183 days in any twelve month period commencing or ending in the fiscal year concerned; and the remuneration is paid by, or on behalf of, an employer who is not a resident of the other State; and the remuneration is not borne by a permanent establishment which the employer has in the other State. Please can you confirm that taxes should only be paid in the UK in this instance.

Hi Anthony Chambers,
What country are you refering to please...is it still Bulgaria?
Thank you. 

Good Morning HMRC Admin, I have a settlement in the UK, I am employed on a full time in the UK, but I am Bulgarian citizen and I would love to work from Bulgaria for the next 3 months. How can I have a proof (ideally personalised) that not a double taxation will be applicable for 3 months? What is the maximum period I can work from a country in the EU with no additional taxes? Do I still need a CoR? Thank you in advance. 

Hi,

If you are working remotely for the same employer whilst in Bulgaria there will be no change to taxes as you will still be UK resident.

Thank you.

I'm in a similar boat. I'm looking to move to Slovenia with my Wife. First, we will live there for three months while I also apply for permanent residency via the spouse route. We will work remotely for companies based in London and will still be paid PAYE into our UK bank accounts. (This may change further, but not for the first year or two.) As we're both PAYE, how can we determine the taxation in Slovenia?

Hi Tom,
Please refer to guidance at: Tax on your UK income if you live abroad.
Thank you.