TaxPersonal TaxUK and Japan sign new double tax agreement

UK and Japan sign new double tax agreement

People who go to work in Japan from the UK or come to the UK from Japan will only be liable to social security contributions in their `home' country, the Inland Revenue has announced.

The change will take place after a new Double Contributions Convention between the United Kingdom and Japan, signed in Tokyo yesterday, comes into force.

Welcoming the signature of the Convention, the paymaster general, Dawn Primarolo, said: ‘This agreement is a welcome further step in building trading relationships between our two countries. It will help promote the free flow of labour and so stimulate trade and investment between the UK and Japan.’

A Double Contributions Convention aims to eliminate a double charge to social security contributions arising when workers move temporarily from one country to another.

http://www.inlandrevenue.gov.uk

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