Brexit has given us all plenty to think about. Uncertainty is the order of the day – with negotiations ongoing and the deadline getting closer, many of you might wonder how Phoenix will continue to provide you with great deals post-Brexit, especially when it comes to VAT Margin stock.
Fortunately, our Finance team at Phoenix have been working hard to make sure we can help you through this uncertainty with the minimum of fuss.
The VAT Margin scheme is an EU initiative and the rules after Brexit will be simple:
- UK VAT Margin stock can only be sold as VAT Margin stock in the UK
- EU VAT Margin stock can only be sold as VAT Margin stock in the EU
If you get this wrong, you could be liable for a hefty VAT bill. However, we’re here to help you get this right, and we have the ideal solution for all our customers.
We’ve got you covered…
As part of our global strategy, we have established an EU company – Phoenix Cellular Europe BV – that is busily sourcing EU VAT Margin stock for our EU customers. Of course, we are continuing to source VAT Margin stock for our UK customers too, so no matter where you are based, we will continue to provide you with the stock you need.
There is also good news on Reverse VAT (or ‘Standard VAT’) stock. For our EU customers we will provide this through our EU company too, so you don’t have to worry about paying or accounting for import VAT – we’ve got that covered. For our UK customers, nothing changes – the UK-specific Reverse VAT scheme will continue to be used where applicable.
There are a few simple steps you need to take so that we can make this work for you, and to avoid any potential delays:
- Make sure you have an account set up with the correct Phoenix company, and that you have signed the relevant Terms and Conditions agreement (new T&Cs for our EU company will be sent to existing customers shortly)
- Make sure you’re receiving the correct stock lists for your territory
- Be ready to change bank details
You can do all of this through your regular contact or with the help of the Phoenix Finance team and once it’s done, everything will operate as is does now – place your orders with your regular Phoenix contact and we will sort the rest.
It’s as simple as that!