From 1 January 2018 there has been a change in how the threshold for compulsory VAT registration in Switzerland is calculated. This is expected to catch an additional 30,000 foreign businesses. Our Kreston associates in Switzerland believe that many businesses making supplies into their country will be unaware of the issue.
If the introduction of a first time buyer (in reality first time owner) relief for Stamp Duty Land Tax (SDLT) seized the headlines at the Chancellor’s Budget on 22 November 2017, an additional proposal buried deeply in the voluminous Budget documentation may prove to have an equally significant impact.
The UK has previously set out a number of scenarios which might possibly reduce friction in terms of the customs procedures at Brexit, but any changes to the current customs, VAT and excise systems will only be known following the conclusion of on-going negotiations which, as has been widely reported, are not at an advanced stage.
The UK has recently released the first full year’s figures for the Diverted Profit Tax – ‘DPT’ - the so called ‘Google Tax’. HM Revenue and Customs – ‘HMRC’ – have suggested that the yield from the tax was £281m for the 16/17 reporting period.
Last year’s Brexit vote has put into stark focus the extent to which we rely on trade flows within the EU marketplace, compared with the expansive opportunities which many say lie in international markets beyond the EU. Encouraging small British firms to sell their goods and services overseas is a key plank of government policy – yet there is much to do.