4 August 2014

HMRC is currently auditing FoS insurers that write taxable insurance business into the UK. Prior to the audit the insurer is presented with a detailed questionnaire to complete.

The questions relate to:
  • Corporate governance
  • IPT compliance including the business written, tax points, liability and apportionment
  • The sales process including administration fees charged by third parties
  • Systems and processes
  • Miscellaneous questions around lines of business, such as surety and travel policies

To give an insight into the questionnaire here are three examples of the corporate governance questions:
  1. Is there a business owner who has day to day responsibility for IPT?
  2. Is there a business risk register?
  3. Is there any documentation that describes how IPT is processed and managed?

FiscalReps is assisting our clients to be IPT compliant before and during the audits by offering services such as an external audit and healthchecks.