GTN Mobility Tax Blog

In our globalized business landscape, international assignments remain a cornerstone of talent management strategies. And the responsibility for HR and mobility program professionals to orchestrate seamless transitions for employees stepping into roles on foreign soil is pivotal. The success of these endeavors hinges on a multitude of factors, including strategic planning, resource allocation, and policy implementation.

In today’s technological world, it is easier than ever for businesses to participate in the global economy through the use of business travelers, international assignments, remote workers, or permanent transfers. However, international tax compliance for cross-border employees can present unexpected challenges for both the employee and the company. Even a single day of work in a foreign location can trigger complex tax filings for the individual, as well as tax reporting and withholding obligations for the company in both the Home and Host countries. Failing to comply with these obligations can have serious consequences, such as unexpected tax bills, increased audit costs, financial penalties, and legal and reputational risks for the company and the employee.