90 Day Tax Rule

[shifty]

I am aware that when qualified there is a rule that states you remain tax free if you spend no more than 90 days inthe U.K.

If, when qualified, and for tax reasons could I choose to have shortened leave and go back to Sea after a couple of weeks as oppose to using all my leave in Blighty and possibly creeping over the dreaded 90 day rule.

Of course the obvious answer is to go abroad in every leave cycle which would be great, but I seem to have accumilated some debt in my tenure as one of the unemployed mass in the U.K.

When everything is sorted financially 2 or yrs post qualification I intend to move back to Thailand. How easy is it to opperate from overseas or does this depend totally on company policies. I suppose it shouldnt matter if you fly from the U.K or from Suvannabhum, Thailand.

Any help is greatly received.

Cheers

[Naaatan]

Re: 90 Day Tax Rule

I intend to do the exact same.

Once qualified put my sensible hat on for a short while and take care of any loose ends in the UK and then go and spend most of my leave time in Thailand / other non-**** country, visas permitting.

I'm assuming operating out of another country shouldn't cause many issues, but then again there's always that thing about assuming.

[dawg]

Re: 90 Day Tax Rule

I am aware that when qualified there is a rule that states you remain tax free if you spend no more than 90 days inthe U.K.

That's the non-residency rule, not the Seafarers one... Non-Dom and SED aren't the same thing, and can be confused.

If you're Non-resident for Tax, then I believe you have two scenarios (but don't quote me on it):
1. A one-off tax rebate for spending 183 days outside the country for a year - this is a one off only
2. For consecutive years you have to spend 365-91=274 days outside the country every tax year
NB: A tax year (as you may know) is 5th of April to 5th of April, and the days don't have to be all in one block (as I understand it).

However, that's not the same as the Seafarer's Earnings Deduction (i.e. it probably applies to any British citizen), which an extensive wiki page will explain in the near future... in the meantime, you'll have to google for sea tax companies and hmrc pages. There is some discussion on this forum between Steve and I if you search for it.

If, when qualified, and for tax reasons could I choose to have shortened leave and go back to Sea after a couple of weeks as oppose to using all my leave in Blighty and possibly creeping over the dreaded 90 day rule.

Ask Chiefy, it might be a company-specific thing. My impression is that the dinner ladies mantra applies: "you get what you're given and be grateful" etc... i.e. I reckon you'd just have to go on holiday off your own back probably to be abroad enough.

Of course the obvious answer is to go abroad in every leave cycle which would be great, but I seem to have accumilated some debt in my tenure as one of the unemployed mass in the U.K.

What? The DSS won't let you have a passport?! Or you're just skinty-poos?
You could probably make it with just being abroad for one leave cycle.
If you're on 4/3 with Borg, then it'll probably be more like 86 days off at a guess.

When everything is sorted financially 2 or yrs post qualification I intend to move back to Thailand. How easy is it to opperate from overseas or does this depend totally on company policies. I suppose it shouldnt matter if you fly from the U.K or from Suvannabhum, Thailand.

Pretty easy by all accounts. Just choose your location sensibly to be certain of getting to the church on time.

Any help is greatly received.

greatly?!

[shifty]

Re: 90 Day Tax Rule

Thanks commrades

[alistairuk]

Re: 90 Day Tax Rule

its not 90 days, its a bit more complicated than that;

http://www.hmrc.gov.uk/cnr/seafaq2.htm

[Naaatan]

Re: 90 Day Tax Rule

................makes a little more sense.

[Chiefy]

Re: 90 Day Tax Rule

As a seafarer, we dont pay tax, simple as that, your company may take tax off you and you claim it back OR they dont pay tax and you pray you dont break the rules.....But if on 1:1 leave ratio (curtosey of being a chiefy) I dont ever break the rules it's easy!

Remeber time out of the country dosent have to = time on ship, I join and leave abroad and therefore do 92 days out the country BUT only an 88 day trip on ship, so you soon build up a stock pile of left over days

The main rule is no more than 183days in 1 sitting and the leave inbetween 2 trips cannt be more than 1/2 the total time out of the trip wach side.....AND you must vivist 1 foregin port / year...this is handy for the anchor handler types in the north sea, lots of companies deliberately send the boat to "foreign" once / year to get the boys tax back so they can pay them less (efectively a 25% pay rise)

[dawg]

Re: 90 Day Tax Rule

I have a feeling we're going to have to develop an algorithm for this...

[Chiefy]

Re: 90 Day Tax Rule

got one in a nice excel spread sheet

/smug

[MEJG]

Re: 90 Day Tax Rule

Share the knowledge, please Chiefy... we could all benefit from your algorithmic stylings

[Chiefy]

Re: 90 Day Tax Rule

can we attach files here? Lemme see....hmmmm well if not I'll Dropbox it.......watch this space

[CharlieDelta]

Re: 90 Day Tax Rule

Chiefy, if you use the full editor there's an option at the bottom to attach.

[MEJG]

Re: 90 Day Tax Rule

can we attach files here? Lemme see....hmmmm well if not I'll Dropbox it.......watch this space

Thanks!!

[Chiefy]

Re: 90 Day Tax Rule

ere you go

[size4riggerboots]

Re: 90 Day Tax Rule

WTF is a rar file? My poor little pooter can't deal with it...