Working remotely from Germany for UK company

Question

I am from Brazil and I am currently studying in Germany. I would like to know how would the situation be, if I would work for a UK based company as a contractor. My current german visa is a study visa, but I know it allows you to work 120 days (full work day), or 240 "half" days.

1. What should I do about the visa? Do I need to request a visa change? I'm not going to work more days than that, because I won't be staying here for too long.

2. How should I declare taxes?

... and, does the Brexit change anything?

Answer 1

Germany's student visa only allows you to work in an employed capacity, and does not allow self-employed or freelance work. However a UK based company (especially after Brexit) will likely only hire you as a contractor (where you are working as a self-employed capacity, invoice the UK based company for your work and then handle all tax concerns in Germany yourself), unless they have a subsidiary in Germany who can employ you instead. This would mean that this proposition will likely not work.

Brexit will likely also complicate the taxation part, dependent on the trade and tax arrangements the two countries will have with one another.

If the company has a German subsidiary then it becomes possible, but that would effectively be the same as working for a German company, with the 120 day limit

Answer 2

Good question. I always wondered, how working self-employed for another country can be prohibited by German laws, if you are allowed to be self-employed in Brasil. Maybe somebody can bring more light on this, but let's assume that one needs a permission for self-employment from the country where he physically resides while being a contractor. Then:

1. It is possible to apply for a permission for being self-employed in Germany, see my other answer.

2. You should declare taxes as usual:) Taxes are (1) complicated, (2) not specific to your immigration/expatriate status and are kind of off-topic here. If you know how to declare it - do it yourself. If not - go to a tax consultant.

Please also check the same question on Law: https://law.stackexchange.com/q/27038/20294

Answer 3

In the situation you describe, IMHO, it would be overly complex to setup business in Germany and apply for any visa / permits for that if you will be working for a UK company. Did you consider setting up business in the UK for that? Creating a UK limited company can be done online, is easy and also legal as long as you handle taxation properly. Please note that work permit and residency on one hand and taxation on the other are entirely unrelated subjects.