Managing expatriate cost: plan to remit now or pay later

Are you responsible for the management of international assignees in the UK? If you are, you need to act now to plan for the remittance basis of taxation which was enacted on 21 July 2008, or risk paying more tax later.

The remittance rules were introduced in Finance Act 2008 and are effective from 6 April 2008. They represent a significant change to the way that money remitted to the UK is treated and affect both existing UK assignees and new arrivals coming to work in the UK. 

Failing to plan in the new regime, for example by considering new structures to help you manage the amounts of money you remit could lead to increased tax and the loss of valuable reliefs.

There are a number of way in which PricewaterhouseCoopers specialists can ensure you don't lose out on tax savings in the remittance regime, these include changes to:

• payroll
• employer communications
• assignees’ offshore and onshore bank account structures in order to equip assignees to continue to minimise their UK tax liability