HMRC issues new ‘No Deal Brexit’ guidance

11th March 2019

The deadline for the UK’s exit from the EU is less than a month away. With a deal yet to be agreed, HMRC has issued new guidance which businesses trading with the EU need to be aware of.

Import VAT arrangements

In the event of no deal, HMRC has confirmed businesses will be able to pay import VAT via their quarterly VAT return instead of at point of entry. This will be applied to all imports, not just those from the EU. The change could be good news for managing cash flow, but you may have to change your accounting systems to take advantage of the change.

Read the full update here: https://www.gov.uk/guidance/accounting-for-import-vat

Preparing for EU trade post Brexit

If you trade with companies in the EU or further afield, look out for this letter from HMRC.

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/784111/Letter_on_no_deal_advice_to_traders_with_EU_and_rest_of_the_world.pdf

The letter contains important guidance on preparing for a no deal Brexit – including registering for Transitional Simplified Procedures to make cross border trading easier.

For more information about either of these HMRC notices, or for help preparing your company for Brexit, please contact our tax team on advice@hboltd.co.uk