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Posted Fri, 17 Mar 2023 17:15:55 GMT by Thomas Lord
1) Currently full time Permanent employee of a UK based company. My company has given me permission to work from abroad as a Digital Nomad without any alterations to my contract. 2) I am applying for a Digital Nomad visa (Mexico) in order to be able to work from Mexico for a year. 3) My work will be entirely research based for a consultancy company and won't be directly contributing to revenue generating activities. My question is what are the tax implications for my company? Would they have to pay corporate tax in Mexico or as I would only be working there temporarily (up to 1 year) would they not have to as it would not be considered a Permenant Establishment?
Posted Fri, 24 Mar 2023 15:36:21 GMT by HMRC Admin 20
Hi Thomas Lord,

This depends on your residence status.
If you are in the UK for 183 days in a tax year you are classed as tax resident here and would pay taxes here.
To check your residence status for when you leave see RDR3 Statutory Residence Test.
Your employer would need to check themselves regarding any corporate tax.

Thank you.

 

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