Anyone who has dealings with the EU or is under EU regulations is affected by Brexit E.g.

• Staff or products from the EU
• Staff or products travelling to or through the EU
• EU products, services or business in the supply chain
• Using EU status or regulations for contracts, licenses, labeling, quotas
• EU owners, equity, loans, property, websites

Every business should therefore review the effect on them

What is the effect on my income?

Your income may be affected in two ways

The first is the additional cost of assessment and recertifications or labelling.

Secondly, there may be big ongoing costs as regards tariff changes as well as ongoing paperwork obligations.

Do consider reviewing your pricing model to cover these additional costs.

Are there any exemptions?

Everyone should abide by the new rules however there are some reliefs available

• There are grants available for recruitment, new systems and training
• The withdrawal agreement includes a transition period up to 31st December 2020
• HMRC will be letting everyone use VAT deferment and pay most duties monthly under a scheme called Transitional simplification procedures (TSP)
• HMRC plans to create its own version of Low Value Consignment Relief (LVCR)
• UK has agreed to continue to recognize EU qualifications
• EU citizens living in the UK can apply for settled status

Do make sure you know your position, and if you need help then talk to us.

Who must calculate and pay the VAT & Tariffs?

Customs documentation is the responsibility of the owner of the goods crossing the border. This may be the exporter or the importer or may be delegated to an agent e.g. the freight company. This document needs to identify the principal parties and the goods in order to calculate tariffs.

For some shipments (depending on goods and port) the duty etc. will need to be paid before the goods can be released, as for overseas shipments.

But HMRC are introducing new Transitional simplification procedures (TSP) for EU imports, whereby all duties can be reported monthly, VAT deferred, and duties calculated for payment monthly.