Spanish customs authorities have issued guidelines regarding the requirement for UK businesses to acquire an EORI number to export to Spain.
The Spanish guidelines note that, whatever the outcome of trade negotiations between the EU and the UK, terms of trade will be fundamentally different once the UK leaves the common market.
As with any non-EU country exporting to the EU, the UK will require an EORI number to export goods to the EU once the transition period ends on 31 December 2020.
What if you already have an EORI?
Many UK businesses will already have been issued with EORI numbers by the UK authorities for export to third countries. As an EU registration protocol, these UK-issued EORI numbers may no longer be valid for export from the UK to the EU after the transition period.
Businesses wishing to export to Spain or other EU countries will thus be required to apply for a new EORI from the relevant EU state.
Spanish authorities advise UK companies that wish to export goods to Spain to thus apply for a new EORI in Spain or associate an EORI obtained from another member state with a Spanish VAT identification number.
Businesses are advised to consult with an expert for guidance on EORI requirements and on expediting the application process, should it be necessary.
Act now to avoid costly delays
The UK government has warned businesses that neglecting to acquire an EORI by 1 January 2021 could incur additional costs, such as storage fees for goods that cannot be cleared by customs. (Source.)
Although the precise outcome of trade negotiations between the UK and EU is as yet unknown, the basic fact remains that UK businesses wishing to export to, and import from, the EU will soon have to do so on the basis of non-EU states, taking cognisance of EU regulations.
UK businesses that wish to continue to export to the EU need to act quickly to prevent costly logistical and regulatory problems when the transition period ends.
Vatglobal helps businesses manage their VAT compliance in accordance with all relevant local and regional regulations. Give us a call to ensure your business is fully compliant today to prevent being caught in red tape when the UK exits the Common Market.