In the UK, in the absence of a proper contract or EU directive, the payment of interest and royalties from the UK would be subject to a 20% withholding tax, meaning that beneficiaries will be able to seek compensation through “extrapolation clauses” in legal agreements. As far as dividends are concerned, UK companies are normally exempt from corporation tax, so any withholding tax would be an absolute cost. Conversely, this should not be a problem for EU beneficiaries for the payment of dividends by UK companies, given that the UK does not receive withholding tax on dividends. Unlike VAT, corporate tax, income tax and capital gains tax are UK taxes, but that doesn`t mean Brexit won`t have significant consequences. In recent years, the UK`s direct taxes have been reshaped and reorganised following successful challenges before the ECJ, on the grounds that UK tax legislation had violated one of the four fundamental freedoms enshrined in the Treaty on European Union: freedom of establishment, free movement of capital, free movement of workers and free movement of goods. . . .