Is income tax payable?

[johnnywb]

My brother has just secured a role as a crew member on a superyacht (classic boat, not vulgar!). He's going to be based all over the world, with the boat. For instance he's starting in Japan next month, then off sailing around, then off to NZ with it.

He's being paid in US $ (standard). The question is, where does he pay tax on this, or indeed, does he need to pay tax on this?

My thought is that the tax will paid in the country where the money is deposited? If this happens to be a tax free countrry, then tax would be paid when he takes it out of that country and into somwhere like the UK?


Thanks

[Eric Mc]

Is he currently a UK tax resident?

Is he going to be out of the UK continuously for more than 183 days in any given tax year?

[johnnywb]

He is currently a UK Tax resident and will, in all liklihood be out of the UK for more than 183 days a year. (he'll be living on the boat, wherever it may be)

[playerone]

My brother in law has a website that has advice for people working on yachts. Hes been doing it for years.

http://www.crawledcrew.com/

I havent checked recently but Im pretty sure there is advice on there for dealing with the financial aspect. Most of them bank offshore I think.

[Eric Mc]

If you bank offshore, it still won't get you off the hook from paying UK tax - unless you fulfill the legal requirements of ceasing to become a UK tax resident.

[johnnywb]

Hehe, blocked at work, clearly they don't want me day dreaming. WIll have a look later though, many thanks.