IPT Compliance Burden
When it comes to IPT across the EU and beyond, the reporting obligations can be a burden - insurance companies and captives providing multi-jurisdictional risk cover often face the requirement to register for, collect and pay over European or international IPT in each tax jurisdiction they are operating in.
With limited and conflicting information available on the requirements of the various tax authorities, EU and global IPT can be truly daunting, and a big distraction from successful business. IPT liabilities can be complex and time-consuming; add in language and business cultural barriers, and the obstacles can appear insurmountable.
The accurate calculation of insurance taxes
Alongside the considerations of compliance, there are the challenges of accurately calculating the taxes due on multi-national insurance contracts.
There are numerous taxes that apply to insurance: IPT, VAT, GST, withholding tax, stamp duties and parafiscal charges. Around the world there are over 200 different types of tax that can apply. With different tax rates for different insurance risks, keeping track of these taxes is an enormous task.
To complicate matters further, tax calculation methodologies can be very involved, and many factors have to be taken into consideration to arrive at the correct result.
How TMF can help
Dealing with the compliance burden
Operating through TMF Group’s 36 European offices, we are the largest and longest established independent provider of IPT fiscal representative services.
We are the largest independent provider of IPT compliance services, and can help keep you compliant with all the numerous local requirements.
With professionals on the ground in regular, direct contact with the local tax authorities, we are on top of changes as they happen. This also means we can provide the best practical solutions to local issues for our clients.
Tax calculations with IPT Quote
Developed in conjunction with the London market, IPT Quote is a truly global tax calculation tool. The system holds in excess of 30,000 tax rates, covering all major lines of business across every taxing jurisdiction on the planet.
Designed to be able to handle today’s most extensive multi-national insurance contracts, the system can meet the requirements of major brokers and insurers alike. Whether you need to simply check a tax rate or to create the tax schedule for a ‘vertically placed’ co-insurance programme with 100+ risk locations and 10+ contributing insurers, IPT Quote can do the job.
Find out more about how TMF can help with meeting IPT compliance obligations and calculating taxes quickly and accurately across Europe and beyond by visiting TMF Group’s dedicated IPT page.