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18th of May 2012

Autumn Statement: higher IPT and insurance forum

Vicky Beckett 29/11/2011

An Insurers’ Infrastructure Investment Forum is going to be established and IPT is set to rise in Britain.
 
Today the British Chancellor of the Exchequer, George Osborne, released his long-awaited Autumn Budget Statement today at 12.30pm.
 
He announced the government will set up an Insurers’ Infrastructure Investment Forum with the Association of British Insurers.
 
The forum will explore ways to ensure capital markets continue to provide an efficient and attractive source of debt finance for infrastructure projects.
 
The statement said: “This will include addressing the impact of potential regulatory changes in the insurance sector.”
 
The government’s insurance premium tax (IPT) intake is currently at £2.5bn, Osborne forecasts it to rise to £3.2bn by 2016-17.
 
Following the UK controlled foreign company (CFC) rules consultation carried out over summer 2011, the Government will publish on 6 December 2011 further details of the patent box and of its reform of the CFC rules and research and development tax credits.
 
Ian Woodruff, Grant Thornton director of tax, previously predicted that claims equalisation reverses (CERs) may be abolished for UK companies which would lead to UK-owned captives may need higher reserves due to more volatile tax rates.

Tags: Autumn budget statement, CFC rules, George Obsorne, Insurers’ Infrastructure Investment Forum, IPT, UK

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