Going to work abroad, but still earning on the side.

brisck1

Hi,
For the past 6 months I have been taking some time-out from full-time work and registered myself as self employed for since then so i could do some freelance work to keep me going. Just recently I accepted a job offer in Sweden and so have now unregistered myself as s/e and have sent for a p85 etc but something has just occured to me:

During this time I made a small website on which I see imagery and some photography. It isn't a big earner but continues to bring in money from time to time, and im wondering whether my earnings for this will be taxed in sweden or UK? (Sweden has a whopping tax rate)

I'd like to just shut the site down but I have people on a paid subscription to the site and dont want to rip them off by closing it.

So what I really want to know is, will I have to declare this on my swedish tax return or can I just save it for my UK self assesment in 2008?

WHA

It will depend on your tax residence status.

If you are only abroad for less than a full tax year, you will still be liable to UK tax on all your worldwide income, including the foreign earnings and website income, although credit is given for tax suffered abroad to avoid being taxed twice on the same earnings.

If you move away from the UK permanently, i.e. for at least one complete tax year, and don't return too quickly, you'll become resident for tax in that other country and have to pay tax on all your worldwide earnings in that country.

So basically it depends on how long you'll be abroad. Although there are other factors which may complicate the issue, such as domicile, ordinary residence, length of time in UK prior to leaving, etc etc. Cook_County is your expert and no doubt will come along to post soon if anything I have said is wrong.

crossleydd42

Am I not right in thinking that, even if you goo abraod, that residency is unaffected for some time and you will taxed in the UK for this period? Maybe the Foreign Office or Revenue and Customs website will clarify this.