Living in one country and working in another

sawduster

Hi,

I'm wondering how tax usually works out if you're living in one EU country and working in another. After a dismal job search in my girlfriend's town in Sweden, I've found one in the UK that'll allow me to work remotely. They'd prefer to have me working as an employee rather than a contractor and said it'd be pretty straightforward on their end, although I could go the contractor route if needs be.

I asked how tax will work out at the Swedish tax office and they didn't know what to do with me! They did say I should be eligible for residence and a social security number providing I can support myself and have health insurance but the tax end of things looks like it's going be a nightmare...

Does anyone here have a similar arrangement and how did it work for you?

athtrasna

Talk to someone on the Swedish side, they are well used to people living there and working elsewhere. There's a huge worker swap between Denmark and Sweden for starters, it's only 30km across the bridge and I know Danes who work in Sweden and vice versa.

What may be more complicated for you is that the UK is currently an EU member but not for long if their PM has anything to do with it. Nobody knows what that will mean but you can only deal with the current situation.

redcup342

sawduster wrote: »

Hi,

I'm wondering how tax usually works out if you're living in one EU country and working in another. After a dismal job search in my girlfriend's town in Sweden, I've found one in the UK that'll allow me to work remotely. They'd prefer to have me working as an employee rather than a contractor and said it'd be pretty straightforward on their end, although I could go the contractor route if needs be.

I asked how tax will work out at the Swedish tax office and they didn't know what to do with me! They did say I should be eligible for residence and a social security number providing I can support myself and have health insurance but the tax end of things looks like it's going be a nightmare...

Does anyone here have a similar arrangement and how did it work for you?

It's easy enough (although possibly and issue in the future with Brexit)

http://europa.eu/youreurope/citizens/work/work-abroad/cross-border-commuters/index_en.htm

The laws where you work cover:

employment and income taxes;
most social security rights.

The laws where you live cover:

property taxes and most other taxes;
residence formalities.

It's not that hard just can be tricky finding out what office deals with you (usually the tax authority for example have a different office for this purpose)

But you do your UK Tax return and also a Swedish return, you're taxable income (if you work in the UK 100%) will be zero so you're return/refund will be 0.


For health insurance you can apply for an S1 Form in the country where you work:
http://europa.eu/youreurope/citizens/work/social-security-forms/index_en.htm

S1

(formerly
E 106,
E 109
and
E 121 - still issued by some institutions)

Certificate of entitlement to healthcare if you don't live in the country where you are insured. Useful for posted workers, cross-border workers, pensioners and civil servants and their dependants.



Contact your health insurance authority to find the relevant institution issuing the S1

Submit it to any health insurance authority in the country where you live.

Hope it helps.

mdebets

redcup342 wrote: »

It's easy enough (although possibly and issue in the future with Brexit)

http://europa.eu/youreurope/citizens/work/work-abroad/cross-border-commuters/index_en.htm



It's not that hard just can be tricky finding out what office deals with you (usually the tax authority for example have a different office for this purpose)

But you do your UK Tax return and also a Swedish return, you're taxable income (if you work in the UK 100%) will be zero so you're return/refund will be 0.


For health insurance you can apply for an S1 Form in the country where you work:
http://europa.eu/youreurope/citizens/work/social-security-forms/index_en.htm

Hope it helps.

THe links you provide don't cover the OP's situation. They are for people living in one EUropean Country, but working in another (e.g., if you live in Dundalk and commute to Newry for work every day. The OP will be living and working in Sweden, but being paid by a UK company in the UK.
Best thing is, to talk to a tax consultant in Sweden who has experience in theses sort of things, as well as the company in the UK, to see that they also allow remote working from outside the UK.
I was working for a company in Ireland in the past, that allowed remote working, even from outside of Ireland, but they were insistent that it was only a limited time per year, so that I wouldn't become tax resident in a country outside of Ireland.

redcup342

mdebets wrote: »

THe links you provide don't cover the OP's situation. They are for people living in one EUropean Country, but working in another (e.g., if you live in Dundalk and commute to Newry for work every day. The OP will be living and working in Sweden, but being paid by a UK company in the UK.
Best thing is, to talk to a tax consultant in Sweden who has experience in theses sort of things, as well as the company in the UK, to see that they also allow remote working from outside the UK.
I was working for a company in Ireland in the past, that allowed remote working, even from outside of Ireland, but they were insistent that it was only a limited time per year, so that I wouldn't become tax resident in a country outside of Ireland.

Ah ok, yes I missed the full time remote working.

Yeah that's a minefield, wouldn't bother and more than likely the UK Company wouldn't go for it.

Unless the OP is a contractor, then they wouldn't care


http://www.fieldfisher.com/publications/2012/06/international-cross-border-tele-working-beware