Holders of protected geographical indications in the EU at the end of the transitional period have the right to use the uk geographical indication without verification and enjoy a “at least equivalent level of protection” as provided for by the existing EU scheme. However, this only applies “until a future agreement between the EU and the UK enters into force and enters into force. On the European Union side, the European Parliament also approved the ratification of the agreement on 29 January 2020 and the Council of the European Union approved the conclusion of the agreement by e-mail on 30 January 2020.  That is why, on 30 January 2020, the European Union also tabled its instrument for ratification of the agreement, concluding the agreement and allowing it to enter into force on the date of the UK`s withdrawal from the EU on 31 January 2020, at 11 .m GMT. The agreement provides for a transitional period that will last until at least 31 December 2020. During this period, the UK will remain in the EU customs union and internal market, and most of the EU legislation will continue to apply to the UK, but the UK will lose the opportunity to participate in EU legislation and the benefits of free trade agreements with third countries. In order for the UK to continue to benefit from these free trade agreements during the transition period, it will need the agreement of the EU and all third countries. In practice, trade in goods and services between the EU and the UK will therefore remain broadly unchanged during the transitional period. The revised agreement has fewer tax obligations than in its previous version.
It states that the parties adhere to the principles of good fiscal governance and the fight against harmful tax practices. However, there is no reference to the Code of Conduct for Corporate Taxation (which was published in the previous version). The political declaration specifies that the contracting parties envisage mutual recognition of the programmes of trusted economic operators, administrative cooperation in customs and VAT and mutual assistance, including the collection of tax and tax debts, and the exchange of information to combat customs fraud and VAT fraud and other illegal activities. The provisions in the Policy Declaration on the Fair Competition, under which future relations must ensure open and fair competition, include the obligation for the parties to comply, at the end of the transition period, with the high common standards in place in the EU and the United Kingdom in areas covered by `relevant tax issues`. There is a specific protocol on Gibraltar, which provides for an agreement between the UK and Spain to cooperate in full transparency of tax issues in order to combat fraud, smuggling and money laundering and to resolve disputes between tax residences. The United Kingdom is also committed to meeting G20 and OECD standards for good financial management, transparency, information exchange and, in particular, economic substance criteria set out by the OECD Forum on Harmful Tax Practices. These provisions expire at the end of the transitional period. At the end of the transitional period, the United Kingdom will lose access to tax directives and will depend on its network of double taxation agreements to determine whether withholding tax is likely to apply to incoming dividends, interest and royalties.
The United Kingdom has already begun renegotiating some contracts and, in cases where there is likely to be a source withholding tax issue, that will be a priority. The UK has launched the formal process of withdrawal negotiations by formally announcing the European Council`s intention to leave the EU.