Anyone got an audit trail as to how this has risen by year?
I've just got a quote and it says the quote includes IPT at 17.5%?
WTF? I'm sure when it was introduced it was at the rate of 5%?
Insurance Premium Tax?
Apr 20, 2008
8 Replies
There are two rates, 5% and 17.5% - the higher rate applies to
It applies to insurance sales in three trading sectors where insurance is sold in relation to goods and services which are subject to VAT:
- sales of motor cars, light vans or motor cycles * sales of electrical or mechanical domestic appliances * sales of travel insurance.
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It was, but IIRC HMG got into trouble trying to apply 17.5% VAT on insurance that was bundled with the purchase of something else and 5% on stand alone insurance, so they made then the same percentage.
tim
It depends on the type of contract. The standard rate *is* 5%, as you say, but for vehicles and domestic and electrical appliances and travel insurance the rate is 17.5%.
This *might* help you. Good luck!
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Sorry, meant to post the link in the first place. Doh!
Yes New Labour call it a premium tax when you are *prudent* enough to want to protect your property. Demanding a cut used to be called a protection racket.
Toom
Now, now, nanny knows best. Go and sit on the naughty step. Gordie and his Darling need your money far more than you do.
But it's not a cut, it's an increase.
Playing with words, huh!
Rob Graham
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