We have now entered the Brexit Transition Period. On the 31st January 2020 the UK left the European Union. So the saga continues for another while yet well until at least the 31st December 2020.
Not much will change really during this transition period but will give both the UK and the EU time to decide what the future relationship will look like. The most important item on the agenda being a new Free Trade Agreement along with law enforcement/data sharing & security/aviation standards & safety/access to fishing waters/supplies of electricity & gas and licensing & regulation of medicines.
Companies in the UK are looking of course to the green isle as a post-Brexit European base and why not, 12.5% corporate tax rate, common language, time zone, comparable legal system, culture, skilled workforce and of course an easy system to administer a Limited Company. This gives Ireland a significant edge for UK based multinationals. The sectors that are under pressure to set up their Entities in Ireland continue to be tech, energy, property, pharma, life sciences, financial services and food & beverage.
A non-resident bond will have to be set up after the transition period if an Irish Company does not have at least one company director who is resident in the EEA, currently it is not compulsory to take out a section 137 bond until 31.12.2020. The Bond acts like an insurance policy to cover the government for unpaid taxes or fines if the company leaves the jurisdiction and covers a period of 2 years.
If you are one of such UK companies looking at setting up here please click HERE, we will be happy to help.