In its response to the consultation examining the establishment of freeports in the UK, the Northern Ireland tax Committee stated the importance of ensuring that the customs rules set out in the Protocol on Ireland/Northern Ireland will apply for goods moving onwards to the Republic of Ireland and vice versa once goods leave a freeport.

The Committee also made a number of other recommendations in the area of tax and freeports including:-

• recommendations that any employer NICs incentives for Freeports should go beyond the incentives currently in place in the UK
• enhanced capital allowances could be offered akin to those currently available within UK Enterprise Zones;
• the annual investment allowance (“AIA”) limit could be higher than that available to other UK businesses
• a higher rate of relief (say 10 per cent) could be made available for new structures and buildings (currently 3 per cent); and
• the business premises renovation allowance scheme could be re-introduced.

The response to this consultation is set out in full on here