Our client is a dairy food broker. Post-brexit their costs of transiting products through their UK warehousing facilities have spiralled. As an example, who knew that costs of a (tested, accredited, certified) tinned milk product imported into the UK from Germany would nearly double because each tin now needs to be examined by a Vet before it can be sold! Because a significant amount of B to B turnover is EU sales for EU sourced products we now need to set up an EU trading company. For various reasons we are considering Luxembourg, Ireland and The Netherlands. It's relatively straightforwad to budget for set-up and running costs, but our main fear is the current and longer term tax consequences on the Group's profits. We would like the new business to be a subsidiary controlled out of the UK yet granting a trading licence (with variable charges) may be the safest option. Any views? Has anyone Been there, Done that, - yet?
10th May 2021
Post-brexit, in which EU country should we open?
We trade across the EU/UK. Brexit has added >40% to our costs. Where's best to open a subsidiary?
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