Five key international trade announcements from government this week (and it’s still only Tuesday…)
15 hours ago (0 Comments)
Posted by: William Barns-Graham
Government is shifting up a gear in its preparations for life post-transition, making multiple announcements each day about how trade will operate once the UK stops trading under EU rules.
Here, the IOE&IT content team has summarised five key developments unveiled this week already that exporters and importers should be aware of.
1. Import VAT
The government yesterday (28 July) released clarification for processes through which firms importing from the EU – and anywhere else from the world – will need to account for import VAT.
VAT-registered companies in the UK will account for import VAT for incoming goods on their return.
This also means firms can declare and recover import VAT on the same return, rather than paying it upfront and recovering it later. Firms are entitled to reclaim VAT paid on goods or services purchased for a business-use.
2. List of controlled goods
The government published a list of goods being imported into the UK from the EU that will be controlled and for which a customs declaration will be required from the 1 January 2021.
Declarations for non-controlled, standard goods can be deferred for up to six months post-transition until 1 July,