HMRC umbrella company ‘checking tool’ looms for workers
Umbrella company consultation response and guidance due from HMRC, as more details come out on Tax Administration and...
READ MORE
HM Revenue & Customs (HMRC) has urged business to get their tax affairs in order with the Brexit transition period ending this year and new trading rules with Europe will be in place.
Ahead of the deadline, HMRC said it has sent 250,000 letters and emails to VAT-registered traders ahead of 1 January 2021.
In HMRC’s letter, it urged customers to complete the new trader checklist to help them work through the key steps they will need to take to prepare for the key date.
The letter noted key actions businesses must take so that they can continue trading smoothly with Europe next year, including:
HMRC said the changes to customs and tax rules will affect everyone who trades with Europe, no matter the type or value of the goods they buy or sell, how frequently they trade or how their goods are transported.
Further, HMRC said talks are currently ongoing about the UK’s future trading arrangements with Europe, but also added that businesses can be sure that these rules will not change or go away.
“We understand the complex pressures that all businesses are dealing with this winter as a result of COVID-19. But everyone in the UK who trades with Europe or under the Northern Ireland Protocol, will be affected by new customs and tax rules from 1 January 2021,” said HMRC’s directors general, borders and trade, Katherine Green and Sophie Dean.
“We urge businesses to act now. HMRC is working hard to help businesses prepare so they can continue to trade smoothly at the end of the Brexit transition period.”