Please see below for today’s key Brexit news items:
- The European Commission has published clarifications on the effects of Brexit for economic operators after the United Kingdom will leave the European Union. Amongst others, the Commission has highlighted the following consequences:
- Goods imported from the UK to the EU and vice versa will be subject to customs supervision and may be subject to customs controls.
- Certain goods may be subject to prohibitions or restrictions on ground of public policy or public security, protection of life of humans, animals or plants or the protection of national treasures.
- Authorisations granting the status of Authorised Economic Operators (AEO) issued by the UK will no longer be valid in the customs territory of the Union.
- Goods originating in the UK that are incorporated in goods exported form the EU to third countries will no longer qualify as “EU content”.
- Goods which enter the EU coming from the UK or vice versa will be charged with VAT at importation, while exporters will be exempt from VAT.
- Taxable persons wishing to use the VAT Mini-One-Stop Shop (MOSS) will need to be registered in a EU Member State.
- Electronic filing of VAT refunds between a EU Member State and the UK will be replaced by provisions under Council Directive 86/560/EEC.
- UK companies carrying out taxable transactions in a Member State of the EU may be required to designate a tax representative as the person liable for payment of the VAT.
- Products traded between the EU and the UK which are subject to excise duties will be considered as exports and no longer fall under the Excise Movement and Control System (EMCS).
The paper does not take into account any transitional arrangement which might be agreed before 30 March 2019.
- The main groups opposed to a hard Brexit are joining forces under the leadership of Chuka Umunna to push for the public’s voice to be heard on Theresa May’s final deal to leave the EU. Those involved in the group include Conservative MP Anna Soubry; Caroline Lucas, co-leader of the Green party and MP for Brighton Pavillion; and the Lib Dem MP Jo Swinson. (The Guardian)
- Ireland’s supreme court has declined to extradite a company director wanted for fraud to London because by the time he finishes his prison sentence the UK will have left the EU.The surprise decision in Dublin is an early sign of the disruption Brexit may inflict on legal cooperation across the continent. A fresh extradition treaty between the two countries could be needed. (The Guardian)