Double Taxation - Switzerland

Gaz

An opportunity to work in mainland Europe has arisen and I am wondering what are the implications with regards to tax.

If was to take on the role, I would essentially be commuting to different countries (mainly Germany) but being back in Ireland every Friday before flying out again on the Monday. The company itself is based in Switzerland but I would rarely be there. I would be paid in Switzerland and subject to their taxes , which are substantially lower than here.

Am I also liable to pay tax again in Ireland ? Also, is USC and PRSI applicable on foreign income ?

thanks

Mr. Incognito

Ask your employer.

If you are on Irish payroll it wont make a difference. Most employers have a tax equalisation policy.

If you are starting a new job and you are on Swiss Payroll you may or may not have income tax liability but you wont have to pay PAYE PRSI etc

Gaz

I would be on Swiss payroll and paid into a Swiss bank account.

Ive been going over the revenue website and its fairly complicate. As I would most likely be in Ireland more than 183 days of the year, I would be considered tax resident and that says I am liable for tax on all foreign earnings but as I would be working and earning completely outside the state, Im not sure if that applies ?

Would you know ? Just trying to get an idea if this will be worth my while.

Gaz

Here is where I am struggling to make sense of the Revenue site ...

A person resident and domiciled in Ireland is liable to Irish income tax on his total income from all sources worldwide. In this sense, a person who spends:

183 days or more in Ireland during a tax year, or
an aggregate of 280 days in the current and preceding tax year

I would fall into that bracket for sure, which suggests I need to pay income tax on the salary earned in Switzerland. But then they say ...

A person who is resident in Ireland for three consecutive years becomes ordinarily resident

Which suggests I also fall into this category , which leads me onto ...

A person who is not an Irish resident but is ordinarily resident in Ireland is liable to tax on all Irish and foreign-sourced income in full, except for income from a trade, profession, office, or employment, the duties of which are entirely exercised outside Ireland, and on foreign income under €3,810 per year

help!

CIARAN_BOYLE

ordinary residentify is if you were resident in Ireland then leave ireland you stay ordinary resident for 3 years.

you will be irish resident so you dont need to worry about being non resident but ordinary resident.