Whether you are importing or exporting, there are important VAT and duty rules and procedures. These depend on whether you are dealing with a customer or supplier in another European Union (EU) country, or with the rest of the world.
Exporting can boost your turnover and reduce your dependence on UK-based customers. But moving into selling overseas is a big step – it’s important you consider whether your business is ready for the challenge.As well as identifying promising export markets, you’ll need to plan how to cope with issues such as extra legal complications, organising transport and making sure you get paid.
Exporting offers the prospect of new markets, more sales, better profits and a greater spread of customers. A clear strategy makes it much more likely you will succeed.
Your export strategy should be based on an assessment of your own position and research into promising opportunities. You will need to think about how to reach new customers and finance your exports, as well as making sure you understand legal and tax issues.
If your business is a company, you need to submit corporation tax returns and pay corporation tax on your profits.Although you are likely to use accountants to prepare your returns and calculate your tax liability, you cannot afford to ignore corporation tax until the year end. The way you finance and manage your business can have a significant impact on the final bill.