As a result of Brexit, from 1 January 2021, European Union (EU) businesses which are not VAT registered or established in the United Kingdom (UK) will need to submit value-added tax (VAT) refund claims in the same way as non-EU businesses to reclaim UK VAT incurred for business purposes in the UK (with the exception of VAT incurred on goods in Northern Ireland). The deadline for such claims for the period 1 January 2021 to 30 June 2021 is 31 December 2021. This is particularly significant for EU businesses as it is the first time a claim of this nature will have been submitted in the UK. As the deadline is fast approaching, affected businesses will need to collate the relevant information and documents required to submit the claim as soon as possible.
Non-EU businesses which are not VAT registered or established in the UK will also be subject to the 31 December deadline, but will likely be more familiar with the claim process as the process has not changed for these businesses. These businesses will be able to claim for the period 1 July 2020 to 30 June 2021 where the claim is submitted by 31 December 2021.
Source EY
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