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Last week we announced a new half-day course which will explain the likely consequences of Brexit on VAT in the UK. Since then, a number of people have asked how we know the probable impact at this early stage of the process. Let me explain.

One of the key aspects of the Brexit campaign was the wish of some people to restrict the entry of EU citizens into the UK. The EU is a single market and it operates on the basis of four freedoms; the free movement of goods, services, capital and people within the EU.

It is incongruous for the UK to leave the EU and continue to be part of the single market. It is not conceivable that the UK could have access to the single market in the same way that Iceland and Norway do, without the UK stepping back from the intention to restrict EU migration. These two countries are outside the EU and participate in the single market because they accept the four freedoms, including the free movement of people.

The 28 member states of the EU operate a common system of VAT, albeit there are some differences in each country because of local laws. However when goods move across the national borders of EU countries they are not subject to the same import/export controls that are applied when goods move between EU and non-EU countries.

The system of VAT is well established and operates in many countries throughout the world and those countries that have introduced or will be introducing VAT systems generally observe common universally accepted principles and concepts.

Therefore there are many knowns about the future of UK VAT and we can speak with confidence about how VAT will most likely change when the UK is no longer part of the EU's single market. When this happens, goods that move between the UK and the EU will become subject to import/export controls.

During the course, we will be able to explain how the relationships will change between UK companies and their EU suppliers and customers. We will help you understand the different VAT treatments that will have to be applied to cross-border transactions and how the recovery of EU VAT will change. It will also give you a clear explanation of all the current EU VAT simplifications from which UK businesses will no longer benefit.

The course is being presented in London during the afternoon of 26th July and there are only a few places remaining. We are also pleased to announce that we have just released a brand new date in London on 29th September. To book places on either of these dates, please go to this page, call us on 0800 435 772.

Stephen Smith
Managing Director
UK Training (Worldwide) Limited