Does a Canadian, freelancing for a UK company, file UK income taxes?
March 3, 2016 12:30 PM   Subscribe

I've been offered a bit of freelance editing work by a British publisher. As a Canadian, I know I would have to declare that income when I file my Canadian income taxes. But would I also have to file income taxes with the British govt? Bonus UK tax question after the jump!

Separate UK tax question: my wife, also Canadian, is considering getting a British passport (she has a claim through her dad). If she gets it and then doesn't work in the UK, will the UK expect her to file British income taxes? Or do they not care unless you're living there and/or earning pounds?
posted by Beardman to Work & Money (2 answers total)
This appears to be the relevant HMRC guide for foreign workers being paid by UK companies. In short, it varies country by country - some collect the tax for foreign revenues and rebate it, some tax you twice, some don't tax and rely on you paying tax in your home country. I'd suggest you contact both HRMC in the UK and the Canadian equivalent. There's a somewhat relevant thread on this forum, although the person asking there is a UK citizen working abroad. But it basically looks like you'd need to invoice your UK company, then report that income and pay tax to the Canadian revenue.

As to your wife's question - the UK doesn't levy tax on income earned abroad if you are a non-resident. So unless she is working in the UK and earning money paid to her there, she won't owe UK tax. I'm not a lawyer, a tax professional, or giving you legal advice. Check with the relevant tax authorities in both cases.
posted by Happy Dave at 12:56 PM on March 3, 2016

the uk + canada have a reciprocity agreement, which means you pay tax just once (afaict, ianal).
posted by andrewcooke at 1:06 PM on March 3, 2016

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