LONDON, June 3, 2010 /PRNewswire/ -- As governments struggle to rebalance their ballooning deficits, tax authorities have been turning their attention to missed revenues from insurance premiums on global programmes. Insurers, brokers and the insured have been getting caught in the crossfire resulting from uncertainties on tax liabilities and responsibilities. The results have been expensive fines and damaged brands.
TMF has now launched a new online service, IPT Quote, which provides the world's first online global premium tax calculation tool. Designed with brokers and carriers, it aims to provide clarity on the entire range of premium taxes.
Tax authorities target insurance premiums
Since the landmark 2001 ECJ Kaverner Case, where foreign tax liabilities were clarified on global programmes, tax authorities have been increasingly auditing levies due to them from insurers writing business abroad. Many tax offices, including Germany, Belgium, South Korea and Canada, have been singling out multinational insurers globally.
The risks for insurers and their clients are substantial in terms of potential penalties and reputational loss.
TMF IPT Quote provides transparency
To help overcome these risks, TMF has launched IPT Quote, the world's first online premium tax calculation tool. It provides brokers, insurers and risk managers simple and clear tax estimates on their insurance programmes in over 160 countries. Including separate regimes for each US, Australian and Canadian state. Insurance taxes covered include: IPT, VAT, GST, Parafiscal Charges, Stamp Duty and Withholding Taxes. This includes differentiating between admitted and not-admitted insurance, as well as clear guidance for all parties on who is responsible for paying and settling the taxes in each jurisdiction.
Richard Asquith, Managing Director of TMF VAT & IPT Services:
"International tax compliance has been a huge headache for years. Uncertainly has led to confusion, fines and damage to the brands of many in the insurance industry. IPT Quote tackles this head on. We have been delighted with the market reaction so far, with many insurers signing-up within days of our launch.
About TMF VAT & IPT Services
TMF VAT & IPT Services provides international indirect tax compliance services. It is part of the TMF Group, which provides global accounting and corporate secretarial services from 87 offices in 67 countries. http://www.tmf-vat.com/insurance-premium-tax.html
Contacts Richard Asquith Managing Director TMF VAT & IPT Services 9 Pellipar House Cloak Lane London EC4 2RU, UK http://www.tmf-vat.com T: +44(0)870-067-8881 firstname.lastname@example.org
SOURCE TMF VAT & IPT Services