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OTHER
ANNOUNCEMENTS
14
| Other Announcements
INSURANCE PREMIUM TAX
The standard rate of insurance premium
tax will increase from 9.5% to 10% with
effect from 1 October 2016.
CLAIMS MANAGEMENT
REGULATION
There is to be a tougher regulatory regime
for claims management companies
(CMCs) including by introducing a senior
managers regime, requiring reauthorisation
of all CMCs and transferring supervisory
responsibility from the Ministry of Justice
to the Financial Conduct Authority. The
dates for the transfer will be announced
in due course.
BASIC BANK ACCOUNTS
Nine banks will legally be required to offer
basic bank accounts to help people access
basic banking services. The government
has also committed to publish basic bank
account market share data for the irst time
in autumn 2016.
DISGUISED REMUNERATION
AVOIDANCE SCHEMES
A raft of measures are to be introduced
targeted at employers, companies and
individuals using tax avoidance schemes
that fall within the disguised remuneration
legislation.
The measures will also apply to employers,
companies and individuals that used an
employee beneit trust (EBT) arrangement
prior to 2011 and have yet to settle with
HMRC.
Some of the measures include:
•
inserting an additional targeted
anti-avoidance rule
•
the withdrawal of the relief
on investment returns.
STATE AID MODERNISATION
HMRC is to be given additional powers
to collect information on certain state aids
and share this information with
the European Commission through
a legal gateway. The intended purpose
of this measure is to allow HMRC to collect
additional data to help the UK contribute
towards the monitoring of and compliance
with state aids. This measure will have
effect from 1 July 2016.
Talk to us about
Budget 2016
9.5% 10%
INSURANCE PREMIUM TAX
TO RISE 0.5%