INIS Letter received regarding treaty Rights, CONFUSED!!!

[FP007]

Hi Gurus,

we received letter from inis today stating "Please note that in order for the EU citizen to exercise their EU Treaty Rights in the State, the EU citizen must be employed in the state and pay taxes in the State."

Now the situation is EU citizen works for UK employer and has a contract which shows that EU citizen is permanently based in ROI, the pay is originated from UK, this contract will be sent to inis. However with regarding to tax issues, The EU citizen is registered with Irish Tax authorities and is in possession of Tax credit certificate. The UK Tax authorities are also highlighted with the permanent move hence the Tax code changed. All documentary evidence available.

According to our understanding both countries are covered with double Tax treaties, and Tax shouldn't be an issues. Moreover the EC regulation 2015 do not mention the requirement of Tax payment in state of working.

Do we need to pay Tax in order to justify that we are exercising treaty rights, we are confused!

How shall we respond to INIS?

[noajthan]

It's not about the tax! Double tax treaties are nothing to do with relevant treaty rights.

INIS expects

the EU citizen must be employed in the state

Where do you physically work?
Are you a cross-border worker?

If you are not exercising treaty rights you won't have a basis to reside in the State as a Union citizen.

[FP007]

Physically working in Republic of Ireland and based here permanently,

Does treaty regulation required to pay tax in Ireland ?

[FP007]

Registered with tax authorities in Ireland, does it not fulfils tax requirements ?

[noajthan]

Registered with tax authorities in Ireland, does it not fulfils tax requirements ?

Its not about tax!

INIS wants to see you living and working in Eire in order to be considered as exercising treaty rights in Eire.

If you live in one memberstate and work in another you may qualify as a frontier worker.
If that is your status you will have to explain that to the authorities.

[FP007]

Thanks noajthan,

So in my case I work and live in Republic of Ireland, my employer is UK based and I receive pay in sterling I physically work in My employers Irish register office my contract details that, my pay slips are in sterling addrsssed to Irish address,

Which category do I fall? Thanks

[Obie]

Thanks noajthan,

So in my case I work and live in Republic of Ireland, my employer is UK based and I receive pay in sterling I physically work in My employers Irish register office my contract details that, my pay slips are in sterling addrsssed to Irish address,

Which category do I fall? Thanks

What they wrote to you has no meaning in law.

Ireland cannot demand you be paid in Euro and receive you pay in Ireland.

EU law of who is a worker is very well defined.

[FP007]

Thanks Obie,

How should I respond inis what are the clauses I should refer please, thanks

[FP007]

I am aiming to include contract proof of permanent work place in Ireland however I want to refer to clause regarding their reference to tax,

Your help is highly appreciated

[FP007]

Obie / Noajthan,


I have skimmed through document "European Communities (Free Movement of Persons) Regulations 2015" and "Free movement EU regulation 2006" specifically article 39 but i have not come across the requirement of paying TAX in order to exercise treaty rights. I know i am bringing the word Tax agin but its the INIS letter which wrongly states that in order to exercise treat rights EU national has to be employed in state (which is understandable and justifiable and requirement of law) and should be be paying taxes which is not required.

I am aiming to disagree with INIS clearly on this an am going to refer the above clauses. Please add any additional information. Thanks

[noajthan]

Dig out and quote Directive 2004/38/EC.

[FP007]

Thanks Noajthan,

Just to share a very helpful information regarding this from "Regulation (EEC) No 1612/68 of the Council of 15 October 1968 on freedom of movement for workers within the Community"
TITLE II Employment and equality of treatment

Article 7

1. A worker who is a national of a Member State may not, in the territory of another Member State, be treated differently from national workers by reason of his nationality in respect of any conditions of employment and work, in particular as regards remuneration, dismissal, and should he become unemployed, reinstatement or re-employment;

2. He shall enjoy the same social and tax advantages as national workers.

3. He shall also, by virtue of the same right and under the same conditions as national workers, have access to training in vocational schools and retraining centres.

Point No 1 and 2 clarifies the situation,

i will refer the directive in my response, your help is highly appreciated,