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Taxation

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Taxation


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Message posted by Millie on 06 August 2005 at 11:27pm - IP Logged Legal Disclaimer
Millie
Corfu

Can anyone tell me if it is cheaper to be paying tax through the Greek Govt or the British Govt. My husband and I retire next year and we want to know which way his pension should be taxed. We shall be living in Corfu permanently then.  


Message posted by Graham T-A on 07 August 2005 at 12:24am - IP Logged Legal Disclaimer Corfu Photos
Graham T-A
Corfu

Is this a state pension? (My goodness, I nearly went un Politically correct and called it an 'old age pension') or is it a private pension. It does make a differance. If it's a state pension it is unlikely to attract tax anyway but if it is a private pension it will be taxed at source in the uk. If you declare this as your first income then you will get the usual allowances but if you have other income (state pension) it will all be taxed at emergency and then you have to claim back what is owed.

Money paid in the UK will be taxed in the UK.


Message posted by John and Hilary on 07 August 2005 at 12:37am - IP Logged Legal Disclaimer Corfu Photos
John and Hilary
Corfu

Hi Graham ,

Can you elaborate on that . I thought that Corfu has an agreement with the  UK that enables people to decide which country they pay their taxes to.

Is it called a dual tax agreement ? You are the man  to give the info .

More info would be usefull .

Kind Regards.................John and Hilary

PS....See you in October [ 4th for 10 days ]


Message posted by Graham T-A on 07 August 2005 at 12:59am - IP Logged Legal Disclaimer Corfu Photos
Graham T-A
Corfu

Yes john, they have what is called a dual tax agreement. This prevents you from paying tax twice, once when you receive in in the UK and again when you transfer it to Greece. This is what the 'pink forms' are for, To certify you have already paid tax in the UK and therefore no tax is due in Greece. and fortunately this bit works.  In theory , you should be able to select your tax base and pay tax where you chose but just ask the tax man in Britain if it's OK to not pay the tax on money paid in the UK and just send the money abroad and just watch that smile turn to laughter.

In theory you should be able to just buy a car in Corfu without  residence permit and buy as many ciggies and as much alcohol as you like in any EEC country and drive across any border but as we know, these are at present only a theory.


Message posted by John and Hilary on 07 August 2005 at 12:21pm - IP Logged Legal Disclaimer Corfu Photos
John and Hilary
Corfu

Hi Graham ,

Thanks for clearing that up , and putting it so clearly . That was one of the things on the agenda to understand after we get going and focussed on our build etc . I know we should have done all this before now , but have had so much other info to take in .....................head will only take so much before the overload situation

Regards...J&H 


Message posted by Millie on 07 August 2005 at 1:00pm - IP Logged Legal Disclaimer
Millie
Corfu

Thank you John, you have solved a very important point for us. We start building this year and retire next year. It is a private pension .We are not yet old enough for state pension so was glad you were not unpolitically correct lol. We had the info about the dual tax agreement but were not sure how to go about it. Also thought that the tax in Greece just might have been a little cheaper but alas not to be. I appreciate your help.

Millie

 


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