# Help with Employing Person remotely working from Spain



## MickEmery (1 mo ago)

Hi All...
Hopefully you can help... I am working for a UK company and looking at employing a person with a UK & Irish passport who moved to Spain earlier this year. He will be working remotely 2 days a week. He still has a UK Bank Account and UK Address and wants us to pay him into this UK Bank account. From my understanding, he will pay tax in the UK as normal but also needs to complete an annual tax return in Spain where he may need to pay the difference in tax based on his region..
I want to know if this is legal for the UK company to do this. We have an Italian accountant who admits does not know all of the rules a and regulations and is saying we cant do this legally but I know a lot of people doing the exact same thing. Can anyone help and also can anyone point me into the direction of a legal representative that can tell me it is ok to proceed?
Best Regards


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## Bevdeforges (Nov 16, 2007)

Generally speaking, a person is considered to be working in whatever country they are in while performing work for which they are paid. And it's the country they are "working in" that determines where a person pays their taxes and social insurances. You need someone to research the Spanish tax laws regarding who is considered "tax resident" in Spain and what the options are for foreign companies to employ someone remotely in Spain if the company doesn't have a Spanish "presence" (like a branch office which could handle the payroll processing).


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## xabiaxica (Jun 23, 2009)

Spain will certainly expect him to pay income tax in Spain - where he is / lives when he works is where he pays tax as far as Spain is concerned.

The easiest thing for him would be to register as self-employed (autónomo) & bill you for the work. 

He should consult a _gestor_ in Spain.


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