Do I need to pay US income tax on foreign (UK) earned income?

Tax for offshore company if an income is earned in UK?

I'm a foreigner and I've been working as freelance in UK and now my sister is setting up a company back home. The company's business include what I do and wants me deal with UK clients a lot so I'll be made UK head of the company. I'll continue working with my existing clients in UK. From now on, the company will invoice my clients and my clients will pay the company, not me. As the company is based offshore, it'll pay tax of the country where it is based. but I wonder if it should pay any tax in UK for any income earned from UK clients for my service in UK? Also, as the company is not registered in UK, should it follow all practices regarding payroll and my income tax of my home country or UK? Please advise. Thanks!
Answer:

A company that carries out business in th UK is subject to UK corporation tax, even if it is registered offshore, or has its head office overseas. The corporation tax will be due on the profits it makes from its UK activities. It should also operate PAYE and National Insurance. The fact that it is overseas registered does not exempt it from having a PAYE scheme. PAYE and NI should be deducted from salaries paid to its employees in the UK.

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Other answers

the last i knew (they keep chinging these things!) if you are a resident in another country you will not have to pay uk tax on your earnings i watched a documentory about business people who buy property abroad and become residents there so that they do not have to pay as much tax as if they were living in the uk- good idea as far as i'm concerned aswell, it is unbelievable how much of our hard earned money they can take!!

rennhenn

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