Assignment letters & secondments — can I handle this myself?
Some of it, yes — and we will say so on the call if that is the honest answer. The parts that are worth paying for are the ones where a missed election, a missed deadline or an unverified threshold costs more than the fee: where the host entity directs and bears the cost, the arrangement looks like host employment for treaty purposes.
What if I have already filed and got it wrong?
That is a common starting point. We re-derive the position, identify whether an amendment or a disclosure route is the right vehicle, and tell you which one preserves the relief that is still available. The order matters more than the speed.
How long will it take?
It depends on the documents rather than on us. Once the pack is complete most filings turn around inside a fortnight; anything that needs a certificate from a tax authority runs on that authority's timetable, which we tell you at the start rather than at the end.
What should an assignment letter cover for a cross-border secondment?
An assignment letter should set out who employs the individual during the secondment, which entity bears the cost of their compensation, how long the arrangement is expected to run, and what happens to benefits and any home-country obligations during that period. Vague or incomplete letters are a common source of disputes later over which entity owes payroll tax where. We review the letter against both countries' rules before it is signed, not after the assignment begins.
Who is treated as the legal employer during an international secondment?
Depending on how the arrangement is structured, either the home entity, the host entity, or both can be treated as an employer for different purposes, such as payroll withholding in one country and social security contributions in another. Tax authorities do not always accept the label the parties chose in the paperwork if the actual working relationship points the other way. We test the practical reporting lines against the written arrangement before relying on either.
Why does the assignment letter matter for payroll tax purposes?
The terms of the assignment letter, particularly who pays the employee, who directs their work, and how costs are recharged between entities, feed directly into which country's payroll withholding and social security rules apply and to which entity. A letter that does not match the actual working arrangement can leave both entities exposed if either country's authority reviews the arrangement. We align the letter's terms with the operational reality before the secondment starts.
What is a totalization agreement and how do I use one?
A social security agreement that stops you contributing to two systems for the same work, and lets periods in both count towards benefit eligibility in either. Which system you stay in depends on the agreement's rules for your situation — a seconded employee usually remains in the home system for a set period, a locally hired one usually joins the host system. You evidence it with a certificate of coverage obtained before or shortly after the assignment starts. See certificates of coverage.
Does hiring one remote employee in another country create a tax presence?
It can, on two separate fronts, and the second applies even when the first does not. A permanent establishment may arise if the employee has a fixed place of business there or concludes contracts for you. Independently of that, employing someone locally generally brings payroll registration, wage withholding and social security contributions in their country from the first payroll — obligations that do not wait for a permanent establishment finding. Contractor paperwork does not by itself avoid either. See remote work and tax exposure.
