Employed in the UK living in Malta - EU citizen

adrih85 wrote:

Hello,

I hope someone can help with my question

I am italian, I lived in the UK for the past 7 years and I have settled status in the UK.

I am employed in the UK and I would like to move in Malta because I could potentially work remote. If my company agrees about me working from Malta how would this works in terms of tax? I am allowed to keep my job from the UK although I am not a UK citizen? (I don't have an UK passport).

I am sorry if this is a bit if a pain but I am just trying to get my head around this situation.

Many thanks!

As and EU citizen you are fully entitled to live and work here in Malta. You would need to apply for your Maltese residency card, either employed or possibly self employed status, and  it would be as well to talk to an accountant here in Malta to ensure you get your tax affairs in order to avoid paying more than you have to.

Hi I don't think is that easy because I won't be either self employed or working for a Maltese company. I can't be self employed because my income will come from the UK.

I understand that, as an EU citizen who has an income coming from another country I will have to apply for the Economic Self Sufficiency permit but I am not sure how would then work if my circumstances change - for example if I decide to resign from my job in the UK and I would like to look for a job in Malta.

Is there any lowyer/accountant that may help me with all these questions?  can you recommend any?

There are a few other things to consider.

At the moment, if you're resident in the UK and are paid on the normal payroll, you will be paying UK tax (PAYE) and National Insurance.  If you move to Malta, you will no longer be liable for UK taxes etc, but will then need to declare your "World Income" to the Maltese taxman.  The difficulty is whether your employer can pay you free of tax etc (HMRC may well not allow it if they think there is something untoward going on) and whether your UK job contract is legally enforceable in a Maltese court in the event of you needing any kind of legal ruling; the EU court system is no longer enforceable in the UK.

You also need to consider your UK pension; if you are part of a UK company pension scheme, this is almost certainly viewed as a tax benefit by HMRC where they will be granting discounts to your employer, so you need to check if you are still entitled to be a part of it if you are no longer UK resident.

My advice would be that if your employer agrees to you working from home in Malta, then to speak to a lawyer in Malta to see where you stand with regards to your employment rights and other tax matters.  There are Maltese Legal companies offering their services in our Services section; this link will take you straight to it; I have no experience of using any of them.

Hope this helps.

Cynic
Expat Team

Hi this is really helpful thank you! yeah it's seems like things are a bit tricky -.-

For the UK point of view I think I won't be required to pay any tax in Malta because of the double tax relief but, I am not an expert, and I have booked an appointment with an expats tax advisor in London to discuss this matter.

Thank you for sending the link here on the forum, very helpful.

Adriana

adrih85 wrote:

Hi this is really helpful thank you! yeah it's seems like things are a bit tricky -.-

For the UK point of view I think I won't be required to pay any tax in Malta because of the double tax relief but, I am not an expert, and I have booked an appointment with an expats tax advisor in London to discuss this matter.

Thank you for sending the link here on the forum, very helpful.

Adriana

One of the issues I've come across when helping others is that the tax agreements between countries only apply to income taxes and state pension taxes, so for example any social taxes fall outside it and the person then becomes liable for the tax.

Hi Adriana! Did you managed to figure this out? I'm in a very similar situation and am trying to understand what the tax implications would be..Thanks! Justyna

iam a resident in malta with perm.id card. - I am going to be accpeting a carer job in uk - what do i need to from malta side.

If you leave the country and take up residency in any other country you cease to be a resident of Malta and should return your Residence card. Keep in mind you would have to reapply as a TCN if you wished to return and this may not be easy.