Income Tax Obligations for Non-UK Resident Assignees in UK Construction and Civil Engineering Projects

Türner & Co specialises in addressing the tax obligations of non-UK resident employees assigned to work on construction and civil engineering projects in the UK. Our expert team is adept at determining the UK’s taxing rights, the extent of these rights, and managing the ensuing compliance obligations. It is crucial to ensure that these employees have the Right to Work in the UK.

UK Taxing Rights and Obligations

When non-UK resident employees are assigned to work on a UK permanent establishment (PE), the UK generally has taxing rights over the income earned during those work days. This obligation also extends to labour provided by other group companies for the project.

Our Aim

Our goal is to streamline the tax compliance process for your business, HR team, and employees, alleviating stress and anxiety associated with overseas tax obligations. We anticipate concerns and questions, providing clarity and support from day one.

Our Services

Reviewing UK Taxing Rights

We assess whether the UK has the right to tax the income earned by your employees during their assignment. Find out more about when the UK has taxing rights →

Operating UK Shadow Payroll

If required, we can manage a UK shadow payroll to ensure proper tax withholding and reporting.

Employee Tax Registration and Returns

Registering your employees for UK taxes and handling their UK income tax return filings.

Employee Tax Guides

Providing comprehensive, easy-to-understand guides for your employees, explaining their UK tax obligations and how we assist them.

Liaising with HR

Working with your HR team to facilitate home country tax exemption claims and providing necessary information.

Tax Payment Advisory

Advising on the amount of tax due in the UK and the payment schedules.

Roundsum Allowances and Tax Policies

Guidance on managing roundsum allowances, tax equalisation, and tax protection policies.

Deregistration at Assignment End

Assisting in deregistering employees from UK taxes after their assignment concludes.

FAQs

We provide clear guides and support for HR teams to communicate tax obligations and processes to employees effectively.

Employees will typically need various forms of identification and work records. Specific requirements will be communicated by us.

While the taxing rights are based on work location, the country of origin can affect treaty benefits and overall tax burden.

For work related to a UK PE, the 183-day threshold is irrelevant; they are taxable in the UK from day one.

Immigration requirements apply regardless of assignment length. We can signpost to specialist advisors for detailed immigration advice.

Contact Our Experts

For comprehensive support with the income tax obligations of your non-UK resident assignees in the UK, Contact Türner & Co today. We ensure smooth and compliant management of international tax responsibilities.

Sarah English

Senior Manager

Liam Perry