The National Audit Office has predicted that many of the government’s projects to prepare the UK border for the end of the Brexit transition period are at high risk of not being ready on time.
Businesses that will import goods from the EU from 1 January 2021 and wish to pay their customs charges on account have now been invited by HMRC to apply for a duty deferment account. Do you need one, how do you get one, and what are the costs?
The government has asked for stakeholders’ views on its vision for the UK to have the world’s most effective border by 2025. But, as plans have only just taken shape to create any sort of customs border with the EU by 1 January 2021, is the government trying to run before it can walk?
Details are emerging of a new electronic customs system to record imports of goods between the UK and the EU and between Northern Ireland and the rest of the UK after the end of the Brexit transition period. How will it work, and will it be ready on time?
Many businesses have had to put Brexit on the back burner while they fight the global economic crisis brought on by coronavirus. With less than seven months to go until the UK is due to leave the EU’s VAT and customs systems, cross border traders should start reviewing their contracts and ‘Incoterms’, especially if the current crisis has, or will lead to, changes in their usual supply chains.
The removal of Brexit contingency plans for customs and VAT promised in 2019 will make an already difficult situation even worse for businesses. Disruption to supply chains seems inevitable, and the removal of postponed accounting and/or transitional simplified procedures will make an already difficult situation even worse for businesses.
The European Union (Withdrawal Agreement) Act 2020 received Royal Assent last week. It empowers the Government to give UK courts discretion to depart from existing EU case law after the end of the transition period. However, the earlier European Withdrawal Act 2018 gives the UK courts discretion to take account of EU court judgments issued after the end of the transition period. So where does this leave business?
We look ahead to what the post-transition arrangements will look like, if and when Great Britain leaves the VAT Union and the UK (including Northern Ireland) leaves the EU Customs Union.
The latest report from the Office of Tax Simplification reveals that, while there has been some progress on VAT reform, the bigger question around the VAT threshold remains unresolved.