Does an UK LTD with a single non-resident director, need to register as an employer to pay salary to its director?

[pedrosilvam]

I've read a lot of articles about it, and I learned that me, as a non-resident director, working abroad, don't have any tax obligations with the UK. Also, the company doesn't need to deduct PAYE. The payment is made on a gross basis. But, is it still necessary to register as an employer? I couldn't find the answer for this.

 

[Martin Everson]

No unless you visit the UK on short‍ business trips. So stay totally out of the UK as even 1 day in UK⁠ can trigger a need to register for PAYE even as a non-resident director.

 

[CaptK]

Even if you were in the UK you wouldn't need to register for PAYE so‌ long as you don't take a salary and pay yourself dividends only.

 

[dragodrago]

But then how⁠ can you register for PAYE without a National Insurance (NI) number?

 

[CaptK]

They will do it from your UTR, Unique Tax Reference number which every company gets‌ automatically from registration.

Her Majesty will always find a way to get her tax money.‍

 

[pedrosilvam]

Unfortunatelly, dividends wouldn't allow me to avoid corporate tax. That's my goal, because‍ I'll have to pay tax in my country no matter if it's salary or dividends.⁠

 

[pedrosilvam]

Thank you. So⁠ I'll only need to report once a year. That's good.

 

[CaptK]

Depending on your situation you could look at setting up another offshore entity if it‌ is economically viable.