Korean Job Discussion Forums

[Sugar]

I just wanted some info from Brits working for Public school and whether you have to pay tax in the UK.

I believe that with EPIK you don't pay tax for two years, but need a UK residency certificate. But will I have to pay tax on money I send to the UK?

Thanks.

[elliot79]

could somebody please also tell us how to get a UK residency certificate

[Sugar]

Not what I was ask for. I know where to get a Residency Certificate.

Just wanted to know about paying tax in the UK when working in South Korea.

By the way to get a UK Residency Certificate you need to contact HMRC and they will direct you to your tax office (if you don't know it).

Brits working in Korea please??

[debb199]

Here are all the answers: http://www.hmrc.gov.uk/cnr/osc.htm

A2. If you remain treated as resident in the UK for UK tax purposes, normally you will be taxable on your income arising in the UK and overseas. If you are treated as resident and pay tax outside the UK HMRC can give appropriate credit for any tax paid abroad.

If you become treated as non-resident, you will normally only be taxable on your income arising in the UK.

Forms are further down the page. Of course, its up to you whether you want to pay Korean taxes or be liable for the much higher UK taxes!

[debb199]

Sorry, double post!

[Sugar]

Thanks for the info. However in practice what do people do?

Do they get the tax cerf and let HMRC know they are working abroad?

What happens when you send money home, does that get taxed?

[elliot79]

[debb199]

[chellovek]

Never heard anything like it. I've never paid a penny in tax to the UK government whilst I've been here.

[Hootsmon]

Yeah...been here over 4 years, never told the UK government what I've been doing and never paid taxes in the UK.

Maybe the only downside is that my I don't think my years of tax-paying out here aren counting as part of the required years to qualify for UK state pension. But then, there's a good chance that by the time I get to retirement age, there will be no money left to share around...

[debb199]

[chellovek]

[harshlands101]

I work in a public school, my first year I didn't pay tax and didn't need a residency cert (08/09). This time around I was told I needed one, but I forgot to get it and seemingly my admin office has forgotten to chase it up so I am still not paying tax 8 months into my contract.

You don't pay tax on money sent home, as said above, just the bank charges. You will be liable for tax charged on any interest accrued on the money that you send home. Interest earned on savings is taken at source and unless you are in the higher tax bracket no tax return is necessary.

Any income earned in the UK is liable for UK tax - 'Earned' income is from a job. 'Unearned' income comes from interest/dividends/rental and the such.

If you have unearned income you should be declaring them on a tax return and paying the taxes due. Obviously whether you do or not is down to you!

As far as I was aware of, money earned in another country is not taxable in the UK if there is a double taxation agreement in place, which there is for UK/Korea. The 2 year no tax is part of that agreement and we don't have to pay tax in the UK, even after the 2 year grace period is up. We do however have to pay class 2 or 4 NI contributions if you want to keep up your state pension although there is no obligation to do so.

You should also inform the Student Loan Company of your whereabouts and they will calculate a monthly payment based on your income in Korea - ha ha no chance on my part!

I'm pretty sure that is all correct, shoot me if I'm wrong

[debb199]

[harshlands101]