Expat Ukraine Forum

Expatriate Life => Q&A => Topic started by: James1 on 20:48 30-Jan-2019

Title: Paying taxes
Post by: James1 on 20:48 30-Jan-2019
If you are in Ukraine on a TRP, and work online for a company in another country (not Ukraine), and you have your wages payed into your home country?s bank account, where do you pay tax? Your home country or Ukraine?
Title: Re: Paying taxes
Post by: Ted on 04:20 31-Jan-2019
Home country is my thought on this, since the wages were not paid to you in UAH nor received by you in Ukraine. You may be physically here but the wages were taken under your physical control in another country. If you withdraw that money while in Ukraine from your bank you are bringing money INTO Ukraine and I can't imagine even Ukraine taxing you on your gift to the country.  Is the company a Ukrainian company? If so, then I suspect you would have to pay Ukrainian taxes.....

Mind you this is this just a guess, but the only one that makes sense to me. It's like receiving your Social Security or other non Ukrainian pension, it is NOT sent here nor paid by Ukraine hence your income is taxable under the IRS.
Title: Re: Paying taxes
Post by: James1 on 06:54 31-Jan-2019
Thank you very much for your reply 👍 this is what I was thinking also. Btw no it?s not a Ukrainian company 👍
Title: Re: Paying taxes
Post by: wolfcastle on 09:51 31-Jan-2019
I'm working for a US Non Profit, and living here in Ukraine, and I'm paying US taxes, doesn't mean I'm correct, but it's what I'm doing.  Not to hijack the thread, but maybe somebody has a good US tax guy for expats living and working abroad? 
Title: Re: Paying taxes
Post by: Pantherdk on 16:10 31-Jan-2019
The answer is not that easy as most of you want it to be...

We need to look into the Ukranian Tax law and see whats Applied when you have a TRP and are doing the Work from Ukrain.
There can also be some double taxlaws that would prevent ukrain from taxing the income you have.

If you want to find the real answer on this question you will need to Consult a tax Lawyer probably.
If your living in ukrain +180 Days a year then my fast answer would be your probably need to pay tax, but also probably overpaying on the US tax
You could probably Registrer as a PE in ukrain and invoice the US Company and then only pay 5% tax and around 20 USD a month in social contribution in ukrain.

Title: Re: Paying taxes
Post by: Ted on 17:41 31-Jan-2019
The answer is not that easy as most of you want it to be...

We need to look into the Ukranian Tax law and see whats Applied when you have a TRP and are doing the Work from Ukrain.
There can also be some double taxlaws that would prevent ukrain from taxing the income you have.

If you want to find the real answer on this question you will need to Consult a tax Lawyer probably.
If your living in ukrain +180 Days a year then my fast answer would be your probably need to pay tax, but also probably overpaying on the US tax
You could probably Registrer as a PE in ukrain and invoice the US Company and then only pay 5% tax and around 20 USD a month in social contribution in ukrain.

Ukraine
Title: Re: Paying taxes
Post by: Pantherdk on 10:55 01-Feb-2019
FRAUCHE.

I dont know if your answer is that is again stupid ukrain laws :)


But this is the same laws that are applied in most of the world.

Title: Re: Paying taxes
Post by: Tnic on 15:00 01-Feb-2019
FRAUCHE.

I dont know if your answer is that is again stupid ukrain laws :)


But this is the same laws that are applied in most of the world.

Its UkrainE with an E on the end. 

Your translator apparently, needs an update.
Title: Re: Paying taxes
Post by: Kord on 18:22 01-Feb-2019
Pretty sure if you are US citizen and have not revoked your citizenship you should pay US taxes (personal).
That's why some people give up their US citizenship. In order to not have to pay US taxes when they live or work abroad. Or move their money and business outside of US to avoid.
If the company is depositing your paycheck in a US bank acct. also points to this.
Title: Re: Paying taxes
Post by: Ted on 11:23 02-Feb-2019
FRAUCHE.

I dont know if your answer is that is again stupid ukrain laws :)


But this is the same laws that are applied in most of the world.

Its UkrainE with an E on the end. 

Your translator apparently, needs an update.

Thank you Tim!!!   I should have just said it.... Fracking learn to spell UKRAINE ..... Jesus H Christ.
Title: Re: Paying taxes
Post by: Pantherdk on 16:25 02-Feb-2019
Yes i see its a very big problem that i spelled ukraine wrong :)

Much bigger then trying to help with an correct answer on a possible complicated problem ;)
Title: Re: Paying taxes
Post by: Tnic on 18:31 02-Feb-2019
Yes i see its a very big problem that i spelled ukraine wrong :)

Much bigger then trying to help with an correct answer on a possible complicated problem ;)

Slow week here.  We'll pounce on anything.  Taxes are boring.
Title: Re: Paying taxes
Post by: Ted on 18:40 02-Feb-2019
Yes i see its a very big problem that i spelled ukraine wrong :)

Much bigger then trying to help with an correct answer on a possible complicated problem ;)

Slow week here.  We'll pounce on anything.  Taxes are boring.

taxes suck talking and thinking about them is worse than drinking wood alcohol.
Title: Re: Paying taxes
Post by: Tnic on 21:14 02-Feb-2019
Yes i see its a very big problem that i spelled ukraine wrong :)

Much bigger then trying to help with an correct answer on a possible complicated problem ;)

Slow week here.  We'll pounce on anything.  Taxes are boring.

taxes suck talking and thinking about them is worse than drinking wood alcohol.

salo makes it all betterer.  and several shots of frosty wodka  :D
Title: Re: Paying taxes
Post by: Danno99 on 02:27 03-Feb-2019
Pretty sure if you are US citizen and have not revoked your citizenship you should pay US taxes (personal).
That's why some people give up their US citizenship. In order to not have to pay US taxes when they live or work abroad. Or move their money and business outside of US to avoid.
If the company is depositing your paycheck in a US bank acct. also points to this.

Wonder how hard it would be to regain citizenship?

Title: Re: Paying taxes
Post by: Pantherdk on 11:34 03-Feb-2019
I not think you need rewoke your citizenship, just leave the us and tell the governement it.

In europe its nearly the same way if you leave for a minimum period thw income you make other places are nontaxed in the home country.

With pensions its depends on the original country and what double taxation rules have been decided.

I btw. Found the document on double taxation usa vs ukraine.

https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.irs.gov/pub/irs-trty/ukrain.pdf&ved=2ahUKEwjP_rq_u5_gAhUGlosKHUOHCaoQFjAAegQIBhAB&usg=AOvVaw3sUmTWGuhHC-HIg-2iqgOs

Someone maybe should call the IRS and ask them to rename the documwnt name from ukran.pdf to ukraine.pdf ;)
Title: Re: Paying taxes
Post by: Tnic on 13:21 03-Feb-2019
Quote
Someone maybe should call the IRS and ask them to rename the documwnt name from ukran.pdf to ukraine.pdf ;)

But first we have to convince most of the USA that we do not live in THE Ukraine.  :D

As far as foreign wages and US taxes is concerned, I'll go with Slick Willy's rule.  Don't ask, don't tell.