ICT Tier 2

I spoke to a wonderful person yesterday from my friends group. He shared some concerns on the Tax Refunds for those on a Intra-Company Transfer(ICT Tier 2). I promised to address them and post the answers.
Q. Is it legal to claim tax? If yes why many people not aware of it. It will be huge amount.
Yes on a ICT Tier 2 there are often huge tax benefits. In order to claim a tax refund you must meet 2 sets of legal criteria:
1. Temporary workplace
If an employee has been sent from their overseas employer to work on a project in the United Kingdom where there is no clear visibility on the project (i.e. project duration is not expected to last beyond 24 months). See https://www.gov.uk/hmrc…/employment-income-manual/eim32075
AND
2. Time spent at the workplace
The employee spends more than 40% of his or her working time at that place.
Then you are likely to be able to take advantage of the Temporary Workplace Relief (TWR). For more information see: https://www.gov.uk/hmrc…/employment-income-manual/eim32080
If in the course of employment the visibility on the project changes and you are required to stay beyond the 24 months then may still be eligible to claim for the period where the project duration was uncertain. See https://www.gov.uk/hmrc…/employment-income-manual/eim32084
Q. I moved to skilled worker visa now. Does it will affect in future visa extension or ILR process?
Tax Benefits normally apply to assignments on an Intra-Company Transfer. (ICT Tier 2) and not skilled worker. You may still be eligible to claim tax benefits whilst you were on the ICT assignment. HMRC criteria for tax relief are set by the government.
Q. I guess solicitors will process on our behalf. They may not be transparent to us what they presenting to HMRC. Is it ok?
We are regulated by HMRC where the assessment is required to have your authorization and sign off before filing with HMRC.

Posted in Uncategorized.

Leave a Reply

Your email address will not be published.