Insurance Premium Tax increased to 10%
Just a reminder that Insurance Premium Tax (IPT) increased from 9.5% to 10% as of 1 October 2016. Any premium paid after this date will need to reflect the same.
Although the last increase only took effect in November 2015, George Osborne announced in his March 2016 Budget that the standard rate of IPT would be increasing again by 0.5%, bringing the rate up to 10%.
According to ATE insurers LAMP this increase will take effect from 1 October 2016 so it’s time to notify opponents of this fact where Bills are still in the process of being assessed or agreed.
As it is only 0.5% the Bill can either be amended in advance of any hearing or on the day.