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Ask Your Own Question, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 5115
Experience:  FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
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I am about to start a contract working in Greenland waters

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I am about to start a contract working in Greenland waters on a vessel, I am working through my own ltd co, contracting to an agency. What are my tax obligations, and do i have to do anything to register etc now?
Hello and welcome to the site. Thank you for your question.

Please advise
- the length of the contract
- willing you be drawing a salary from your own LTD company
- is your company registered in the UK and has a UK based business address
- is this the first contract undertaken by your LTD company

Many thanks
Customer: replied 2 years ago.

The contract will be approx for 5 weeks and may possibly be another 5 weeks in October.

I do draw a salary from my ltd co

Co is registered in UK and UK address

The co has been set up since Mar 14 and I have usually had UK contracts in UK waters

Moira, thank you for your prompt reply and for additional information.

Your question is
What are my tax obligations, and do i have to do anything to register etc now?

Your tax obligations will be no different from before..
The LTD company will raise invoices for services rendered as usual and account for the income as income of the LTD company.

You will continue to draw your salary from the LTD company under PAYE.
The company will bear any expenses incurred on this contract as normal business expenses.

I hope this is helpful and answers your question.

If you have any other questions, please ask me before you rate my service – I’ll be happy to respond.

Customer: replied 2 years ago.

At the end of my tax year will I have to pay Danish tax on monies received?

Moira, thank you for your reply.

Your company is based in the UK and you are doing a short term contract.
The company would pay tax on the profits (including this contract) to HMRC here as the business address is UK.
You being an employee of the the LTD company would pay income tax on your salary under PAYE to HMRC.

There would be no need to pay Danish tax as your employment is with a UK based company.

I hope this is helpful. and other Tax Specialists are ready to help you
I thank you for accepting my answer.

Best wishes.