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Estonian Tax, Customs Board calls for companies trading with Brits to prepare for Brexit

BC, Tallinn, 23.01.2019.Print version
The Estonian Tax and Customs Board is calling for companies, which have economic relations in the United Kingdom, to prepare for the withdrawal of the UK from the European Union, whether it be with a deal or without, writes LETA/BNS.

"Activities must be launched both for a situation involving a no-deal withdrawal as well as for a situation in which the withdrawal of the United Kingdom from the European Union takes place on the basis of an agreement and smoothly," said Kulli Kurvits, deputy head of the customs department of the Tax and Customs Board.


She said that approximately 5,000 Estonian companies have economic ties in the UK, of which some 3,000 have still not had any contact with customs. The Tax and Customs Board has created a separate section on its website that gives information regarding changes accompanying Brexit. "We will supplement it on a running basis, according to the information that is received," Kurvits said.


With Brexit, all companies doing business with British enterprises require a registration number, without which it is not possible to carry out a customs formalization in the EU or promote foreign trade ties.


"Applying for the EORI number necessary for a customs formalization online is generally a simple and fast procedure, but one must take into account the coming time for submitting the income tax returns of natural persons. As the e-services environment is the same for everyone, we suggest those in need of an EORI number file the relevant application already in the next few days. Otherwise, the process of application may lengthen," Kurvits said.


Prior to that, companies should also familiarize themselves with an overview of customs measures from the Estonian Master Tariff System (EMTS), from which information is available regarding rates of duty and other additional requirements when trading with third countries.

"We also offer companies the opportunity to apply for counseling and training regarding Brexit from the Tax and Customs Board," Kurvits said.


She also advised that companies think through their logistical plans for the end of March, as around March 30, when in the event of a no-deal Brexit the United Kingdom is to become a third country in relation to the EU, greater confusion is expected both in terms of the formalization of documents and transport.


According to Kurvits, Brexit should bring the authority additional work in the amount of some 30%. 


According to current plans, the withdrawal of the United Kingdom from the European Union is scheduled to take place at midnight on March 29, meaning that starting from March 30, the UK would be a so-called third country in relation to the EU and a customs formalization would be necessary for any kind of movement of goods between the UK and the EU.






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