A MIND-BOGGLING amount of customs requirements, as well as possible VAT implications, face horse owners moving or trading horses to and from Britain post-Brexit. Horses, it was clarified, are classified as ‘goods’ in terms of customs and VAT.

Some of the main issues from a huge array of points were outlined in “a whistlestop tour” by Celine O’Neill of the Customs Division, Revenue and Humphrey O’Sullivan, assistant principal officer, indirect taxes policy and legislation division, at Tuesday’s night’s Teagasc webinar.

Irish horse owners or hauliers trading with Britain will need both an EORI and an MRN (Master Reference Number). When it comes to customs declarations, agents are commonly used but in any case, people need a Commodity Code (a 10-digit number) for declarations.

Horses coming in on via ro-ro ferries need a pre-boarding notification (PBN) which can be done electronically using the MRN or if using an ATA Carnet, people need to contact Revenue in advance.

“If a horse is going to GB for a race for example and coming back, temporary admission allows you to bring horses temporarily into the EU without paying VAT or import duties. Horses can move under an ATA Carnet,” said O’Neill.

An ATA Carnet is an internationally recognised declaration covering both EU and non-EU requirements which is valid for one year and can be used for multiple trips back and forth. Dublin Chamber of Commerce is the authorising body in Ireland. It is paper-based. People can apply on www.e-Ata.ie. and more information is available by emailing: richard@dublinchamber.ie.

Avoid landbridge

O’Neill advised: “Horses moving through GB and going to an end destination – if preferable, don’t use this route. On a direct ferry route from Ireland to mainland Europe - there are no customs at all – as it is EU to EU country. If going through GB and going onto EU country, it must go under the customs procedure.”

The electronic system NCTS (New Computerised Transit System) is in use and there are six methods for valuation of goods with the one most appropriate for horses being the Transaction Value of Similar Goods.

O’Sullivan explained that the principles of normal export of goods equally applies to horses. “VAT applied here is an EU tax applied across all EU states. The non-EU countries are third countries for the purpose of VAT. The rules relating to import/export of goods have not changed, those rules still apply but you have to provide evidence of goods being despatched to a third country.”

If a person is not registered for VAT, there will be no issues from the Irish side but there are from the British side, he outlined.

When a good is imported into GB, any VAT paid on import by a VAT registered person can be reclaimed by that person. If selling horses to an person not VAT registered, that person has to suffer the VAT costs.

Acknowledging that the area of customs and VAT is not easy at the best of times, the officials stressed they are there to help people negotiate their way through the requirements.

Aware that obtaining a UK-based customs agent is a “pinch point”, the officials also advised that ATA Carnets don’t require an agent and grants are still available for training.

Email: brexitqueries@revenue.ie and website: www.revenue.ie/brexit.