Understanding between Great Britain and European Union has been reached

On 24 December 2020 they have reached an understanding as regards an agreement on trade and cooperation between the European Union and Great Britain. The agreement requires confirmation in accordance with the procedures both by the European Union and Great Britain, nevertheless from January 2021 to February 2021 they have introduced a transitional period during which the provisions of the understanding will apply temporarily.

It does not impact the fact that in spite of concluding the understanding binding from January 2021 taxpayers will face big changes. As we can read in the announcement published by the Ministry of Economic Development, Labour and Technology, “ the conclusion of the agreement means that when it comes to business transactions no customs duties nor quantity limits will apply. However, Great Britain will leave the uniform market and the customs union of the European Union.”

Therefore, trade between the European Union and Great Britain will be settled on the basis of the rules applying to trade with third countries, which means settlements of import/export. These are completely different rules of trade than the ones binding within the Union. These are just some of the changes that await entrepreneurs in connection with Brexit, the rules for a trade exchange and other issues provided for in the understanding require a detailed analysis.