# Taxes working in UK



## Ixy (Aug 23, 2018)

Hello! I need a piece of information. My husband and I are living in the UK but we want to move to Portugal. My husband wants to find a web design remote job from UK in order to freely travel and relocate ourselves in a Portugal place that could be convenient for us.
Does anyone know how the taxes work between this two countries? We understand that there is a double taxation agreement between UK and Portugal and you will pay the higher rate of tax of this two countries. Which taxes do we need to pay and overall, how much percent do we need to pay? For an annual earning of £45,000 would’ve be a 48% off taxes or more? We are a bit confused about that so a little help would be nice!!
:confused2:


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## Ukkram (Aug 21, 2018)

I have already replied to your question on the other forum and did so in detail. You will not get a different answer on this forum My answer is 100% correct up until you added employees taxes. Are you going to employ people here in Portugal?


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## Ukkram (Aug 21, 2018)

Disregard my above post and start again. I was under the impression that your husband will work for himself. As this is clearly not the case and he will be working for a UK based firm then it does not change matters much. The tax treaty is simple and explicate in your case. 

// Remuneration derived by a resident of a
Contracting State in respect of an employment exercised in the other Contracting State shall be taxable only in the first-mentioned State if:
(a) The recipient is present in the other State for a period or periods not exceeding in
the aggregate 183 days in the fiscal year concerned, and
(b) The remuneration is paid by, or on behalf of, an employer who is not a resident of
the other State.//

The "first mentioned state" being UK.

In short your husband will pay tax in PT only. This can be mitigated by NHR status.


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## Ixy (Aug 23, 2018)

Thanks a lot!! Now is more clear for us!! Hopefully we can make our way!!!


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## Ukkram (Aug 21, 2018)

No edit available here and as I read my post I see that a confusion can be read in the (a) and (b) parts of the tax treaty.

The word "and" in the (a) tells you that both a and b must be met for tax to be paid to UK. 
As Ixy will be residing in PT for more than the 183 days the 2 clauses will not be met.

Sorry for long reply.


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## Ixy (Aug 23, 2018)

Thanks for you long reply!! It is very helpful. I agree that is odd that the forum doesn't allow to edit a post.


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