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16.11.2011, 17:00
| Newbie | | Join Date: Nov 2011 Location: basel
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| | tax for international commuter
Hi there
I'm new to EF. I will soon start my new job in Basel (salary around 120K). Unfortunately wife and kids will stay in UK (at least for another year), so I will be travel back and forth for a while. My questions are: - Will I be taxed in Basel as 'single' or as 'family'?
- Someone mentioned to me that I can claim the "international commuter" status for taxation. However, by doing so the frequency and time you can stay in UK will be limited, so I wonder whether there really s a tax benefit in doing so?
Does anyone have similar experience, or have knowledge regarading these? Thank you very much for your help.
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16.11.2011, 17:56
|  | Forum Veteran | | Join Date: Oct 2006 Location: Wallisellen
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| | Re: tax for international commuter
The international commuter assumes your main residence remains in UK and you are going to be taxed on your income there as well as in CH.
This will lower your CH liability by lowering your assessed taxable income by about 18k a year (increase your deductions on your tax form). Further deductions will be allowed like travel, expenses, rent/hotel etc while in Basel/CH.
However you may need to pay local taxes and pension depending on the permit you get (G, L, B).
I suggest you get a UK accountant and a local Steuerberater/Treuhand to maximise your position. Don't expect them or the authorities here or there to know anything about the other side. You may need to get used to filing Swiss and UK tax returns while your status remains the same.
Maybe your company can set you up with help in your first year as part of the package. The good news is your salary is the minimum required to have the right to fill in a tax return and therefore "deduct to the max".
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17.11.2011, 16:29
| Newbie | | Join Date: Nov 2011 Location: basel
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| | Re: tax for international commuter
Thanks a lot, Magyir. Having got used to tax being deducted by my employer, this sounds a lot more complicate than I thought.
But if I don't bother to claim to be "an international commuter", would I be classified as 'married with 2 kids' or 'single' ? just because they won't come to CH with me.
Anyone knows about this? thank you
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17.11.2011, 22:07
| Member | | Join Date: Apr 2010 Location: Basel
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| | Re: tax for international commuter
If your wife and childeren are in the Uk you will be taxed as single with no dependants here.
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18.11.2011, 16:05
| Newbie | | Join Date: Nov 2011 Location: basel
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| | Re: tax for international commuter
Thanks a lot kb92830.
I probably really need to spend sometime to find how much money I can save, then decide what to do next.
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18.11.2011, 20:09
|  | Forum Legend | | Join Date: Apr 2010 Location: Verbier
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| | Re: tax for international commuter
If your wife & kids stay in the UK, you have clearly not left the UK permanantly for a settled purpose. You will be taxed here as a single & will also be liable to UK taxes on your income. Any CH tax deducted can be credited to your UK liability.
From next year the tax residency rules should become more clear, if you are in the UK 44 days at midnight you will remain tax resident in the UK. I have made some simple assumptions from the information you have provided.
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19.11.2011, 00:48
| Member | | Join Date: Apr 2010 Location: Basel
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| | Re: tax for international commuter
Fatman,
Do you have a link to the new rules on residency? I would be grateful if you do.
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19.11.2011, 02:15
|  | Forum Legend | | Join Date: Apr 2010 Location: Verbier
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| | Re: tax for international commuter | Quote: | |  | | | Fatman,
Do you have a link to the new rules on residency? I would be grateful if you do. | | | | | It has not become law as yet. http://www.hm-treasury.gov.uk/d/cons..._residence.pdf | The following 2 users would like to thank fatmanfilms for this useful post: | | 
21.11.2011, 18:30
| Newbie | | Join Date: Nov 2011 Location: basel
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| | Re: tax for international commuter
thanks Fatman
That's a very important information for people like me.
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21.11.2011, 18:41
|  | Forum Legend | | Join Date: Nov 2009 Location: Basel
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| | Re: tax for international commuter
From the consultation PDF : | Quote: |  | | | 3.16 In addition, as under the current rules, the Government believes a UK resident individual who leaves the UK to work abroad full-time should be non-resident for the duration of this work irrespective of the connections with the UK they leave behind, subject to certain conditions. | | | | | This is also very interesting : | Quote: |  | | | were resident in the UK in one or more of the previous three tax years and they are present in the UK for fewer than 10 days in the current tax year | | | | | as it would cover people taking a "gap year" or just travelling/dossing around the world.
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21.11.2011, 18:51
|  | Forum Legend | | Join Date: Apr 2010 Location: Verbier
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| | Re: tax for international commuter | Quote: | |  | | | From the consultation PDF :
This is also very interesting :
as it would cover people taking a "gap year" or just travelling/dossing around the world. | | | | | If you were taking a gap year or just travelling I doub't many will have much tax liability if any in the UK, unless you were very well off.
However it could be useful for future years, however unless you tell the revenue before you go.........
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