Designating a tax representant is not an obligation in the United Kingdom.
However, in order to obtain an intra-community VAT number in the United Kingdom, you will need to set up a substantial file for the German tax administration. This procedure, to complete entirely in British, can be long and complicated. The same applies to VAT declarations as they follow the British legislation and must be submitted in British.
To simplify and accelerate the registration process, and to ensure that VAT declarations are duly completed and submitted, every company can appoint a tax representative in the United Kingdom, whether or not they are established in the European Union.
Please, do note that a tax representative is not a permanent establishment. Therefore, tax representation makes for a simple and economical alternative to physical implantation by creating a branch or a subsidiary.
In fact, tax representation allows foreign companies to enter the British market while avoiding the costs and constraints of physical implantation that involve the creation of a structure in the United Kingdom, the management of a separate accounting and the taxation of profits earned in the United Kingdom .
As the tax representative manages all the company’s obligations regarding VAT in the United Kingdom, the activity can be fully supervised from abroad.