Top Tips: Brexit
1. EORI Number - Customs
For NI businesses who want to trade in goods with GB, ensure you have an XI EoRi number.
2. XI VAT Number
Ensure HMRC have issued you with an XI VAT number. If you have not automatically received this ensure you apply using the link here. A valid XI VAT number will ensure you can continue to avail of EU simplifications. It will be important that invoices to Irish customers and indeed EU customers include this XI VAT number.
3. Trade in Goods with GB
If you purchase goods from GB and the terms agreed with your supplier confirm that you will be responsible for the import of goods to NI, register for the UK’s new Trader Support Service or onboard the services of a reputable customs agent, one with AEO status generally indicates competence in the field. Ensure you have complied all the relevant details to provide to either TSS or the Customs Agent to include commodity codes, values, country of origin etc.
4. UK Trader Scheme
In respect of goods procured from GB which are not at risk of moving to the EU, NI businesses can register for the new UK Trader Scheme. Further detail in respect of this new scheme and how to apply can be found here.
5. Regulatory Issues
Goods that a business imports from GB may also be subject to regulatory requirements such as sanitary and phytosanitary controls for goods of animal and plant origin and conformity requirements for CE marked goods. Make sure you are aware to avoid delays and disruption to your supply chain.
6. Communicate potential price hikes and time delays with suppliers
Traders must understand that increased customs obligations for products may lead to potential increases in lead time, particularly in the 1st few weeks of 2021. This will compound the Covid impact on supply chains spanning several sectors with many products already seeing demand outweigh supply. All traders need to communicate with suppliers, based both within and outside NI, to determine the potential impact on product margin and impact on ability to meet client deadlines. Where necessary, clients should be kept updated of potential cost increases and time delays.
7. Review the eligibility of all employees to continue to work in the UK post 31 December 2020
This will require non UK and non Irish citizens to apply for settled status under the EU Settlement Scheme and you may wish to share information with your employees about the scheme. All employers should also ensure that they familiarise themselves with the new immigration system which will apply to EU citizens moving to the UK to work from 1 January 2021, particularly if you are an employer planning to sponsor skilled migrants from 2021.
8. If you regularly process or control data:
you need to review your obligations post 31 December 2020 as additional data protection safeguards may need to be put in place. There may also be a requirement to appoint an EU representative where you are not based in the EEA but continue to offer goods or services in the EEA and regularly process personal data. This is a complex area and traders that believe that they may be impacted should seek professional advice.
10. Review any changes to the place of supply or the VAT rules applicable to transactions as a result of Brexit:
Ensure that your internal accounting systems are updated to reflect the any VAT changes arising.