Do I need to pay tax as a UK resident when I'm a digital nomad?

Hey everyone,

This is my first post, apologies if this has been covered already!

I am from the UK and I have landed a nice little job in Australia. As my working holiday visa is coming to an end I will soon have to leave Australia and I will begin working remotely.

I am thinking about heading to South East Asia as the time zone would suit my working hours best and the obvious living costs but it will also be the rainy season. Can anyone recommend anywhere suitable between June - September?

My plan at the moment is to just take a gamble on the first location then country hop every 30 days to meet visa requirements.

As I will no longer be a resident of Australia after my visa ends, will i still be required to continue paying tax to Australia? or maybe the UK? Or can I spend all this extra money on beer and various charities along the way?

Thanks!

Kieren

Hi Kieren,
I’m just curious because I’m soon moving to Australia. What job did you end up doing there? Any tips for me?

Sorry to go off topic :slight_smile:

Disclaimer: I am not a lawyer or a financial advisor. This is just relayed info from a lot of conversations and googling.


Taxes - I’m not sure how the AUS tax system is set up but as you’re a non-resident in the UK, you don’t need to pay taxes. However you should pay taxes somewhere.

Will you continue to work with your AUS employer? If you remain an employee, I assume you will still have taxes to pay in Australia. If you work for them as a “contractor” then you’ll need your own business.

Most people register a company in their home country or a tax haven off-shore. UK Ltd companies are generally straight forward and only cost £15. You pay yourself tax-free up to £10k (your annual personal allowance) then pay yourself dividends at 20% corporation tax thereafter and many things are deductible thus avoiding tax.

If you are no longer working in Australia or for an Australian employer, you shouldn’t have to pay tax here. Contact the ATO and find out what you can claim back. I think some payments like Superannuation can be withdrawn if you are leaving the country for good – but definitely talk to them about it because the rulings on things like that change all the time.

Hi PoeHah,

I joined a new startup in Brisbane back in September, I was initially the contact centre manager. I have since created a virtual contact centre with employees across Australia and Asia for the same company.

My advice would be to have a good amount of money behind you, living expenses are very high.

I am not sure what your line of work is but I think networking is very beneficial over here, get out and meet as many people as you can. It is all about who you know.

Good luck,

Kieren

Hey Isabella & Kathryn

Thanks for your comments, I think I will just continue to pay tax to Australia as I will still have an Australian employer and I don’t want it coming back to haunt me if I apply for another Australian visa in the future.

Kathryn - thanks for your advice! I think I will just continue to pay tax and super in Australia and look to claim it back later, I will contact the ATO this week. :smile:

Thanks

Kieren

Yep, if you are still working for an Australian employer it’s a totally different situation. :smile:

It is a little complicated because right now I am registered as a sole trader but once I leave Australia I will then sign a new contract as an employee for the company…

Working holiday visa limits me to 6 months with one employer unfortunately, that is why I switched to sole trader and then I will switch back.

It is giving me a headache so I am looking forward to some chill time on a beach ha :

Thanks for the reply Kieren. I am a webdeveloper with entrepreneurial spirit (I recently created http://bike-sharing.org). Can we chat sometime? I’d like to get some more info from you :slight_smile: also: do you have the network to maybe help me?
I have money to live there comfortably.

Thanks!
Maarten

Hey Marteen,

No problem, yeah we can chat sometime, when do you arrive in Australia?

I had a look at your website and it is a very good concept!

I don’t really have too many connections as I have only been here a short amount of time sorry. I am happy to answer any questions you may have.

Kieren

Thanks for the kind words :smile:

I’d like to pick your brain anyway with some questions of you don’t mind. Do you prefer to connect somewhere on another medium or shall I just post them here and you can answer at your own time?

Come to Kuala Lumpur, and I’ll show you around :wink:

Marteen,

Sorry for my late response, I will be happy to answer any questions over direct message on here or maybe over email?

Let me know what you prefer

Kieren

Thanks for the offer LT,

I don’t think I will be in KL anytime soon, but if so I will let you know.

Sorry about also not being responsive.
I actually already got an answer to questions I had, so I’m all good at this point.

Thank you for offering help though