In case you are not aware yet, the 31st December 2020 is the end of the BREXIT transition period and the United Kingdom will no longer be part of the EU. However, in spite of this, INTRASTAT – the declaration of movements of goods between countries within the EU – will still be compulsory when the £1.5m threshold is exceeded. Below is a table showing the various possible scenarios for movements between the UK and the EU during 2021:
|MOVEMENT OF GOODS||UK INTRASTAT|
|Import into the UK from an EU country||Yes, during 2021|
|Import into Northern Ireland from an EU country||Yes, until expiration of the Northern Ireland protocol (2025)|
|Export from the UK to Northern Ireland||No|
|Export from Northern Ireland to an EU country||Yes, until expiration of the Northern Ireland protocol (2025)|
|Export from the UK to an EU country||No|
Therefore, from 1st January 2021, companies exporting goods from the UK to an EU country will no longer have to file INTRASTAT dispatches declarations. However, companies importing goods into the UK do have to file INTRASTAT arrivals declarations. This is because the HMRC has continued to require the declaration of entries of goods from the EU in order to keep import transactions under control. This measure follows from the possibility for importers to defer payment of customs duties between 1st January and 30th June 2021. The purpose of INTRASTAT will therefore be to control and identify import operations in the United Kingdom.
In any case, if you have any doubts about whether you are required to make the INTRASTAT declaration of goods movement, do not hesitate to contact one of our VATONTIME team experts.