INTERNATIONALLY MOBILE EMPLOYEES
Growing a business across borders means that employees often relocate to different locations round the world. Dealing with one country’s tax system can be bad enough; dealing with more than one can add extra stress for both the employee and the employer.
Every country has its own tax and social security systems, often structured in very different ways. Sometimes there will be international agreements in place between countries that might regulate tax for example, but not social security or vice versa.
Sometimes an employee will only be outside their home country for a few days or a few months. At other times the move can be for years and may even become permanent. Time spent in a country often influences tax due. Getting the tax wrong can mean extra costs for the employer, and less pay for the employee.
Helping the employer:
We can help you as an employer by
- Explaining how payroll taxes work in a country and what your obligations as an employer are
- Registering and running a payroll in a country
- Helping you find local HR support when needed
- Helping you deal with all the local regulations (visas etc)
- For longer assignments outside the home country we can help you to deal with relocation issues such as accomodation, schooling, family moves etc.
- Helping deal with any enquiries from the local revenue authorities
Helping the employee:
We can help you as an employee by
- Helping you understand how the tax system works in a country and what your take home pay will be
- Helping you register with tax authorities in a country
- Completing any personal tax returns needed
- Helping with any continuing home country tax requirements
- Advising on protecting income and assets from taxes in either the home country or country in which you are working
- Helping you find local support on typical relocation issues (accomodation etc)
Typical problem areas and how we help
Problems arise if there are different tax treatments in an individual’s home country and the country they are working in. Some areas where this can happen include:
- Share and share option schemes
- Investments with tax reliefs attached, pensions being a common example
- Termination agreements
We help to identify, and, wherever possible, plan to mitigate, any tax problem in existing arrangements, and to help avoid issues when considering putting arrangements in place.
Why Winter International Tax Services?
We can work with both employer and employee to plan an assignment. This helps to keep tax costs under control, and reduces administrative burdens. Employees can focus on their work and not on other issues.
We offer a flexible and responsive service, and invest our time to make sure that we understand the nature of the assignment. We are happy to meet with individual employees or talk through issues via phone/skype where a face to face meeting is not possible. We aim to act as one point of contact for you, whether as employer or employee, on international assignments.