Employees Working Abroad

July 8, 2026 · WOWERI

If your employees work abroad, you need to know about taxes and social security. We can help you understand this issue. If your employees work in another country, you may need to pay taxes and social security in that country.

Taxation of Employees Working Abroad

If your employees work abroad, you need to know about taxes and social security. You may need to pay taxes and social security in the country where your employee works.

PAYE Income Tax and National Insurance contributions

In the UK, there is a PAYE (Pay As You Earn) system that allows employers to deduct taxes and social security from employees' salaries. If your employees work abroad, you may need to apply this system in the country where they work.

How to Apply PAYE Income Tax and National Insurance contributions Abroad

To do this, you need to register with the tax authority in the country where your employee works and obtain permission to apply PAYE. Then you will need to deduct taxes and social security from your employees' salaries and pay them to the tax authority.

Exemptions from PAYE Income Tax and National Insurance contributions

In some cases, your employees may be exempt from paying taxes and social security in the country where they work. To do this, you need to apply for an exemption with the tax authority in the country where your employee works.

Source: gov.uk