With the Brexit, the UK leaves the EU. All of the EU? No, supplies of goods to Northern-Ireland will still have to be reported as intra-Community transactions, also after 1 January 2021.
The EU Commission has published a new Regulation, with an overview of the nomenclature codes to countries and territories for the European statistics on international trade in goods that shall be valid as from 1 January 2021. This includes new codes for Northern-Ireland = XI (still in EU for goods), Rest of the UK = XU (no longer part of EU, not for goods, not for services) and the traditional code for the UK = GB.
Source Eur-Lex
Note from the editors: The ISO codes ‘XI’ and ‘XU’ have been added to distinguish trade in goods between the EU and GB/NI respectively, to satisfy the requirements of the Northern Ireland Protocol of the EU-UK Withdrawal Agreement of October 2019. However, this Regulation does not dictate businesses to use an XU VAT number for trade between EU and GB. It merely has to do with the way how EU Member States have to submit their trade statistics to the EU. There are now three country codes that need to be used by the Member States. When using the the ISO codes, companies should ensure that their tax codes and logic still work correctly, and that transactions are (can be) reported correctly and on-time. Should you have any questions about the set-up of your ERP system, feel free to contact us.
