Brexit – no end in sight

On the 12 March the government updated its advice to traders with the EU. The advice assumes a no-deal outcome. 

On the basis that being prepared for the worst possible outcome, and a no-deal result is universally accepted to be a disaster for UK businesses, we are reproducing in full the text of the letter in this post. Here’s what HMRC are advising: 

Leaving the EU: actions for your business to take now to be ready for no deal 

We are writing to you because you are VAT registered and currently import and/or export goods with the EU. This letter sets out actions that it’s important you take now and changes you need to be prepared for, in the event that the UK leaves the EU without a deal. The actions set out in this letter do not apply to importing and/or exporting goods between Northern Ireland and Ireland. The government will do everything in our power to avoid a hard border whatever the circumstances. We will write to you with information about this as soon as we can. 

How to make customs declarations 

You will be responsible for making customs declarations for your UK-EU trade in a no deal scenario. Many businesses find the simplest way to make customs declarations is to appoint a customs agent to manage the process for them. 

So that you are ready you should now:

  • register for your Economic Operator Registration and Identification (EORI) number if you haven’t done so already at www.gov.uk/hmrc/get-eori. Then:
  • if you want to make declarations through a customs agent, appoint one as soon as possible.

If you cannot appoint an agent, or do not think this is the right solution for your business and if you intend to import or export regularly, you should now: 

  • make sure someone in your business is trained to make customs declarations
  • buy specialist software that links to HMRC’s customs systems
  • if you’re exporting, register for the National Export System at www.gov.uk/guidance/export-declarations-andthe-national-export-system-export-procedures. 

For further information, go to www.gov.uk/hmrc/trade-with-the-eu. 

Making importing easier 

HMRC is introducing new Transitional Simplified Procedures (TSP) for customs, to make importing easier for the initial period after the UK leaves the EU, should there be no deal. 

Once you’re registered, you’ll be able to transport your goods into the UK without having to make a full customs declaration at the border, and you will be able to postpone paying your import duties. However, for controlled goods you will have to provide some information before import.  Sign up for TSP online from 7 February at www.gov.uk/hmrc/eu-simple-importing. You’ll need an EORI number to do this. 

For further guidance, including which ports TSP applies to, please go to www.gov.uk/hmrc/eu-simple-importing. 

Changes to VAT 

The way you account for VAT on imports will change. You will be able to pay import VAT in your next VAT return rather than when your goods arrive at the UK border. You will: 

  • be able to declare and recover import VAT on the same VAT return
  • need to provide your VAT registration number on your customs declaration. 

Further information will be available soon. 

Changes to VAT IT systems 

If the UK leaves the EU without a deal you will no longer be able to use certain EU VAT IT systems. If you currently use any of these systems, you should be aware of the following: 

EU VAT Refund Electronic System 

To make EU VAT refund claims for 2018 using EU VAT Refund Electronic System, you should submit these before 29 March 2019, instead of the normal deadline of 30 September 2019. After we leave the EU, UK businesses will be able to reclaim VAT from EU countries, by using the existing processes for non-EU businesses. 

EU’s VAT number validation service (VIES) 

If you use VIES to check a customer or supplier’s VAT number, UK VAT numbers will no longer be part of this service after 29 March. A UK-only online VAT number checker will be available on GOV.UK from 29 March. You will still be able to use VIES to check the validity of EU VAT numbers. 

UK VAT Mini One Stop Shop (MOSS) 

If you currently use MOSS to declare and pay VAT on sales of digital services to EU consumers, you should submit your return for supplies made between 1 January 2019 and 29 March 2019 via the UK portal by the normal deadline of 20 April 2019. If you want to continue to use MOSS for sales you make after the UK leaves the EU, you will need to register for MOSS in an EU Member State. You should do this by 10 April 2019. For further information, go to www.gov.uk/hmrc/eu-vat-it-rules. 

Make sure you find out about all our EU Exit news as it happens 

  • Register for our email update service at www.gov.uk/hmrc/business-support select ‘business help and education emails’, then ‘EU Exit’.
  • Non-VAT registered businesses should also go to www.gov.uk/hmrc/trade-with-the-eu for changes that affect them. 

We recognise the challenges that you face in getting to grips with new and unfamiliar requirements by 29 March 2019. We are committed to supporting you and your business through this period of change, helping you to comply and making importing and exporting with the EU in a no deal scenario as easy as possible. We’ll write to you again soon, to let you know what further actions you’ll need to take and when. 

Readers concerned that they cannot cope with the apparent complexities of the above should seek professional advice. Please call, we can help.

 

Tax-free gifts 10/02/2020

Last week in the EU 27/01/2020

Budget day 2020 13/01/2020

Do you know? 18/11/2019

Win while you save 21/10/2019

All is not lost 30/09/2019

Unclaimed estates 09/09/2019

No-deal 15/07/2019

CGT giveaway? 24/06/2019

Complaining to HMRC 17/06/2019

Adventures in trade 27/05/2019

Pension shakeup 18/03/2019

Holiday entitlement 11/03/2019

Phone scams 04/03/2019

What is TSP? 25/02/2019

Happy days 04/02/2019

Merry Christmas… 17/12/2018

What is an OpRA? 03/12/2018

Taxing dividends 22/10/2018

What is in a name? 22/10/2018

Not so trivial 01/10/2018

Powers of attorney 24/09/2018

Cash is king 24/09/2018

What’s in a name 23/07/2018

Advance notice 09/07/2018

Borderline benefits 16/04/2018

Room to breathe 30/10/2017

ARA (Bristol) Ltd, t/a Adams Root & Associates Ltd, 86 Shirehampton Road, Stoke Bishop, Bristol, BS9 2DR - company registered in England & Wales number 11420396

0117 968 1673

This web site is operated by Adams Root & Associates Ltd (The Firm) a company registered in England. These terms and conditions ('the Terms') govern your use of this website (the 'Website').

Please read through the Terms. If you do not agree with the Terms, do not use this Website. If you do use the Website, your conduct indicates that you agree to be bound by the Terms.

Copyright notices

Unless otherwise specified the copyright in the contents of all the pages in this Website are owned by, or licensed to, the Firm.

Unless otherwise specified, the authors of the literary and artistic works in the pages in this Website have asserted their moral right pursuant to Section 77 of the Copyright Designs and Patents Act 1988 to be identified as the author of those works.

Conditions of your use of this Website

Except as stated below, the contents of this Website may not be copied, reproduced, distributed, republished, downloaded, displayed, posted or transmitted in any form or by any means without the prior express written permission of The Firm. You may not distribute, display or copy any of the contents of the pages contained in this Website to third parties including, but not limited to 'caching' any material on this Website for access by third parties and 'mirroring' any material on this Website.

You may print or download to disk the contents of individual pages of this Website for the purpose of private and personal non-commercial use. You may also permit your computer to make an electronically stored, transient copy of the content in this Website for the purpose of viewing it while connected to the Internet only. However, you may only make one copy of any content.

Warnings and Disclaimers

The Firm has used reasonable care and skill in assembling the information in this Website. However information or advice in the unrestricted areas of the Website cannot be tailored to personal circumstances or particular situations. There may also be factors relevant to you which fall outside the scope of the content of this Website. Accordingly, the material on this Website does not constitute personal advice. You should not rely solely on any material in this Website to make (or refrain from making) any decision or take (or refrain from taking) any action.

Legislation changes frequently and any material in this Website should not be relied upon after the date on which it is accessed.

The information contained in the material in the unrestricted areas of this Website is only for information purposes. The Firm by permitting the use of this Website, does not hold itself out as providing any accounting or legal advice. It also does not make any recommendation or endorsement as to any advisor or other service or product or to any material submitted by third parties or linked to this Website.

Any references in this Website to taxes and duties of any sort (including National Insurance Contributions) refer only to such taxes and duties as apply nationally throughout mainland England, Scotland and Wales.

Exclusion of liability

The pages contained in this Website may contain technical inaccuracies and typographical errors. The information in these pages will be updated from time to time but may at times be out of date. The Firm will use its best endeavours to reflect legislative changes within 90 days of such legislation coming into force. The Firm can however accept no legal responsibility for keeping the information in these pages up to date, or liability for any failure to do so.

The Firm does not make any warranty or representation as to the accuracy, completeness or fitness for purpose of any material on this Website or the reliability of the access to this Website.

In no event do The Firm accept liability of any description, including liability for negligence (except for personal injury or death), for any damages or losses (including, without limitation, loss of business, revenue, profits, or consequential loss) whatsoever resulting from use of or inability to use this Website. The Firm makes no warranty that this Website (or websites which are linked to this Website) is free from computer viruses or any other malicious or impairing computer program.

Other's advertisements

This Website may contain material submitted and created by third parties. The Firm excludes all liability for any illegality arising from or error, omission or inaccuracy in such material.

This Website also contains links to other websites which are not under the control of and are not maintained by The Firm. The Firm is not responsible for the content of those sites. The Firm provides these links for your convenience only but does not necessarily endorse the material on these sites. The Firm makes no warranty or representation as to the accuracy, completeness or fitness for purpose of any material on these sites. You proceed to these websites at your own risk.

Data Protection and Privacy

Any details which you provide to us from which The Firm can identify you are held and processed in accordance with our Data Protection Registration.

Law governing the Terms

Use of this Website and these Terms shall be subject only to the laws of England and Wales which shall exclusively govern the interpretation, application and effect of all the above permissions, exclusions, licences and conditions of use.

Jurisdiction

The Courts of England and Wales shall have exclusive jurisdiction over all claims or disputes arising in relation to, out of or in connection with this Website and its use and these Terms.

Where national regulatory authorities have jurisdiction over the contents of this Website, The Firm has attempted to ensure compliance with the requirements of such regulatory body. However, some of the information in the pages contained in this Website is not to be accessed from certain jurisdictions and no representation or warranty is made as to whether the information available in this Website complies with the regulatory regime of countries from which the pages in this Website should not be accessed.

Adams Root & Associates is the trading name of Adams Root & Associates Ltd, 86 Shirehampton Road, Stoke Bishop, Bristol, BS9 2DR.

Adams Root & Associates Ltd is committed to protecting your privacy.

Information given through our web site forms is used solely to service you with information or further actions as requested. It will not be passed on or sold to third parties.

Standard web server logs are kept, recording basic information for statistical analysis, such as page views, referrer sites etc, and highlighting any malicious behaviour attempts.

“This website uses Google Analytics, a web analytics service provided by Google, Inc. (“Google”).  Google Analytics uses “cookies”, which are text files placed on your computer, to help the website analyze how users use the site. The information generated by the cookie about your use of the website (including your IP address) will be transmitted to and stored by Google on servers in the United States . Google will use this information for the purpose of evaluating your use of the website, compiling reports on website activity for website operators and providing other services relating to website activity and internet usage.  Google may also transfer this information to third parties where required to do so by law, or where such third parties process the information on Google's behalf. Google will not associate your IP address with any other data held by Google.  You may refuse the use of cookies by selecting the appropriate settings on your browser, however please note that if you do this you may not be able to use the full functionality of this website.  By using this website, you consent to the processing of data about you by Google in the manner and for the purposes set out above.”

No other browser cookies are used on this site.

For administrators of the website browser cookies are used allowing access to private pages requiring a user authentication.