No-Deal Brexit Means EU Tax Directives No Longer Apply to the UK

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BREXIT: EU tax directives no longer apply to UK after no-deal exit

The European Commission has recently issued a notice asserting that the EU regulations on direct taxation will no longer apply to the UK when it becomes a third country next month on November 1st; unless there is a withdrawal agreement fixing a transition period.

In particular, Directive 2011/16/EU and Directive 2010/24/EU will no longer apply so that EU Member States will not have to provide or receive tax cooperation or information, or assist the UK recover claims, at least on the basis of EU law.

Bilateral double taxation agreements between the UK and other EU Member States will not, however, be affected. In principle, Directive (EU) 2016/1164 and Directive (EU) 2017/952 (ATAD and ATAD-2) will also be suspended, although both the UK and EU are committed to their anti-avoidance measures through the OECD