Business chiefs were today urged to ‘grasp the nettle’ without delay to ensure they are equipped to deal with the new trading conditions which will arise whatever the outcome of talks with the European Union.
Tax partner Adrian Young, said the clock is ticking but many bosses still do not fully understand the impact Brexit will have on their companies, or are assuming a last-minute trade deal will mean no change.
He said: “Time is running out to make final preparations for Brexit Day on January 1, when the new rules will come into force.
“Companies across all sectors need to think about the broader impact of trading with the EU and beyond.
“Although the government has put in place some measures to ease the short-term risks of disruption, it’s vital that businesses grasp the nettle now and deal with the longer-term consequences too.”
He said understanding new VAT and customs procedures was the most pressing concern, but other issues should be addressed in the longer term, including the logistics of moving goods around efficiently, and strategic decisions about where and how to invest.
“It’s also important not to lose sight of Brexit’s impact on employees and data protection,” he added.
“From what we are seeing and hearing, it is clear that not everyone fully understands the extent of the changes, or what they will mean for their business.
“They urgently need to review their position so they are ready for the transition. Everyone will be affected by Brexit in some way.”
International Tax expert Adrian (pictured) said companies which import and export will feel the impact particularly acutely.
“For them, there are many aspects to consider, such as whether export licences are required, their funding options to assist with import costs, the duty exposure they will face on imports and exports, and to assess whether they have a requirement for VAT registration within the EU,” he said.
Manchester Accountants HURST has been supporting its clients with advice on tax, accounting, VAT and duty matters concerning Brexit, and has issued a guide to assist companies in association with its partner The Customs People.
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