Working in Spain part of the time.

[Julie]

If one works in Spain for 5 months or so, but is a uk resident, so Not spending more than 6 months in spain,do they have to tell anyone in the UK ? The employer would be paying into the spanish system for them, so they would be legal when working.

[Dr1Gonzo]

When you say paying into the Spanish system, do you mean some tax is paid in Spain?
They would not be tax resident in Spain but they would have to reclaim the tax back somehow so yes.
Why not check with the Inland Revenue.

[El Cid]

The general rule, in both the UK and Spain and most other countries is that if your income arises in Spain then tax is paid in Spain irrespective of your tax residency. If it was a proper contract job the tax in Spain would be deducted from the income by the employer.

If you were tax resident in the UK then the Spanish income would be taxable in the UK under the "World wide income" rules but of course HMRC would allow you to deduct the tax paid in Spain from your UK tax bill.

So, to answer your question, you are obliged to tell HMRC - the Spanish taxman doesn't have to tell anyone as he is only interested in the Spanish tax.

Sid

[Julie]

Thanks Sid, much appreciated