If you work for an employer based in Ukraine that has an office in the UK, your Income Tax and National Insurance (social security) contributions will be deducted automatically by your employer.
You will need to work out which country you’re resident in for tax purposes, and if you need to pay any National Insurance contributions, if all the following apply:
- you have recently arrived in the UK under either the Ukraine Family or Homes for Ukraine scheme
- you are currently living in the UK
- you continue to work for, and are paid by, your employer based in Ukraine when living in the UK
Find out what tax residence is
It is possible for you to be resident for tax purposes in both the UK and Ukraine.
You should find out if you are classed as a UK resident for tax purposes, and if you need to pay tax on foreign income.
Which country you will pay taxes in
Under Ukrainian law, your employer may also be required to keep taxes on wages when they pay you.
The double taxation treaty will tell you about the rules for how you are taxed on your employed income, or any other income received in Ukraine.
If you are a UK resident for tax purposes under the treaty
You should only pay tax on your wages in the UK and your employer based in Ukraine should pay your wages without deducting tax.
If your employer in Ukraine does keep any tax, you can claim it back.
You will need to email HMRC to get a Certificate of Residence to support your claim.
When you get your Certificate of Residence you can make a claim directly to the State Tax Service of Ukraine.
If you are a Ukrainian resident for tax purposes under the treaty
If you are in the UK for more than 183 days and you are carrying on your duties in the UK, you should pay tax on your wages in the UK. Your employer in Ukraine may also deduct tax.
You will receive a credit for UK tax paid against your Ukrainian tax liability from the Ukrainian tax authorities.
If your Ukrainian employer has an office in the UK
Your employer must deduct from your wages and report your Income Tax and any National Insurance contributions to HMRC if:
- your tax residence status is in the UK
- you work for and are being paid by an employer based in Ukraine
If you are working in the UK but are not resident for tax purposes your employer may still need to deduct National Insurance contributions. Deductions usually start immediately, but in some cases you will start paying after 52 weeks.
This will happen if all of the following apply:
- you are not ordinarily resident in the UK
- you normally work outside the UK for an employer based in Ukraine
- you are sent to work in the UK for a time by your employer based in Ukraine
- when in the UK, you continue to work for your employer based in Ukraine
If your Ukrainian employer does not have an office in the UK
You may need to pay your own Income Tax and National Insurance contributions to HMRC. This is known as the Direct Payment scheme. To find out if you need to use the Direct Payment scheme, telephone the employers helpline on 0300 200 3200 and ask for the Direct Payment scheme questionnaire.
You may still need to use a Direct Payment scheme to pay National Insurance contributions, even if you pay tax in Ukraine.
When you have registered for a Direct Payment scheme, you will be sent a letter that gives you:
- your reference numbers
- links to guidance telling you how to report your information
You may also have to fill in a Self-Assessment tax return if you:
- have employment income from Ukraine
- have self-employment income from Ukraine
- need to tell us information about your residence status
If you work for an employer based in Ukraine that has an office in the UK, your Income Tax and National Insurance (social security) contributions will be deducted automatically by your employer.
You will need to work out which country you’re resident in for tax purposes, and if you need to pay any National Insurance contributions, if all the following apply:
- you have recently arrived in the UK under either the Ukraine Family or Homes for Ukraine scheme
- you are currently living in the UK
- you continue to work for, and are paid by, your employer based in Ukraine when living in the UK
Find out what tax residence is
It is possible for you to be resident for tax purposes in both the UK and Ukraine.
You should find out if you are classed as a UK resident for tax purposes, and if you need to pay tax on foreign income.
Which country you will pay taxes in
Under Ukrainian law, your employer may also be required to keep taxes on wages when they pay you.
The double taxation treaty will tell you about the rules for how you are taxed on your employed income, or any other income received in Ukraine.
If you are a UK resident for tax purposes under the treaty
You should only pay tax on your wages in the UK and your employer based in Ukraine should pay your wages without deducting tax.
If your employer in Ukraine does keep any tax, you can claim it back.
You will need to email HMRC to get a Certificate of Residence to support your claim.
When you get your Certificate of Residence you can make a claim directly to the State Tax Service of Ukraine.
If you are a Ukrainian resident for tax purposes under the treaty
If you are in the UK for more than 183 days and you are carrying on your duties in the UK, you should pay tax on your wages in the UK. Your employer in Ukraine may also deduct tax.
You will receive a credit for UK tax paid against your Ukrainian tax liability from the Ukrainian tax authorities.
If your Ukrainian employer has an office in the UK
Your employer must deduct from your wages and report your Income Tax and any National Insurance contributions to HMRC if:
- your tax residence status is in the UK
- you work for and are being paid by an employer based in Ukraine
If you are working in the UK but are not resident for tax purposes your employer may still need to deduct National Insurance contributions. Deductions usually start immediately, but in some cases you will start paying after 52 weeks.
This will happen if all of the following apply:
- you are not ordinarily resident in the UK
- you normally work outside the UK for an employer based in Ukraine
- you are sent to work in the UK for a time by your employer based in Ukraine
- when in the UK, you continue to work for your employer based in Ukraine
If your Ukrainian employer does not have an office in the UK
You may need to pay your own Income Tax and National Insurance contributions to HMRC. This is known as the Direct Payment scheme. To find out if you need to use the Direct Payment scheme, telephone the employers helpline on 0300 200 3200 and ask for the Direct Payment scheme questionnaire.
You may still need to use a Direct Payment scheme to pay National Insurance contributions, even if you pay tax in Ukraine.
When you have registered for a Direct Payment scheme, you will be sent a letter that gives you:
- your reference numbers
- links to guidance telling you how to report your information
You may also have to fill in a Self-Assessment tax return if you:
- have employment income from Ukraine
- have self-employment income from Ukraine
- need to tell us information about your residence status
