Internationally mobile employees

Internationally mobile employees and directors are individuals who work in different jurisdictions around the world (whether concurrently or consecutively). They include:

•
UK residents going overseas to work
•
overseas residents coming to the UK to work, and
•
UK and overseas residents who move in and out of the UK

The taxation of these individuals varies depending upon how they are remunerated as well as when and why they spend time in the UK. This subtopic explains the UK income tax and National Insurance contributions (NICs) position in respect of certain issues commonly associated with internationally mobile employees.

Cross-border employment

When employment crosses jurisdictions, tax on an employee's earnings will be a crucial issue for the employee (in terms of their personal tax and NICs liability) and the employer (in terms of Pay As You Earn (PAYE) and NICs liabilities).

UK employment tax considerations may arise when:

•
non-UK entities employ UK-based individuals
•
UK entities employ non-UK individuals in the UK, and
•
UK entities' UK employees operate outside the UK

The practical implications of these arrangements, such as when an employer

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