Non Resident to set up Irish Ltd Company

Hello all,

I would like to sound out an idea before approaching an accountant.

I am Irish resident in the EU. I am a sole trader on the mainland invoicing an Irish company for services. The country that I am resident in, has a very high tax rate and social security rate. I am looking to reduce this burden!

Anyway, I was wondering if it is possible to set up a Ltd company in Ireland and invoice my services to it. The company would then pay a directors pension to me and the rest in a salary to meet my living expenses.

In setting up a company, I could have a family member as an non-exec director and use their address as the operation center.

Is this viable or am I being unrealistic?

It's possible to form a company and serve clients in other countries. Just mind one thing: if an Ltd company has permanent establishment in a country it carries services then it's liable to pay taxes there. It really depend whether a company would qualify for PE or not.

As company's employee you pay taxes where your tax residence is and your tax residence is where you spent most of the year (over 183 days).