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Fiscal representation after Brexit

With Brexit on the horizon, as a UK business it’s important you check whether you will now require fiscal representation in the EU countries where you’re VAT registered.

What is a fiscal representative?

Last updated: 13 October 2020

Currently, UK businesses trading in other EU countries are not required to appoint a fiscal representative to assist with managing their VAT registrations. However, when the UK leaves the EU on 31 December 2020, this will no longer be the case and many UK businesses will have an obligation to appoint a fiscal representative to carry on trading in lots of EU countries.

What is a fiscal representative?

A fiscal representative is a local entity that represents foreign traders for VAT purposes, usually in countries where the traders must VAT register but cannot do so by themselves. This is particularly relevant where goods exported by foreign traders are imported into foreign countries, as this usually gives the trader an immediate obligation to VAT register and account for VAT on their transactions.

About the authors

Socrates Socratous

+44 (0)20 8037 3113
socratouss@buzzacott.co.uk
LinkedIn

Darren Aldrich

+44 (0)20 7556 1301
aldrichd@buzzacott.co.uk

Last updated: 13 October 2020

What is a fiscal representative?

Which countries require a fiscal representative?

A fiscal representative is currently a requirement for non-EU businesses trading in some EU countries. The table below outlines which countries require a fiscal representative. As UK businesses will be considered non-EU businesses from 1 January 2021, this table will likely apply to them from this date.

Country	Required
Austria	Yes
Belgium	Yes
Bulgaria	Yes
Croatia	Yes
Cyprus	Yes
Czech Republic	No
Denmark	Yes
Estonia	Optional
Finland	Yes
France	Yes
Germany	Optional
Greece	Yes
Hungary	Yes
Ireland	No
Italy	Yes
Latvia	Optional
Lithuania	Yes
Luxembourg	Optional
Malta	Optional
Netherlands	Optional
Poland	Yes
Portugal	Yes
Romania	Yes
Slovakia	No
Slovenia	Yes
Spain	Yes
Sweden	Yes

How can we help?

With Brexit fast approaching, we encourage UK businesses to review their VAT registrations in all other EU countries and take steps to engage a fiscal representative where required. If you’re not sure whether you require a fiscal representative, please get in touch and a member of our team will assist you with any changes required.