Despite a bunch of uncertainties with Brexit, the UK will become a third country for VAT and customs purposes after the 1st of January 2021. This means that some EU countries will require a fiscal representative for a UK company to be registered, e.g. for VAT purposes. However, we will have to hold our breath a little longer, such as the negotiations are not yet finalised.
Role of a Fiscal Representative
A fiscal representative can be a legal entity or private individual that is resident in the country where you require registration. The fiscal representative is jointly liable for i.a. import VAT and output VAT. A fiscal representative is not the same as a representative, who acts on your behalf for all tax-related obligations towards the local tax authorities, e.g. handles the filing of VAT returns, Intrastat reports and ECSL.
Currently, 19 out of 27 EU member states requires Fiscal Representation in certain cases. E.g. both Belgium and the Netherlands requires that a UK company has a fiscal representative furthermore these two countries immediate requires that a UK company has some kind of residency to obtain VAT registration. On the other hand for example, the French Tax Authority has recently announced that UK companies do not need to appoint a fiscal representation to obtain VAT registration in France. As a former member state, the UK´s situation is quite unique, and some of the member states might issue specific rules for UK established companies. Therefore, it is of great urgency that you seek relevant assistance and clearance about your EU setup, and we will of course be pleased to assist you in this regard.
Opposite the EU companies can breathe a sigh of relief despite the ongoing Brexit unclarity. As per now, the UK does not require a Fiscal Representative from EU resident businesses.
IntraVAT can help you IntraVAT can guide you when you need Fiscal Representation, and ensure the whole process is fully coordinated in many EU Countries. You are more than welcome to contact us for details. Contact us also if you a UK vendor and you would like to expand your business and sell your goods into the EU, Swiss or Norwegian market.