Is your SAP configuration ready for Brexit?

17.12.2020

The European Commission has published a new Regulation that sets two new different nomenclature codes to identify the UK territory: XU for the UK excluding Northern Ireland and XI for Northern Ireland. According to the communication from the Finnish Customs, GB code will be used for Great Britain and XI will be reserved for Northern Ireland. XI code is to be used in Intrastat reporting and GB code in the customs declarations. Contrary to previous information, the code XU will not be used in customs declarations.

SAP has published a guidance to clarify the use of XI code. REGION settings will play a central role in identifying whether a transaction refers to Northern Ireland. The XI VAT registration numbers will be stored separately from other VAT identification numbers. This requires changes to vendor, customer, business partner master data and all organisational units (such as company code, plant, sales organization, purchasing organisation) within the Northern Ireland region. 

It is also important to ensure the deactivation of EU-flag for the UK in country settings. SAP might update and clarify technical guidelines later.