Have a full time job. Been offered month long club tour in mainland Europe. Tax implications?

[cetera]

Wondered if anyone has any experience/advice....

 

I have a full time job, company sorts tax etc so no self declaring...

I've potentially got an opportunity to take a month sabbatical (unpaid) from my work and to do a tour with a US artist in Europe. Money won't be huge but will be around the same that I'm missing from my full time job so what, if any, are the tax implications? Do I need to do anything? Tell anyone etc?

Cheers in advance!

[asingardenof]

3 minutes ago, cetera said:

Wondered if anyone has any experience/advice....

 

I have a full time job, company sorts tax etc so no self declaring...

I've potentially got an opportunity to take a month sabbatical (unpaid) from my work and to do a tour with a US artist in Europe. Money won't be huge but will be around the same that I'm missing from my full time job so what, if any, are the tax implications? Do I need to do anything? Tell anyone etc?

Cheers in advance!

 

I believe that if you earn over £1k from it you'll have to declare it. How you declare it is another matter though, you might have to do self-assessment just for the additional income if your main income is dealt with under PAYE. The other question is if you're getting paid in sterling because you're a UK taxpayer, euros because that's where the tour is, or in USD because the artist you're supporting is American, and also where you're getting paid.

[pete.young]

If the US artist or the tour company are going to put you on a company payroll, you'll end up paying tax through that, with zero allowance so the whole lot will be taxed. If not, you'll probably need to set up either a limited company or a limited liability partnership , invoice the tour management, pay yourself a minimum wage and or dividend and submit that income via self-assessment.

[uk_lefty]

All I know is there is a way you can declare foreign earnings of different sorts. And if you've paid foreign tax you can get a small % of that credited back by HMRC. 

[SteveK]

First a disclaimer: I'm not an accountant. I assume you're on PAYE, so that may complicate things. I can only tell tell you how it works for me.

 

I've toured Europe on an almost weekly basis for the last 30 odd years.

 

You will/should have to pay tax on your tour earnings.

 

Is the US artist paying you? If so, then you should declare it to HMRC as foreign earnings. You may be able to deduct expenses.

If the promoter is paying you as part of a band, then he will want your details. Tax will most likely be deducted by the promoter before you receive payment. For that you should eventually receive a Foreign Tax Certificate. Your accountant/adviser will hopefully know what to do with it. It's unlikely that you'll be able to claim any expenses, but your PAYE status may make that possible (I know nothing of PAYE rules).

Edited November 9, 2023 by SteveK

[Cliff Edge]

On 09/11/2023 at 14:32, cetera said:

Wondered if anyone has any experience/advice....

 

I have a full time job, company sorts tax etc so no self declaring...

I've potentially got an opportunity to take a month sabbatical (unpaid) from my work and to do a tour with a US artist in Europe. Money won't be huge but will be around the same that I'm missing from my full time job so what, if any, are the tax implications? Do I need to do anything? Tell anyone etc?

Cheers in advance!

 My advice for what it’s worth as a previous self employed self assessment person, phone HMRC and ask them. They are in my experience anyway, very helpful. But you should have all the details regarding payment methods etc to hand. 

[Jason Karloff]

On 09/11/2023 at 14:32, cetera said:

Wondered if anyone has any experience/advice....

 

I have a full time job, company sorts tax etc so no self declaring...

I've potentially got an opportunity to take a month sabbatical (unpaid) from my work and to do a tour with a US artist in Europe. Money won't be huge but will be around the same that I'm missing from my full time job so what, if any, are the tax implications? Do I need to do anything? Tell anyone etc?

Cheers in advance!

Sounds exciting. Good Luck

[Burns-bass]

I’d register as self employed which means you can claim up to £1000 in expenses (without needing to provide receipts). You can then record the payments incoming legally and will need to complete a self assessment tax return.

I work with companies all across the world and declare tax this way (alongside a VAT registered business). 
 

But as Steve says, some promoters may have their own requirements on paying you. So worth asking.

 

 

[Steve Browning]

Definitely check the payment arrangements. I have certainly had to complete forms in NL to declare that I pay tax in the UK, to avoid tax deductions there. 

 

Anything on the MU site? Might be worth joining. 

[asingardenof]

If you're getting paid in dollars in the US you may have to set up an ITIN (similar to SS and NI numbers but purely for tax) with the IRS and file taxes in the US. In which case, having had to do that with Mrs Asingardenof who is of an American persuasion, may [insert deity of your choice] have mercy on your soul.

[Burns-bass]

1 hour ago, Steve Browning said:

Definitely check the payment arrangements. I have certainly had to complete forms in NL to declare that I pay tax in the UK, to avoid tax deductions there. 

 

Anything on the MU site? Might be worth joining. 

 

Always worth joining the MU.

[taunton-hobbit]

I'd ask my accountant - if you don't have one, this is a sensible & good place to start.

 

😎

[Steve Browning]

1 hour ago, taunton-hobbit said:

I'd ask my accountant - if you don't have one, this is a sensible & good place to start.

 

😎

Although I would caveat that to add that they would need relevant experience/knowledge. I am not sure how many high street accountants would have it. 

[goonerjoe]

[mike257]

Many countries require you to present an A1 certificate to the entity that are paying the fee (usually the local promoter) for each person, which can be applied for on gov.uk and is proof you're a UK taxpayer, otherwise they'll hold a proportion of the fees back as "witholding tax" to cover any liabilities that a local taxpayer would have been subject to. 

 

To complete an A1 application you have to be able to list the countries you're visiting and when. 

 

Currently there's a bloody enormous wait time for a form to be processed, but promoters will often accept a proof of application in lieu of the actual cert. 

 

Doesn't answer your question, but is useful info to get ahead of for your situation, because the tour manager will no doubt be asking you for one!