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Written question asked by Dan Jarvis (Labour) on Wednesday, 8 March 2017, in the House of Commons. It was due for an answer on Monday, 13 March 2017 (named day). It was answered by Jane Ellison (Conservative) on Monday, 13 March 2017 on behalf of the Treasury.


Insurance Premium Tax: Charities

Question

To ask Mr Chancellor of the Exchequer, whether he has considered setting a special rate of insurance premium tax for charitable organisations.

Answer

Insurance Premium Tax (IPT) is a tax on the insurer, and there is no obligation to pass the increase on to the customer.

All tax policy is kept under review, however, it would be challenging to implement an exemption for insurance purchased by any specific group. Any such legislation would be very difficult for insurers to implement since this would require them to differentiate between customers who were buying the same type of insurance products.

Charities are a vital part of our society and the Government continues to support them and their donors, including through tax reliefs worth over £5 billion in 2015-16.


Secondary information

Type
Written question
Reference
67024
Session
2016-17
Subjects
Charities Insurance premium tax
Link
View this Written question on www.parliament.uk