12/02/2021 - The end of the Brexit transition period presents unique transfer pricing challenges to businesses. These are both specific to the end of the transition period and ongoing as the UK is no longer a member of the European Union.
19/01/2021 - A Brexit deal was announced by the UK government and the EU on 24 December. One key topic of ongoing negotiations is social security arrangements for cross-border workers moving between the UK, the EEA (the EU, plus Norway, Iceland and Liechtenstein) and Switzerland.
12/01/21 - After more than four years of negotiations and false starts, the UK’s withdrawal from the EU remains a challenging uncertainty for businesses.
03/12/20 - ‘No deal’ is not on many people’s Christmas list but, given cheap valuations for both equities and sterling, it may not be quite as disastrous for investors as some have suggested.
UK ex-pats living in Europe might have thought they would be spared much of the inconvenience of Brexit. However, unfortunately, this is not the case, as many have found they are receiving troubling letters from their investment manager and bank regarding the need to close their account before the year end.
As the EU/UK post Brexit negotiations continue, many Irish businesses are still considering how to plan for an unknown outcome. Indeed, many Irish businesses have put off making detailed plans until the outcome of the current negotiations is known.
From an Irish tax perspective, implications can arise in relation to both direct taxes (corporation taxes) and indirect taxes (VAT/customs). In this article, we discuss what Irish businesses should be considering at this point, in relation to indirect taxes.
In our Brexit podcast series we’ll discuss the key issues and practical steps businesses should take now that a deal in in place.
In this Brexit episode; Alistair Shaw – Partner, Corporate Tax, Sunil Parmar -Director, Indirect Tax and David Yewdall – Partner, Employment Tax, discuss the key issues and practical steps businesses should take now that a deal is in place.
Watch our S&W Sessions Brexit webinar from 20 January 2021 to understand how Brexit and the trade agreement will impact your business and what you should be doing now to ensure compliance in a post Brexit era.
We cover the potential Indirect Tax (VAT and Customs Duties), Employment Tax and Corporation Tax issues relating to Brexit as well as what this means for inward investment into the UK.
1. How has Brexit affected my business? The UK/EU trade deal has provided some much-needed clarity on the impact of Brexit. The key tax areas to focus on are indirect tax (Value Added Tax (VAT) and Customs Duty), employment tax and corporation tax. Our dedicated Brexit hub explains the top ten actions businesses should take to ensure they are in the best position to do business in both the UK and the EU.
Visit our Brexit hub to view our latest insights and analysis.
2. How has Brexit changed my business’s VAT obligations? Your business may need to register for VAT in EU member states where it was not previously registered. Some EU member states also require businesses to appoint a fiscal representative, who not only assists with local VAT compliance but also has joint and several liability for the VAT debts of the supplier. These services can be costly and it can be difficult to find a VAT adviser willing to act in this capacity.
There are also specific implications for importers, finance and insurance businesses and suppliers of e-services.
Visit our Brexit hub to view our latest insights and analysis.
3. How has Brexit affected my business’s customs obligations?
Businesses that historically moved goods around the EU but did not import into or export from non-EU countries are likely to face significantly greater customs compliance obligations now that the transition period has ended. Businesses not established in the country they are importing to or exporting from will need to appoint an indirect customs agent to declare the goods for import/export.
Visit our Brexit hub to view our latest insights and analysis.
4. How has Brexit changed my business’s social security obligations? The UK-EU trade agreement ensures that, generally, social security will only be payable by employees and employers in one country at a time. There are, however, administrative requirements and some exceptions. Businesses should consider limiting international assignments to 24 months to enable individuals to remain within their home country social security systems.
Visit our Brexit hub to view our latest insights and analysis.
5. How will my supply chain affect the tax impact of Brexit?
Businesses must review their supply chains to identify the indirect tax impacts. The delivery terms, or ‘incoterms’, agreed with both suppliers and customers are critical in determining the VAT impact of Brexit. There are different implications for ex works (EXW) and delivered duty paid (DDP) agreements. This is particularly important for businesses moving goods around the EU, and for regulated services providers that have changed their corporate structures to comply with EU regulations after Brexit.
Visit our Brexit hub to view our latest insights and analysis.
We have been monitoring and analysing the impact of Brexit for businesses and individuals since the 2016 referendum.
Tax legislation is that prevailing at the time, is subject to change without notice and depends on individual circumstances. Clients should always seek appropriate tax advice before making decisions. HMRC Tax Year 2021/22.