Brexit

 


The Government have been heavily defeated on a cross-party amendment to the EU (Withdrawal) Bill calling for them to explore a customs union with the EU, during report stage in the House of Lords.

Eighteen peers took part in a debate on a motion to take note of the future of United Kingdom trade and customs policy in the light of two recent white papers (Preparing for our future UK trade policy (Cm 9470) and Customs Bill: legislating for the UK’s future customs (Cm 9502)).

In the 15 months since the referendum on the UK’s membership of the EU, it seems that not a day goes by without articles, webexes or seminars discussing the implications of our forthcoming departure, or the sight or sound of politicians and civil servants of some shape or variety drawing often contradictory red lines.

The Chartered Institute of Taxation (CIOT) has urged the Government to act swiftly to turn the proposals in its new paper for a future customs relationship with the EU into agreed measures that will give businesses a long lead-in period before Brexit.

So, in two years time the bell will toll, the ‘Great Repeal Bill’ will take effect and the UK will leave the European Union. What will this mean for our tax system?

Yesterday’s vote in favour of leaving the European Union has significant implications for tax professionals.