Working in Bulgaria and Romania at 1 January 2007

Before Bulgaria and Romania join the European Community on 1 January 2007 people from the UK who go to work in Bulgaria and Romania are covered by the rules for people who work outside the EEA and outside countries with which we have bi-lateral Social Security agreements. You can read about the rules up to 1 January 2007 by visiting the following page:

• Working outside the European Economic Area, Switzerland or Social Security Agreement Countries

However, from midnight on 1 January 2007, the rules will change to the rules that apply in the European Economic Area:

• Working in the European Economic Area

If you normally work in the UK, for a UK employer and have been sent to work in Bulgaria or Romania for that employer prior to 1 January 2007, and have been paying Class 1 UK National Insurance, and the posting is not expected to last more than 12 months (from 1 January 2007), you may be eligible to continue paying to the UK after 1 January 2007 and be exempt from contributions in Romania and Bulgaria by applying for Form E101.

If you are from the UK, already working in Bulgaria or Romania and paying Class 1 National Insurance but the posting is expected to last more than 12 months, it may be possible by special agreement with Romania and Bulgaria, for you to continue in the UK scheme. For advice about this, or if your situation is not covered here, you should contact us at: HMRC Residency (Newcastle).