In the world of Value Added Tax (VAT), certain concepts can appear particularly convoluted, with the VAT reverse charges mechanism topping the list. Why, you ask? Well, its application rests on an array of scenarios, each affecting the dynamics of how VAT is charged and paid. If you’re in a muddle about how this works,
Following the UK’s exit from the European Union, the government announced a £20m fund to provide support for small and medium-sized enterprises adjusting to the changes in importing and exporting. SMEs can apply for up to £2,000 to help cover costs of training and seeking professional advice to help with changes to rules regarding customs,
Post-Brexit rules came into force on 1st January 2021, despite the Free Trade Agreement with the EU, the UK is now facing new taxes and charges on goods sent between the EU and the UK. Many UK consumers have been faced with unexpected charges, in order to receive their goods. As the UK is no
The UK’s transitional period out of the European Union officially ended on 31st December 2020. New rules were implemented on 1st January 2021, following the UK’s Free Trade Agreement with the EU. Since leaving the EU, the UK no longer implements DAC 6, the European legislation for disclosing arrangements. Under UK law, arrangements must be
The end of the Brexit transition period signified new rules for the UK. From 1st January 2021, where workers/employers pay social security contributions will depend on certain criteria, including the country in which work is being undertaken. For work in the EU, Switzerland or Norway, a worker will only need to pay into one country’s
Following the UK’s transition out of the European Union, the UK introduced new tax changes that came into force on 1st January 2021. Businesses in the EU, importing into the UK, will now have to comply with additional laws and may face higher costs. This change has led to some EU businesses stating they will
Following the UK’s Free Trade Agreement with the EU, DAC 6 ceased to apply from 11pm on 31st December 2020. However, certain hallmarks under category D will still need to be reported under DAC 6 for a limited time, in line with the OECD’s Mandatory Disclosure Rules. DAC 6 is the EU Council Directive 2011/16.
Businesses that import goods regularly into Great Britain, can apply for a duty deferment account, taking effect from 1st January 2021. A duty deferment account delays payment of most customs and tax charges, for example: Customer Duty Excise duties Import VAT Duty deferment accounts allow for importers (or their representatives) to make one monthly payment
Following the official departure from the EU, Great Britain is currently in the transitional period until 31st December 2020. From 1st January 2021, a new model for VAT treatment of goods arriving from overseas will be introduced. HMRC will be moving the point at which VAT is collected from the current point of importation to
In a recent announcement, HMRC have confirmed that Enterprise Management Incentive schemes (EMI) will continue in the UK once the Brexit transition period has ended. The scheme will operate under UK law from 1st January 2021. EMI is a scheme that allows for some companies to offer their employees a share option up to the
HMRC have published guidance on when you can claim reliefs to pay less customs duty and VAT if you re-import goods to the UK and EU. The relief which is known as Returned Good Relief, can be claimed where goods are re-imported into the UK or EU that had been previously exported. Goods must have
