Results 1 to 3 of 3

Thread: Working for german company from NZ

  1. #1
    Join Date
    May 2012
    Location
    Germany
    Posts
    9

    Default Working for german company from NZ

    Hi,

    My girlfriend (a NZ citizen) and I are currently living in Germany (DE) and will be moving to NZ in december.
    I was granted a 24-month-long temporary working visa based on our relationship.

    When handing in my quit letter, my company offered me to continue working for them as a freelancer from NZ. They even offered me to continue as a regular employee (without quitting) and change my fiscal residence from DE to NZ.

    In the first case (freelancer), I guess I'd be a NZ-based sole trader and send invoices to my company in DE. But would my earnings be taxed in DE or in NZ ? I called IRD and they were unable to answer. Does anybody have a similar experience ? (probably with the UK ?)

    Would the second case (stay as an employee) make any sense to you ? I am then liable to pay income tax in Germany, but not the pension/unemployment/social-security premiums, (which brings it back to the first case if tax is payed in DE) and I get to keep my end of the year's bonus. But I still feel it's not the right thing to do...

    I know that DE and NZ have a double tax agreement, so no worries about paying twice.

    Any advice is very much appreciated.
    Cheers

  2. #2
    Join Date
    Dec 2008
    Location
    NZ
    Posts
    367

    Default

    I'm no taxation expert, but:

    Quote Originally Posted by kiwi_tn View Post
    ...In the first case (freelancer), I guess I'd be a NZ-based sole trader and send invoices to my company in DE. But would my earnings be taxed in DE or in NZ ?...
    In this situation, I can't see how you'd have any "German" earnings to be taxed by Germany. If you had clients in other countries, would you expect to owe income tax to every country in which they happen to reside?

    ...I called IRD and they were unable to answer...
    Well, that's worrying -- surely this situation is not that uncommon.

  3. #3
    Join Date
    Feb 2007
    Location
    Essex, UK
    Posts
    2,235

    Default

    My partner does freelance work for companies in the UK and Germany. She pays taxes here, it all just adds to the annual income, regardless of what country it comes from.

    Can't help with the second scenario, but just try to call the IRD again and hope for someone else on the phone. When we've called them in the past, it always greatly depended on the individual we got to talk to.

    Good luck,

    Daniela

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •