How much on average do chefs get paid in the UK?

Do i need to pay tax in the USA or UK if i get paid from a UK company but am a resident of the USA?

• Hi All. I am an academic from University College London. I have a 4 year contract from UCL to do some research, but of those 4 years i will be spending just under 2 years at MIT in Boston, USA. I have heard that because i am getting paid in the UK, but i will be a non-uk resident for those two years, that i may be eligible for tax exemption from both countries. I have tried reading up on the Double Taxation Convention for the UK and the USA, but i cant really understand it. It was another academic that suggested that as long as i am a UK non resident and i spend under 2 years in the USA, i may be exempt from both taxes. Can anyone shed any light on this? Many many many thanks in advance!

• Answer:

  The other academic is wrong. If you spend 180 days in the USandA in any given year you become liable for US taxes on your worldwide income. Technically you would also pay UK tax as if this is UK arising income (I say if because UCL may be able to pay you offshore) but the double taxation treaty means that you will not pay tax twice on the same income. However, there is an interesting twist here. What kind of visa will you have? If you are in the US on an F-1 visa, then you will not be US resident for tax purposes. Edit: the double taxation treaty works like this: your employer is supposed to withhold for taxes etc. You fill in a form and provide this to show that you are liable for tax elsewhere. Now he no longer has to do withholding or can withhold less. This woud go from 30% to 15% from US to UK. I believe a J-1 visa allows you to avoid being considered resident for up to two years. That presumably is where your colleague got his numbers from. However, you can't have it both ways, if you don't pay tax in the US, you can't claim under the double taxation treaty in the UK. Are you sure you are looking at the correct tax treaty? There is another, very complex, tax treaty that is specifically for academics on a two year contract but you would get into a terrible mess using this for longer as you would have to repay everything. Talk to UCL about being paid offshore, that may be the solution.