The eco Association has updated its white paper “BREXIT – Challenges for the Domain Industry?”. It now highlights more strongly BREXIT’s legal and taxation consequences for companies. “With the expected hard BREXIT, the legal uncertainties for companies are now greater than ever,” says Egon Schmitz, Certified Tax Advisor at the EGSZ Chambers and one of the authors of the paper.
What impact will BREXIT have for the domain industry’s favorite UK company structure, the Ltd.? “In the future, it will probably no longer be possible to operate this kind of company structure from headquarters in Germany,” according to Schmitz. The European harmonization of the VAT system in the EU is now also no longer binding for Great Britain. Domain registrars may be required to revise their contractual obligations with customers, and new contracts will require a high level of flexibility.
“The courses of action defined by experts in this discussion paper offer practical help to the domain industry to prepare optimally for BREXIT,” says Attorney Thomas Rickert, Leader of the eco Competence Group Names & Numbers. “The goal is to make the impact of BREXIT manageable for companies and customers, and to quickly create legal certainty for all players.”