I don't necessarily "live" in other countries, but I and a decent chunk of my friends go on extended stays (45-60 days is usually how long my stays end up being before returning to the US) in other countries and I have wondered if this would incur the same tax implications. Technically I'm really just on an extended vacation in my mind but work during normal working hours. So far I also have just worked off of the "don't as don't tell" policy and haven't run into any snags.
My employers security team has even caught on once or twice but I just say yeah I'm vacationing since my stays have usually been along the lines of 45-60 days or so at a time in a given country.
I still have and maintain my home address in the US, pay the rent and everything there, and I do return usually for a month or two at a time. Most of my friends do this as well or have a situation setup where they use their parents address and stay with their parents when back in the US for chunks of time.
This could definitely blow up in your face, as "don't ask don't tell" isn't really a thing. I don't know what the probability is, but I know people who explicitly maintain the 183 day records to avoid it.
On your companies side, it could also create all sorts of problems that nobody is really clear how to handle. I suspect this will get a lot more regulated if it becomes more common.
Generally, getting caught WFH in another country results in immediate termination. For cause, because working in another country creates an entire set of legal, financial, and tax consequences that the employer may not be aware of or prepared for.
If you do everything by the book, it's really hard - practically impossible to do fully legally.
Most countries won't issue you a work permit without a lot of paperwork, cost, and time. Think 'send your passport off to the embassy for 3 months' type hassle...
And most employers don't want to employ someone abroad. Employment law varies widely by country, and unless they already have an office in that country they don't want to do all the tax and reporting stuff for only you.
Long term abroad in one country might be doable, but 30 days in each country is pretty much impossible.
But for example in my case, I do still come back to my home country for decent chunks of time that still adds up to around half the year. I'm working for a US company and every country I have visited thus far mention it's perfectly fine to stay and work for some amount of time (usually 90 days) as long as it's not displacing a local job. I'm not a tax expert or anything but I don't see what the issue is here or why I'd need a work permit in the first place?
Because you're usually on a tourist visa and those will say something about "not working" with varying language. Since your "working" looks identical to "dicking around on a laptop" it's unlikely to draw attention, but if you were to piss off the right person at the wrong time, they might be able to drop a train on you (but even then the most likely thing is being kicked out of the country, but some countries could get very "spicy").
Of course, if you were a rock star coming in to perform, they'd definitely want their cut even if you were only performing for a day. The laws haven't advanced to cover this situation entirely well, so there's a lot of leeway on what you can get away with.
You don't generally need a work permit though, unless you are taking a job with a local employer. Generally they will have rules for how long you can stay in the country while working for a foreign employer. As long as you maintain tax residency wherever you are "from" nobody bats an eye.
If what you really want to do is live and work in one country while pretending that you live and work in another one, I don't see why either country should facilitate that.
It's easy enough to do that "properly" too, form a company or self-employed tax status in the country you are living in, and invoice the company in the country you work for. Then they aren't in a compliance issue and you are paying taxes where you work and live.
Generally they will have rules for how long you can stay in the country while working for a foreign employer.
only if they offer something like a digital nomad visa. otherwise, usually you are not allowed to do any work at all on a tourist visa, even if it's remote work to your home country. nobody cares if you check your work email or do some small stuff, but technically no work is allowed.
form a company or self-employed tax status in the country you are living in
in most countries you can't do that as a foreign citizen unless you have a proper visa for that. you can probably open a company in a foreign country, but you likely still need a work visa to actually work for your own company. otherwise anyone would just go to open a company just so they can live and work in that country.
You are (generally, it's a complex subject) not liable for taxes in a country unless you're resident.
The country where you are resident (or resident last if you don't qualify for residence anywhere in the current year) will want taxes on your worldwide income.
We've been looking at this. We're both in the EU, my partner is from a LCOL country, I'm from a HCOL country, we're both living in the latter.
We've been looking at getting property in her homeland, with the goal to enjoy the better summers there. But for, say 4 months a year. Hopefully enough time that I can start to learn the language and such, and she can enjoy better ties to her family - while remaining tax-resident here as to not rock the boat.
I'm curious what concerns your security team would have? Is it just that you'd rather the situation go under the radar and they're the most likely to spot the changes - or do they have concerns of their own?
Security team was just checking that it was actually me in terms of the location I was in being off. But they didn't make much of an issue after I simply confirmed that yes this is actually me.
But outside of that one time, I basically don't disclose where I am.
My GF isn't tied to a location since she does mostly freelancing/contracting and makes it known she will not/should not be expected to be in a single location and gets away with that just fine. So I basically just started joining her in her travels the past few years.
I'm pretty set in that I would simply quit if my company ever demanded I go back home and stay there.
Well that sounds like a personally sensible concern on their part.
I'm not sure going back to the office would be the end of the world for me, but I can see which way the wind's blowing - we're already in the process of downscaling the site because the demand just isn't there. I believe the most we've had onsite since this all began was approx 15%.
The position I'm in - my GF wants to eventually move back home, neither of us have family here, the wage is our only tie. So it's seeming completely logical to me, to use our new-found flexibility to ease that transition for both of us. We've always figured on retiring there, but a head-start on the language and the property ladder make sense to me, and being closer to her family for a third of the year instead of just christmas, is a huge win for her.
All the news seems to focus on people wanting to use this to live the high life. Just wanted to share my position to show there's some huge non-monetary value in this too.
How about insurance. On work I guess you are insured. But if you have an accident somewhere else, what then.
In Switzerland there had been cases with, where the insurance wouldn't pay (broken leg after falling on stairs), because some parts of the house do not count as WFH.
My employers security team has even caught on once or twice but I just say yeah I'm vacationing since my stays have usually been along the lines of 45-60 days or so at a time in a given country.
I still have and maintain my home address in the US, pay the rent and everything there, and I do return usually for a month or two at a time. Most of my friends do this as well or have a situation setup where they use their parents address and stay with their parents when back in the US for chunks of time.