UK tax return policy
Hi there,
I am writing to ask if some of you could help about how the tax return works in the UK. I have been a postdoc in the US and Canada, and in both places I had my taxes back, what was a considerable amount of money out of my grant. Here, with a MC, the taxes raised to around 40%... Will we have this amount back? how and when should be presented the tax return forms?
Thank you.
A.
4 Comments
Dear Filip,
Thank you for your email. I know I need to pay taxes, my question was about the reimbursement of these taxes when you are not a permanent resident of the country where you are placed for your grant. I already pay taxes in my home country. Since I had my US and Canadian taxes reimbursed in my previous fellowships, I was asking how to get them reimbursed here in the UK. Do you know how it works?
Best,
Ainoa
Hi,
you pay taxes out of your MC, as been on a normal University contract. So there is no option to get them back.
You will be paying also the emplyer pension contribution out of the MC. In thi scase maybe (depending on the agreement between UK and your contry on pension funds...) you might be able to get something back or to transfer them (not for EU citizen though).
Luca
Dear Ainoa,
The procedure may vary depending on where do you come from and where are you going to be placed for the duration of the grant. My advice to you is first to check whether your home and host countries signed the double taxation agreement as this will significantly ease the procedure. Then, if you are placed in the UK, I suppose that you have to pay income taxes during your grant and then apply to HM Revenue & Customs for reimbursement. However, the best is to seek for an advice on this matter from the financial office of your host university.
Best wishes,
Filip
Fan Mo
Fernanda Bajanca
Quentin Loisel
Dear A.
Normally you have to pay taxes for you grant either in your home country or in the country where you are hosted. I think that you can pay taxes back home only if there is a double taxation agreement signed between the two countries. The only part of the grant that some say should not be taxed is mobility, but you have to figure that out with your financial services at the host university.
I hope this helps!