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Global Mobility Policy (GMP)
Updated March 2014
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Table of contents
Objectives of policy ...................................................................................................................................................................... 2 Introduction .................................................................................................................................................................................. 2 Exceptions to this policy .............................................................................................................................................................. 2 1 Assignment letter ................................................................................................................................................................ 3 2 Immigration ........................................................................................................................................................................ 3 3 Pre assignment medical examination ................................................................................................................................ 4 4 Pre assignment consultation .............................................................................................................................................. 4 5 Transfer and relocation costs ............................................................................................................................................. 4
5.1 Flights ......................................................................................................................................................................... 4 5.2 Removal of personal effects....................................................................................................................................... 5 5.3 Removal of personal effects - exceptional circumstances ........................................................................................ 6 5.4 Excess baggage ............................................................................................................................................................ 6
6. Disturbance allowance ........................................................................................................................................................ 6 6.1 Consecutive assignments ........................................................................................................................................... 7
7 Temporary accommodation .............................................................................................................................................. 7 7.1 Arrival in host location .............................................................................................................................................. 7 7.2 At the end of the assignment ...................................................................................................................................... 7
8 Accommodation Contribution ........................................................................................................................................... 8 8.1 Furnished accommodation ........................................................................................................................................ 8 8.2 Legal relationship and insurance ............................................................................................................................. 8 8.3 Inventory and deposit ................................................................................................................................................ 8 8.4 Property maintenance ............................................................................................................................................... 8 8.5 Utilities ........................................................................................................................................................................ 9
9 Education ............................................................................................................................................................................ 9 10 Pre-school contribution ..................................................................................................................................................... 9 11 Healthcare ........................................................................................................................................................................... 9 12 Annual leave and public holidays ...................................................................................................................................... 9 13 Home leave .......................................................................................................................................................................... 9 14 Rest and Recuperation ..................................................................................................................................................... 10 15 Car ..................................................................................................................................................................................... 10 16 Language tuition ............................................................................................................................................................... 10 17 Remuneration ................................................................................................................................................................... 11
17.1 Assignment salary ..................................................................................................................................................... 11 17.2 Payment of salary – host country currency ........................................................................................................... 11 17.4 Child allowance ......................................................................................................................................................... 13 17.5 Tax policy on Assignment ........................................................................................................................................ 13 17.6 Tax position adopted ................................................................................................................................................ 14 17.8 Tax audits .................................................................................................................................................................. 14 17.9 Tax services provided ............................................................................................................................................... 14 17.10 Tax services not provided ........................................................................................................................................ 14 17.11 Work duties outside of host country, including work in the home country during assignment ........................ 15
18 Costs not covered by the BBC International Assignment Policy .................................................................................. 15 19 Maternity and paternity during international assignment ........................................................................................... 15 20 Compassionate leave ......................................................................................................................................................... 15 21 Termination of an international assignment ................................................................................................................. 15 22 Repatriation Planning ...................................................................................................................................................... 16 23 Questions ........................................................................................................................................................................... 16 Frequently asked questions ....................................................................................................................................................... 16
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Objectives of policy
The Global Mobility Policy is designed to support the BBC’s continuing goals of increasing its global
presence, with the ability to operate successfully in new and existing markets around the world. This
policy is generally designed for either development roles or for roles in locations where the BBC does not
have a large presence.
As with the other assignment policies, the objectives of this policy are to:
Enable the international movement of BBC employees;
Provide cost effective and consistent management of international assignments; and
Ensure the BBC adheres to market-competitive best practice, through the assignment policy.
Introduction
Global Mobility assignments are defined as those where the individual will spend between twelve
months and four years in the host location (for assignments of less than twelve months, please refer to
the Short Term International Assignment Policy), usually in locations where the BBC does not have a
large existing presence or where the role is considered to be a developmental role for the successful
individual.
If there is an extension of duration past the four year period, approval is needed from the divisional head
of HR as localisation of the assignee may be appropriate at that time.
The assignee will receive an assignment letter summarising the terms and conditions of the assignment.
The assignee is expected to abide by the terms and conditions of employment prevailing in the home
country of employment. In the event of a dispute, the home country Human Resources policy for
handling grievance or disciplinary issues will be invoked.
Although assignments may be offered, whether or not the assignment can (and when it can) proceed, will
be dependant on receipt of the appropriate host country visa/work permit documentation.
The period of notice for the end of assignment will be three months either side. The BBC will notify the
assignee of the pending end of assignment at the three month point and will seek to clarify precise details
of the return to the home country or subsequent extension/new assignment.
Exceptions to this policy
It is the BBC’s intention to minimise exceptions to policy wherever possible. Flexibility has been built
into the benefit provision wherever practical and possible to assist in meeting the assignees individual
circumstances. Any exceptions must be reflected against what is reasonable, consistent, transparent and
cost effective for the BBC.
Exceptions to this policy will need prior approval from the Divisional Head of HR (or the appropriate
delegate within the BBC division).
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1 Assignment letter
The terms and conditions of the assignment will be clearly set out in the assignment letter which is
issued centrally by the BBC’s International Assignments team. The letter and the terms of the
relevant policy should be used to provide the understanding of the policy applicable. Before any of
the assignment terms and conditions become effective, the assignment letter must be signed and dated
by the BBC and the assignee to confirm agreement to the terms. A copy of the assignment letter will
be provided to the BBC’s nominated tax return provider, who the assignee must use throughout the
assignment for the authorised tax returns.
The assignment letter will state as a minimum the details of the terms and conditions of the
assignment. This will include but will not be limited to:
Home country;
Host country;
The assignee’s role and reporting lines during the assignment;
Confirmation of the assignee’s remuneration and benefits at the start of the assignment;
The anticipated length of the assignment and the expected start date;
The notice period (from both sides);
The relevant contacts at the start of the assignment.
All of the assignment paperwork must be signed and completed prior to the assignment
commencing. Payment of any applicable overseas allowances will not be implemented until this
is received.
2 Immigration
It is imperative that all required visas and work permits are obtained for both the assignee and all
accompanying family members before they take up their assignment. The transfer date will be subject
to the issuance of these documents.
The assignee should also ensure that each accompanying family member has a passport (including
children) and that each passport has at least six months before expiry at the time of planned entry to
the host country. The assignee will be responsible for the administration and cost of passport
renewals during the assignment.
Immigration compliance must not be abused as host country authorities can remove broadcasting
licences and fine or imprison employees who do not comply with all immigration/work permit
requirements. Additionally, some countries may deport the assignee and forbid any subsequent
return, thus prematurely ending the assignment. The assignee and the Line Manager therefore have
a collective responsibility to ensure that they do not commence the assignment and/or work until all
required permissions have been obtained.
It is important to remember that immigration decisions are not within the control of the BBC and
there may be times when immigration rules prevent an assignment or cause early termination of an
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assignment. The BBC will support all immigration applications to try and avoid such events but if it
is not possible to obtain the necessary permissions the assignment cannot proceed.
3 Pre assignment medical examination
It is always recommended that a medical examination is organised and undertaken at least one month
ahead of the assignment. The purpose of the pre-assignment medical is to ensure that the assignee
and any accompanying family members are fit to travel and work and to offer advice on local
conditions in the host country. For some countries, the assignee and their family may require further
medical examinations and the assignee must make sure that all vaccinations are fully up to date ahead
of arrival in the host country.
If it is not possible to have a face to face medical examination/consultation (for example where an
assignment is to start at short notice or consecutive assignment), the assignee must have a telephone
consultation with occupational health and any follow up should be completed overseas. It is the
collective responsibility of the assignee and the Line Manager to ensure that the medical examinations
are undertaken and that the assignees are fit to travel and work in the host location.
4 Pre assignment consultation
The BBC considers the proper preparation of assignees to be critical to the success of the assignment.
The purpose of the consultation is to answer any questions that the assignee may have regarding the
assignment. Typical topics covered include:
An explanation of the policy and to clarify any points arising;
Remuneration and benefits associated with the assignment;
Tax compliance and general tax advice, including social security.
In certain circumstances (e.g. assignees who need to find appropriate schooling for their
accompanying children), the assignee and partner may be entitled to a reconnaissance visit to the host
location. This must be approved prior to the visit taking place.
5 Transfer and relocation costs
5.1 Flights
On acceptance of the terms and conditions of the assignment, the BBC will pay for economy flights
for the assignee and his/her accompanying family to the host location. These flights should be
booked through the normal BBC transport website. Similar provision will be provided at the end of
the assignment to return the assignee to their home location.
The BBC will not pay for flights for dependents who remain in the home location and do not
accompany the assignee to the home location.
Air passenger duties can be reclaimed.
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5.2 Removal of personal effects
This is designed to provide help in moving the family’s personal effects to the host country. The
same limits set for shipping will apply to repatriation as well as expatriation.
Sea/surface freight allowance limits
The BBC policy is to use sea/surface freight for the movement of personal effects. Maximum freight
allowances are set at a 20 foot container for all assignments.
Assignees may opt for larger volumes at their own expense.
The BBC will pay for the following types of items as part of the shipment of personal effects:
Professional packing;
Normal haulage / shipping costs;
Crating;
Clearance charges;
Door to door transportation;
Short-term storage in the host location (only if required as a result of permanent accommodation
not being secured before arrival of shipment);
Insurance coverage supplied as part of the agreement with the shipping company to cover goods in
transit. This does not include additional insurance such as mould and mildew, pairs and sets or
electrical and mechanical derangement protection.
The BBC will not pay for shipment, insurance, import duties, storage or crating costs of items such as
(but not exclusively):
Motor vehicles of any sort (includes aircraft, cars, motor cycles, boats, jet skis and other
watercraft, riding petrol mowers or similar garden or horticultural equipment);
Perishables;
Alcoholic beverages;
Bottled or canned goods or foods;
Pets or livestock, nor quarantine costs;
Items that are frequently subject to import controls (e.g. firearms, weapons);
Plants or garden statuary;
Hazardous materials such as paint, matches, solvents, aerosol cans, cleaning fluids, flammables or
corrosives;
Items of particularly high value (£750+) that are excluded from the shippers’ standard insurance
cover (e.g. art, antiques, jewellery, and individuals collections, e.g. paintings, sculptures, carpets,
stamp collections);
Very large of heavy items of furniture (e.g. piano, grandfather clock, pool, snooker, or billiards
tables);
Any other items which are prohibited by law or by normal carriers’ conditions of carriage in
import/export or storage shipments.
Note: items such as pianos & grandfather clocks are specifically restricted from shipping to the host
location because, from experience, it is known that they do not tolerate changes in temperature or
climates very well (to hotter or colder, drier or more humid locations). In addition, such items are
more susceptible to damage during shipping.
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The assignee is responsible for providing all information to the shipping company to facilitate the
passage of effects through customs.
In some countries import and customs duties on used goods have to be paid, these will be paid by the
BBC. However, if an assignee should attempt to ship any restricted item and a delay is thereby
incurred, any costs arising from that delay or otherwise will be for the account of the assignee and not
the BBC.
5.3 Removal of personal effects - exceptional circumstances
If the assignee marries during the assignment (or other dependents join the assignee in the host
location), the BBC will cover the costs associated with the dependents travel to the host location
but no additional removal costs.
If members of the assignees family repatriate during the assignment, the BBC will only cover the
costs associated with the shipping of the goods once (i.e. at the time when the family repatriates
or at the end of the assignment when the assignee returns).
If the assignee gets divorced during the assignment, the BBC will cover the cost of travel for the
spouse and children to return to the home country but will not fund any removal costs.
Removal costs will only be funded by the BBC once to the host country and once on return.
5.4 Excess baggage
The BBC will cover the cost of an extra 20kg of baggage per adult (aged 18 years or on date of travel)
travelling to live in the host country. This is in addition to the normal airline baggage allowance.
No air freight will be covered.
5.5 Insurance on goods in transit The BBC will meet the cost of insurance coverage supplied as part of the agreement with the shipping
company to cover goods in transit.
The BBC will limit the insurance premium costs on shipped goods, to the premium applicable for
goods up to the total value of:
£25,000 (or equivalent) for a 20 foot container
5.6 Relocation time The BBC recognises the inconvenience of an international move and as such will provide up to 4 paid
leave days (in addition to your annual leave entitlement) to enable the assignee to move (e.g. pack up
in home country) and settling in time in the new location. On return to the home country the assignee
will be entitled to a further 4 days leave to pack up and return to the home location.
6. Disturbance allowance
A lump sum payment is made to all assignees to cover incidental or out of pocket expenses that may
arise in both the home and host countries, as a result of the international assignment. The amount
payable (£1,000) is paid at the beginning and end of the assignment. The allowance is intended to
cover, but not be limited to:
Personal contents insurance;
Arranging house lettings;
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Professional house cleaning;
Carpet cleaning;
Valuations for antiques, jewellery and other valuables;
Clothing (e.g. new school uniforms);
Mail re-direction services;
Car selling expenses;
Car hire and transport expenses;
Pre-departure meals and food;
International drivers licence;
Costs associated with obtaining passports, visas or work permits (e.g. photographs, fees associated
with obtaining copies of marriage certificates, education certificates etc.;
Suitcases and baggage;
Storage or additional storage on top of the exceptional storage allowance available for consecutive
assignments (see 6.1 below)
6.1 Consecutive assignments
If an individual goes on a consecutive assignment the allowance is payable once for the transition
between the two assignments. For example, an individual who is assigned from their home country to
Belgium for two years and is then assigned directly from Belgium to the US for a further two year
assignment who then repatriates to the home country will receive the following disturbance
allowances:
one at the beginning of the Belgium assignment;
one allowance (and not two) for the move from Belgium to the US and;
one payment at the end of the assignment when the assignee repatriates to the home country.
The BBC may, in exceptional circumstances (and with appropriate Line Manager consent) cover the
cost of storage for a maximum of one month for assignees moving directly between consecutive
assignments. This will only usually apply when work duties prevent the assignee from securing
appropriate long term accommodation in the new host location.
7 Temporary accommodation
7.1 Arrival in host location
Temporary accommodation may be necessary on arrival in the host country until the assignee and
accompanying family are able to secure long term accommodation. The BBC will typically fund this
for a maximum period of four weeks. Pre-authorisation from the Line Manager should be obtained
before temporary accommodation is sought or booked. The type of accommodation (e.g. hotel,
serviced apartments) will reflect what is available locally and normally what is the least expensive
option for the BBC.
7.2 At the end of the assignment
Temporary accommodation will only be provided at the end of the assignment if the assignee is
required to vacate rental accommodation (due to terms of the lease) prior to their departure date. If
available/suitable, the assignee and accompanying family will be expected to stay in BBC
leased/provided accommodation. If this is not available the next option, would be to source local
accommodation, the type of which (e.g. hotel, serviced apartment) should be the least expensive
option for the BBC.
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8 Accommodation Contribution
The BBC discourages the assignee from purchasing property in the host country as this may limit
repatriation and future mobility. Where the assignee decides to purchase property in the host location,
the BBC will not make a contribution towards any accommodation costs in the host country.
The main objective of the BBC policy is to provide a contribution towards the cost of housing in the
host location where costs exceed those in the home location. The contribution is determined in
accordance with a percentage of known housing information/statistical data in the host location and
compared to those in the home location. The comparison will take into consideration the assignee’s
family size in both the home and host location.
This allowance may not cover the full cost of accommodation in the host location but is designed to
reflect the fact that the assignee will not have full ongoing accommodation costs in the home location
and therefore should be able to contribute towards the cost of accommodation in the host location.
8.1 Furnished accommodation
The BBC will not meet the costs of any furniture or equipment required in the host location. It is the
responsibility of the assignee to furnish the property.
8.2 Legal relationship and insurance
The lease/rental agreement will be in the name of the assignee unless local regulations stipulate that
the lease should be in the name of the BBC. If in the name of the BBC, the lease/rental agreement
should be checked by the Bureau Manager and relevant legal contact prior to acceptance.
Building insurance should be provided for as part of the lease/rental agreement. If this is not the case,
the assignee should discuss what provisions will need to be made with the Bureau Manager, it is the
responsibility of the assignee to ensure that the building is appropriately insured. See point 6
regarding insurance for contents/personal effects,
8.3 Inventory and deposit
It is recommended that the assignee will be expected to check and sign an inventory both at the start
and end of the rental period. In addition, it is expected that the assignee should take photographs
showing the general condition of the property at the outset of the lease.
The BBC will expect reimbursement from the assignee if any deduction is made against the deposit.
In anticipation of any final liability associated with the property, the BBC may at its discretion
withhold the final expense claim until the property has been assessed by the landlord and the deposit
returned to the BBC.
8.4 Property maintenance
Assignees are required to ensure that décor and fittings in the accommodation, as well as the
surrounding grounds of the property, do not deteriorate over and above fair wear and tear and that
standards remain high. The BBC will regard any damage caused through deliberate, avoidable or
inappropriate behaviour by the assignee, member of the family or other guest present as a cost to be
met by the assignee.
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8.5 Utilities
The BBC will not contribute towards any utility costs such as electricity, gas, water, rates or any other
incidental home costs such as cable TV and broadband.
9 Education
No contribution will be provided under this policy towards the cost of Education in either the home or
host location.
10 Pre-school contribution
The BBC will make a contribution of £1,150 per annum for pre-school education costs for 3 and 4
year old children residing in the host location. The money will be paid as a monthly allowance via
payroll from the 3rd
birthday until the commencement of full-time education.
11 Healthcare
The BBC has set up an international medical insurance plan for all internationally mobile staff and
accompanying family (for as long as they are in the host country with the assignee). Details of the
plan, processes and contact details will be provided to the assignee prior to commencement of the
assignment. The assignee is responsible for ensuring they read and understand the clauses within the
insurance policy and follow the insurance company’s requirements.
Pre-authorisation with the provider for medical assistance is always required.
12 Annual leave and public holidays
For a full time, one year assignment, the assignee would usually be entitled to their home country
annual leave entitlement plus the additional number of days to cover home country public holidays.
Full details will be confirmed in the assignment letter. Agreement should be sought from the host
country Line Manager as to when leave days can be taken. The assignment leave entitlement will be
confirmed in the assignment letter.
All accrued leave must be taken prior to the assignment and during the assignment period.
Should the assignee terminate their employment with the BBC either during the assignment or during
the holiday year in which the assignment ends, the entitlement specified above will be prorated to
determine the actual entitlement up to the last day of employment with the BBC for that holiday year.
13 Home leave
It is expected that the assignee and accompanying family will want to return to their home country
during the assignment to visit friends and family and to maintain contact with home country
colleagues. Assignees and accompanying family members will, therefore be entitled to one economy
trip home per year. Flights should be booked via the transport and travel system or local central
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booking system to get the best possible price. Flights will only be provided once the assignee has
been working in the host location for at least 6 months.
For assignees who are separated/divorced and whose children have not accompanied them on
assignment, the assignee will be entitled to one return flight per child per annum. This return flight
can be used for the child to visit the assignee in the host location or for the assignee to visit the
children. For example, an assignee in Washington has two children who live in the UK. The total
return flights (UK to Washington or vice versa) allowable per annum would be 3, i.e. one home leave
flight for the assignee plus two flights for children. This could be used in the following ways, one
home leave trip and 1 visit each by the children to the host location or the assignee could make three
trips home.
The BBC will not extend the home leave provision to wider family members who do not accompany
the assignee to the host country, i.e. flights for family members to visit the assignee in the host
location. The decision to go on an international assignment is a personal one and the family
circumstances mean that the employee needs to be absolutely clear about the assignment before
applying.
14 Rest and Recuperation
In certain host locations, assignees may be eligible for additional paid travel and time off to rest and
recuperate. These provisions will be determined locally in response to onsite conditions. If
applicable, details will be provided in the assignment letter.
15 Car
Cars are only provided for work purposes in locations where security needs dictate. This should be
discussed with the Line Manager in advance of any commitment being made. If a car is provided, it is
the assignees responsibility to make sure that they have the relevant driving licence and
documentation legally required in the host country. Any uninsured damage to the vehicle will be the
responsibility of the employee to meet. Mileage logs must be used to identify private use and failure
to comply with this requirement by the end of the relevant tax year will result in the BBC not picking
up the tax cost associated with the benefit provided.
The BBC will consider requests for an interest free loan (up to a maximum of GBP 15,000 or
equivalent) as a contribution towards the costs of purchasing a car for personal use. Receipts for
proof of purchase will be required to support the loan release. Any outstanding loan must be repaid to
the BBC within twelve months of return to the home country, or immediately in the event of cessation
of the assignment. Any tax liability arising from the provision of the loan will be met by the BBC
under the tax equalisation policy.
16 Language tuition
No contribution is made towards language tuition.
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17 Remuneration
17.1 Assignment salary
The assignment salary is the remuneration to be paid during the assignment and is calculated by
reference to the home substantive salary. Assignment salaries are calculated using a build up
approach, taking into account:
Home country hypothetical tax or actual tax (depending on home country withholding tax
regulations);
Home country hypothetical or actual social security;
Acting pay if the assignment position is at a higher grade than the home position;
Cost of living allowance (COLA) if applicable;
Other applicable allowances.
Salary will continue to be paid via the home country payroll.
Since hypothetical/actual tax and social security will be withheld, a net assignment salary will be
guaranteed until the next salary review or cost of living review.
The salary will be reviewed under the normal home country salary review process.
17.2 Payment of salary – host country currency
Wherever possible, the assignee can elect to have part/all of their salary paid in a host/third country
currency. In order for this to apply, the assignee will need to specify the amount they wish to receive
in host currency by reference to their home country salary. For example, an assignee whose home
country is the UK has a monthly net pay of £1,850 – he/she could elect to have £1,500 converted and
paid in the host currency. The balance would be paid in the home country.
It is mandatory to have the appropriate bank account set up in the host country in order for this to
apply.
Should an assignee to decide to receive all or part of their net salary payment in their host country
currency, the individual would need to decide upon the exchange rate policy to be used in calculating
the amount paid in host currency.
There are two options available to the assignee both are outlined below. An assignee can only apply
one of either the Variable Exchange Rate (VER) or the Guaranteed Exchange Rate (GER) to the
entire amount elected to be paid in host currency during the cycle.
There are two cycles per annum running 1 December through 31 May and 1 June through 30
November.
It is recommended that the assignee considers and understands both options before deciding which to
apply.
17.2.1 Variable Exchange Rate (VER): the standard BBC exchange rate for the month will be
used to determine the amount payable in the host country. This approach means that the
individual’s host payment will vary depending on the prevailing BBC exchange rate. If
the assignee would consider it preferable to limit their exposure to exchange rate
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movements (between the home and host country currencies) they may wish to elect for the
Guaranteed Exchange Rate (GER) option outlined in 17.2.2.
17.2.2 Guaranteed Exchange Rate (GER): this election provides the assignee with the
opportunity to protect the amount received in the host currency for a six month cycle. It
can only be made in respect of the full amount elected to be paid in the host country.
Making a GER election means that your host country salary will be determined using a
fixed exchange rate and accordingly, changes in exchange rates will not impact on your
host currency salary for the duration of the cycle.
The GER exchange rates available will be reviewed every June and December by
reference to an average of the BBC’s monthly average rate over the prior five months. The
new exchange rate will be communicated to assignees in time for an election decision to be
made for the next cycle period.
A GER election, once made remains in place for the six month cycle (or if assignment
starts part way through a cycle, until the end of the current cycle i.e. May or November).
It is not possible to opt out of a GER election mid cycle. Making a GER election involves
accepting the given exchange rate for the cycle period.
The GER election has to be made within two months of the start date of the assignment
and a VER can apply for the first two months, but once elected into GER, this remains in
force until the end of the current cycle.
Exchange rates do fluctuate (sometime substantially) however the aim of the GER is to
provide some protection in terms of the host country salary payment for the six month
cycle period. It is not possible to remove a GER election mid-cycle due to favourable or
unfavourable exchange rate changes. You can only elect into or out of GER at the June
and December points.
17.3 Cost of Living Allowance (COLA) Where there is a difference in the cost of living between the home and host location, a cost of living
allowance will be paid to protect the assignee’s daily purchasing power on items such as food,
clothes, social activities etc. in the host country. It should however, be noted that the methodology
cannot, and is not intended to, allow for individual spending patterns.
The cost of living differentials are based on an international index which is calculated by an
independent specialist data provider who is contracted by the BBC. A representative basket of goods
is priced in each country and compared. The specialist third party provider then applies certain
weights to the results, reflecting the significance of each item. The difference between the cost of the
basket in the home and host countries is then reflected as an index. If the index is positive (i.e.
reflecting the fact that the costs are higher in the host country) a COLA will be due to the assignee.
Conversely, a negative index would indicate that the costs of living are lower in the host country. It is
currently the BBC’s policy not to apply negative cost of living allowances.
The COLA allowances are reviewed every June and December and assignees will be notified if there
is a change to the allowance.
The BBC will bear the cost of any taxes and social security due on the COLA.
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17.4 Child allowance
Where the home country domestic legislation/state system allows for a payment to be made to the
assignee for dependent children and this is no longer due as a result of the assignment the BBC will
make a payment to recognise the loss of this benefit but only for children resident with the assignee in
the host location during the assignment period.
17.5 Tax policy on Assignment
The tax policy aims to eliminate the impact on net employment income of variations between tax and
social security systems in different countries. Assignees will be held to the levels of tax and social
security that they would have paid, had they remained in the home location – the net pay guarantee.
This policy is intended to ensure that assignees on assignment are broadly, neither “better off” nor
“worse off” on stay at home remuneration as a result of the assignment.
A deduction is made to the salary which represents the tax that the assignee would normally have
paid, had they remained in their home country. The hypothetical calculation will not be individually
personalised but a generic model used, which reflects as closely as possible typical home country
circumstances will be used taking into consideration:
Standard tax allowances and deductions;
Tax relief available for compulsory contributions to home pension plans.
In exchange, the BBC will pay the actual taxes and social costs due in the host location on assignment
income, such as salary, bonus, and on any assignment related benefits that may be provided such as
relocation allowances, cost of living allowances, international medical, accommodation, schooling,
return flights to the home location, tax return preparation etc.
The Tax Equalisation policy only applies to assignment related employment income and does not
cover other employment income which relates to the assignees’ employment with the BBC such as
redundancy payment. The assignment policy assumes the assignee will repatriate to the home country
at the end of the assignment. In the event that an assignee’s employment with BBC is terminated
whilst on assignment, the assignee will be fully liable to tax and social security due in any country on
any income received in connection with the termination (such as redundancy payment).
The assignee will remain fully liable for any host or home country taxes due on personal
income/spousal income (see 17.6 below for details of this).
The BBC will provide the services of a reputable accountancy practice to prepare tax returns in the
host country and only returns prepared by the BBC’s selected provider will meet the terms of this
policy.
It remains the responsibility of the assignee to ensure that the information shown on the tax return is
both complete and accurate and to ensure that the returns are filed promptly with the tax authorities
concerned. Wilful failure to comply with tax filing or the late submission of required information to
the tax return provider will result in the assignee being liable for any late filing penalty and interest
charges.
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17.6 Tax position adopted
Income tax allowances and relief’s arising from the assignment shall belong to the BBC, including
personal allowances. This means that in calculating the BBC’s share of the assignee’s tax liabilities,
personal income (and spousal remuneration) shall be treated as the top portion of the assignee’s
income when considering the tax rates to be applied (i.e. the highest rates of tax applicable in the
individual’s circumstances are applied to personal/spousal income, not BBC income).
The assignee is responsible within the year end timetable to:
Provide the tax service provider with complete information to enable the completion of the tax
return. This will change by location but typically covers details of all personal or spousal income,
travel calendars where required;
Check the tax returns carefully to ensure that they are complete and accurate before signing and
filing on a timely basis;
Repay all tax refunds received from the tax authorities in the home or host location, which relate
to BBC source income;
Open a bank account in the host country to enable any tax payments to be made if necessary.
17.8 Tax audits
The assignee must forward all tax notices or statements received from the host tax authority to the tax
service provider and co-operate fully with the service provider throughout any dealings with the
relevant tax authority.
17.9 Tax services provided The services to be provided to the assignee are as follows:
Submission of departure documentation and obtaining non-residence status if available;
Host country arrival tax briefing;
Submission of arrival documentation, including social security clearance and registration;
Liaison with tax authorities to obtain expatriate status;
Filing of host tax return;
Review of tax authority statements and necessary appeals if required;
Submission of departure tax return if required;
Liaison with tax authority to confirm cessation of tax residence.
The service will also include the preparation of any request for extensions to file the tax return.
17.10 Tax services not provided
The preparation of tax returns other than for the BBC employee (unless joint returns are required
by the tax authority);
The preparation of any dependant children’s tax returns;
Financial or personal tax planning services.
Where such services are undertaken they are subject to a separate engagement with the assignee and
payment of fees for such services is the sole responsibility of the assignee.
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17.11 Work duties outside of host country, including work in the home country during
assignment
All assignees are expected to maintain a record of their international travel and work duties wherever
performed to facilitate analysis by the BBC / BBC’s nominated tax advisor of exposure to income tax
in the home, host and additional countries where domestic rules may determine an exposure to tax.
The BBC’s tax advisor will provide a travel tracker facility to enable this to be recorded electronically
using a secure site.
18 Costs not covered by the BBC International Assignment Policy
The BBC will not cover the following assignment related expenses:
Mail redirection costs
Car selling services
Car for private use
Home to work travel (e.g. taxi to and from the office)
Private phone calls
Food or other personal living costs such as laundry, gym memberships etc.
Home/host country personal expenditure
Please note that this list is not exhaustive. If you have any queries, you should contact the
International Assignment team.
19 Maternity and paternity during international assignment
The home country policy will apply wherever possible.
20 Compassionate leave
The majority of personal circumstances which necessitate time off work should be accommodated
within the normal annual leave allocation. However, in exceptional circumstances (such as family
bereavement) Line Managers may at their discretion grant additional leave.
21 Termination of an international assignment
This section outlines the procedures that the BBC has put in place to cover arrangements in the event
of:
An assignment ending prematurely; or
An assignee’s employment (with home country employer) ending whilst on assignment.
The BBC’s policy in this area is determined by who instigated the ending of the assignment or
employment, the reason, together with the facts and circumstances of the case.
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22. Repatriation Planning
Assignees are expected to actively plan and pursue opportunities following their assignment.
23 Questions
If you have questions regarding your relocation you should contact a member of the International Assignment
team below.
Frequently asked questions
Why should I pay more tax than is potentially due in the overseas location?
The tax contribution made by the employee goes towards the overall costs of the assignment.
Can I claim for the loss on the sale of my car?
The BBC will not pay to transport any vehicles to the host country or for storage in the home
country. Where as a result of an assignment, a car owned by the assignee or spouse is sold at a
loss, the BBC will not meet any element of that loss.
Can I purchase a property in the host location?
The BBC will not support the purchase of property in the host location as the intent of the policy
is to maintain international mobility and flexibility and not use public money to invest in a
personal asset. Should an assignee purchase a property in the host location, the accommodation
support provided by the policy will stop immediately and any tax advantages obtained by the
purchase will not change the tax delivery under this policy.
Will the BBC fund the costs to fly my children from my previous marriage to the host
location?
Yes in certain circumstances – please see section 13 Home Leave of the policy.
Priscilla Monticelli
International Assignment Advisor – Global News
Email: [email protected]
Tel: +44 (0) 773 875 52 87
Ying- Sung Mak
International Assignment Advisor - News
Email: [email protected]
Tel: +44 (0) 7718 11 7715
Maxine Ansah
Employment Tax and Global Mobility Manager
Email: [email protected]
Tel: +44 (0) 792 167 7106
David Smith
Head of Employment Tax & Global Mobility
Email: [email protected]
Tel: +44 (0) 774 0444631
