Personal and company tax residence

pippo

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Dec 30, 2019
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I'm an Italian citizen but I moved to Ireland for work in 2016.

In 2017 I setup a small consulting company, making roughly 50k a year.

I then started to travel around Europe, triggering the 180 days rule in at least two other countries so far.

I tried to leave behind as little evidence as possible, no paper trail nor anything, in the other countries.

On my side, I also have a combo of:

- Irish tax certificate +
- bank account statement to a physical address
- credit card statement to a physical address

At the moment all sent to my old address, as I had a friend living there till the end of January.

I'm not really concerned about the other two countries claiming any tax. But as the business is slowly growing getting closer to the 100k a year figure, I am wondering how can I make sure to maintain Irish tax residence and not risking to get into any trouble.

My plan is to get back to Ireland and stay for a few months, as I usually do on a regular basis. This time though, I'd like to get an agreement with the landlord, or with a friend, and offer to pay any kind of utility for him, for an unlimited amount of time, having my bank to change my address to his house, declaring also to revenue I'm living there.

That should, in my mind, provide me with the utility bill that I miss to make the above mentioned combo unbeatable.

As the LTD company has nobody working for it other than me, my indisputable tax residence will also provide for the indisputable tax residence of the company.

I'd appreciate any thoughts on the topic 🙂
 
Are you registered as a resident non-domicile in Ireland? Your consulting company is a Irish company right?

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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.
 
I am resident, and so far domiciled, meaning I communicated to no authority that I am often out of home for extenended period of time.

The consulting company is an Irish LTD, sole shareholder, sole director, me in both cases
 
pippo said:
I am resident, and so far domiciled, meaning I communicated to no authority that I am often out of home for extenended period of time.
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Your domicile is Italy it is NOT Ireland but your residency is in Ireland. Domicile comes from birth not residency. You are aware that in Ireland as a resident non-domicile which you are that you can opt for taxation on remittance basis. That means money you earn outside Ireland and do not bring into Ireland does not get taxed and it is all 100% legal. You would only be taxed on local income and if any foreign business you operate is controlled and managed in Ireland.

What I am trying to explain is that you are not making full use of your tax advantageous status by being a non-domicile living in Ireland. Your tax residency is however what you are interested in I guess and yes you need to spend 183 days in a year in Ireland to be considered tax resident as part of the rule. However I doubt that is being controlled in Ireland if you are paying the taxman what is owed. The third country you were resident in however may cause problems if they decide to run a control on you which is highly unlikely if you are not on the radar with them.

pippo said:
The consulting company is an Irish LTD, sole shareholder, sole director, me in both cases
Click to expand...

Ok

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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.
 
Martin Everson said:
What I am trying to explain is that you are not making full use of your tax advantageous status by being a non-domicile living in Ireland. Your tax residency is however what you are interested in I guess and yes you need to spend 183 days in a year in Ireland to be considered tax resident as part of the rule. However I doubt that is being controlled in Ireland if you are paying the taxman what is owed. The third country you were resident in however may cause problems if they decide to run a control on you which is highly unlikely if you are not on the radar with them.
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Uh! The non-dom thing always confused me :-D . It looks like I need some thorough study of the matter! Thanks a lot Martin
 

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