12 February 2019
With only 45 days to go businesses are now ‘hitting the panic button’ doing everything that they can to ensure that they are prepared for a ‘no deal’ Brexit.
As we get closer to the ‘B’ day, businesses that trade with other countries need to ensure that they are ready for the proposed changes to minimise any impact.
Please find below UHY’s guidelines to being Brexit ready for businesses who purchase goods from customers located in other EU Member States –
- UK businesses trading with the EU will need a UK Economic Operator Registration and Identification (EORI) number to continue trading if the UK exits the EU without a deal. This doesn’t apply if you are importing and exporting goods between Northern Ireland and The Republic of Ireland. You can apply for an EORI number using the following link –https://www.tax.service.gov.uk/shortforms/form/EORIVAT
- Check if you can use transitional simplified procedures – these make it easier for you to import goods from the EU using roll on roll off locations like Dover or the Channel Tunnel.
- Get software or an agent to make declarations – all declarations need to be made electronically. Freight forwarders and customs agents help with customs processes and the movement of your goods.
- Check if you need a licence to import or export your goods – if your goods arrive into the UK and you don’t have the required licence you will be unable to clear the goods. Licences are needed for items such as plants, animals, chemicals, technology, medicines, artwork, military goods, etc.
- Classify your goods – get the correct commodity code for the goods being imported. By doing this you will know how much import VAT and duty is due when the goods arrive into the UK. Any import reliefs will also be identified during this process.
- Apply the right customs procedure code – there are many procedures available for specific scenarios. If you have goods coming into the UK that won’t remain here because the end user belongs in another country, seek advice as there may be a customs procedure that could reduce import VAT and/or duty due. These procedures also assist with both customs and excise processes.
- If you use a UK roll on roll off location, for example, where a lorry or van travels through using a ferry or train, then you will need to declare the goods before you board the ferry or train.
- When importing, make a safety and security declaration before the goods arrive in the UK.