# Working remotely from UK while being paid in Spain



## jingofin (Mar 2, 2021)

Hello

I have a question and I wonder whether anyone else has faced the same scenario. 

I currently live in Madrid and have my freshly printed T.I.E card. I work for a Spanish company (a subsidiary of a Global group company) and my salary is paid in Euros into a Spanish bank account. I pay my taxes to Spain. 

With current situation of restricted travel, I am considering giving up my Spanish apartment and returning to the UK where I can continue working for the same company remotely from the UK indefinitely. 

Questions are;

1.) Is it allowed to have a Spanish and UK bank account and transfer funds between the two.

2.) Who, if anyone should I inform? (I will of course inform my employer)

3.) Who do I pay tax to? This is the most complicated one I guess because at the moment my tax is taken automatically out of my salary.

I'd prefer to stay on the same contract I have in Spain because at some point, maybe in 12 months if the world has returned to normal, I may want to move back to Madrid. 

Thanks in advance if anyone is kind enough to offer advice.


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## xabiaxica (Jun 23, 2009)

The tax situation sounds far too complicated for me - but one thing that you need to take into account, is that unless you are a permanent resident, that is your TIE states 'permanente' & you have been a registered resident for over 5 years, you can only leave Spain for 6 months in every 12 without losing your right to residency.


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## Overandout (Nov 10, 2012)

We are used to seeing this the other way around! In the UK you can apply to have your tax rate (PAYE) as 0 if you are not a tax resident, but I'm not sure if that is the case in Spain.

But I share the view of Xabiaxica that there is a very high probability that your company would be illegally employing you as a resident of a non-EU country. Your right to work for a Spanish company is based on your residence prior to Brexit and once you renounce that residency all WA rights cease for ever.


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## jingofin (Mar 2, 2021)

Thanks for the responses guys. I hadn't considered the 6 months per year requirement for retaining residency. I have lived in Madrid for 3 years, not 5 and although I was able to swap my N.I.E to T.I.E very easily it still does not make me a permanent resident. I was working remotely for the last 3 months in UK, returned to Spain last week, the travel is no fun at the moment with routes to Madrid from Heathrow and Manchester only now plus the Covid testing going each way and UK quarantine. I think I'll need to discuss with company HR and legal, maybe i'll just go back to UK for 6 months and hope the Corona situation and travel restrictions ease up by then. Thanks again, some food for thought.

And yes, OverandOut. Through my Google search for a solution I noticed most questions revolve around people working for UK companies wanting to work remotely in Spain. Even post BREXIT, i'd expect the arrangements to be reciprocal and work the same both ways.


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## xabiaxica (Jun 23, 2009)

jingofin said:


> Thanks for the responses guys. I hadn't considered the 6 months per year requirement for retaining residency. I have lived in Madrid for 3 years, not 5 and although I was able to swap my N.I.E to T.I.E very easily it still does not make me a permanent resident. I was working remotely for the last 3 months in UK, returned to Spain last week, the travel is no fun at the moment with routes to Madrid from Heathrow and Manchester only now plus the Covid testing going each way and UK quarantine. I think I'll need to discuss with company HR and legal, maybe i'll just go back to UK for 6 months and hope the Corona situation and travel restrictions ease up by then. Thanks again, some food for thought.
> 
> And yes, OverandOut. Through my Google search for a solution I noticed most questions revolve around people working for UK companies wanting to work remotely in Spain. Even post BREXIT, i'd expect the arrangements to be reciprocal and work the same both ways.


As a resident of Spain under the WA, you are entitled to work for an EU country. 


As of Jan 1st 2021, Spanish & other EU countries now have to get work permits for British citizens to work for them, unless they are already resident under the WA, as you are. That involves proving that no EU citizen can fill the position.

Should you lose that right to residency, you also lose the right to work for an EU based company.


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## jingofin (Mar 2, 2021)

xabiaxica said:


> As a resident of Spain under the WA, you are entitled to work for an EU country.
> 
> 
> As of Jan 1st 2021, Spanish & other EU countries now have to get work permits for British citizens to work for them, unless they are already resident under the WA, as you are. That involves proving that no EU citizen can fill the position.
> ...


Yes, I see and understand. I need to have a rethink. I do not want to lose my residency and job but at the same time I do not like being unable to return to UK every other weekend to see family and friends. I guess like many people I just need to accept the crappy situation for now. I think the problem now for me is more Corona related than Brexit related.


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