employment international european-union tax-law workplace
Working part of the year from Spain for a UK company, what are the implications?
<p>I am an EU national based in the UK working for a British company. I would like to live and work remotely from Spain between 3 to 6 months per year. My current company told me they would not accomodate that and other companies interested in hiring me won't accomodate it either, without providing details. I would like to understand what the tax/law implications are that make companies so reluctant.</p>
<p>I'm a senior software engineer with a skillset that attracts lots of recruiters and companies, but as soon as I mention my plan, they quickly either ignore me or tell me it won't be possible.</p>
<p>Based on my research, I would remain a tak UK resident as I would spend less than 183 days per year from Spain. My understanding is that companies need to pay PAYE tax based on how long I work from abroad (<a href="https://www.gov.uk/guidance/paying-employees-working-abroad" rel="nofollow noreferrer">https://www.gov.uk/guidance/paying-employees-working-abroad</a>), which involves filling a P85 form. From a NICs perspective, it looks like there are no special implications as long as this arrangement does not go beyond 2 years (<a href="https://www.gov.uk/guidance/national-insurance-for-workers-from-the-uk-working-in-the-eea-or-switzerland" rel="nofollow noreferrer">https://www.gov.uk/guidance/national-insurance-for-workers-from-the-uk-working-in-the-eea-or-switzerland</a>).</p>
<p>I acknowledge this is a fairly niche situation but any information or links to resources would be greatly appreciated. The more I search, the more contradictory statements I find, and I'm quickly overwhelmed by all the jargon.</p>

<h2>Tax is a minor part of the issue</h2>
<p>A UK company with employees based in Spain on a semi-permanent basis must comply with both UK and Spanish law with respect to them. This includes tax law but it also includes employment law, public holidays, and health and safety law.</p>
<p>First, these laws are in Spanish and the UK is not a noticeably multi-lingual country so the company will have to pay for a professional legal translation.</p>
<p>Second, the Spanish and English/Welsh legal systems are different - even if that laws say the same thing, they might not <em>mean</em> the same thing.</p>
<p>Third, you would likely be entitled to the most generous provisions. If Spain gives more annual leave, you get that. If the UK gives more sick leave, you get that. Of course, if you’re unscrupulous about when you travel, you can maximise your public holidays too.</p>
<p>Fourth and most importantly: <strong>they don’t have to worry about any of this with a UK based applicant</strong>.</p>
