Living abroad and setting up a business in the UK

[topgunkos]

Hi, I have a few questions regarding setting up a soletrader business or limited business whilst living abroad.

I am living in Poland at the moment but want to set up a business in the UK and invoice clients here in Poland.

I want to pay NI in the UK.

Do I have to be a resident in the UK to do it? I understand that I would not pay VAT unless I exceed 77k a year?

Is there any reason this is not possible to do?

[Mattt]

I know people who run UK companies as ex-pats, so it's certainly do-able.

I would be investigating whether that is the most tax efficient way of operating the company though.

[Eric Mc]

If you want to pay NI in the UK, you will have to generate personal earnings in the UK. It could also mean you will need to pay UK income tax as well.

If you are resident in Poland, you may need to claim double tax relief to prevent yourself from beingh taxed in Poland on the same income. You might need to talk to a Polish based accountant or tax advisor.

[Mattt]

Aren't Class 3 NI Contribs non income dependant?

[Eric Mc]

True -but I was talking about the context of the OP wanting to have some UK business income.

If he wants to make contributions without having a UK income then Class 3 NI might be the solution.

[sumo69]

I believe you must have history of residency here to do this - otherwise all of eastern europe would be contributing!

[Eric Mc]

I'm assuming the OP is a, perhaps temporary, ex-pat.

[Lawrence5]

Standard offshore setup not suit ? Jersey (channel islands) company raising invoices..... Most won't touch proper uk source income though