Insurance tax increase again

[unclebulgaria67]

In the latest statement, Philip Hammond announced increase in Insurance premium tax to 12.5% from June 2017. Given that Insurers also like to include other premium increases, people are likely to see average increases on Insurances of 20% or more.

 

With average Car Insurance premiums now £700, i could see this rising by at least another £100. Then add on increases to other Insurances bought by households and you could see an extra £300 to £400 in annual budget taken by Insurances.

 

Because VAT is 20% currently. Philip Hammond used this as a reason to justify increasing Insurance Premium Tax, suggesting that people were already getting a discounted tax rate. I am not sure people will see it in the same way.

 

Is buying Insurance the same as buying any other consumer product ? Given that Car Insurance is a legal requirement and not optional, i would argue that tax should not be paid on the compulsory third party liability element of the policy.

[Tawnyowl]

The Chancellor's decision to increase Insurance Premium Tax marks a spiteful attack on prudence .

This will hurt the J.A.M.S,I had never heard that till this week.

Those Just About Managing,it stands for.

Something like that.

 

How much more can the people take from the powers that be.

Cuts,increases,what next.

Are we sure they are in politics to try to help people.

Do we enjoy being battered year on year by our masters.

Thought we elected them to act on our behalf.Yes carry on,more cuts please and keep feeding the powerful ones.

I have a little skin left,not quite down to the bone yet.

Democratic decisions voted on by local people and councils then overturned by the powerful ones.

You what you cannot write this stuff,it is hard to believe.

We do not mind.

Or deep down do we enjoy this punishment from the powerful ones who smile as they dish out the punishment.

I blame the Bankers,the Russians and everyone else in the square mile of corruption.

Drain The Swamp not fill it.

Better go as i am sure as usual this post makes no sense.

 

Just wait till next year.I was just going to tell you what is going to happen when my Crystal Ball rolled off the table and smashed on the floor.Oh Dear

 

Read more: http://www.thisismoney.co.uk/money/comment/article-3973880/JEFF-PRESTRIDGE-Chancellor-s-decision-increase-Insurance-Premium-Tax-marks-spiteful-attack-prudence.html#ixzz4RDSLJBET

[Tawnyowl]

Well this will seem to raise over 600 million for the government,a nice little earner.

But as someone just said.

What's the point of me being prudent when for every pound of debt I pay off the government is taking on three in my name. What I want is a chancellor who can keep his (or her) grubby little hands out of my pocket.

Yes keep your thieving hands out of peoples pockets.

Ask the bankers or those high living tax avoiders for it.

 

Mr Tax Avoider where did all your money come from.You clearly are making much more than you are declaring.

Tax avoider,i won it in one hell of a game of Poker.As simple as that to avoid.

Oh dear,job done.

IPT = Stealth Tax.

[Mr.P]

Is buying Insurance the same as buying any other consumer product ? Given that Car Insurance is a legal requirement and not optional, i would argue that tax should not be paid on the compulsory third party liability element of the policy.

 

Indeed, motorcycle helmets are a legal requirement when riding on a public road and are zero rated. Compulsory insurance should also attract the same status.

 

For more information: https://www.gov.uk/government/publications/vat-notice-70123-protective-equipment/vat-notice-70123-protective-equipment

[Tawnyowl]

I seem to have got carried away slightly on my last post i do apologise.

Hard to take these increases that are given with a smile on their faces as they hit the consumer over and over.

Got slightly roused to put it mildly.

Just been looking for more info on who this affects and how.

 

Huw Evans, director general of the Association of British Insurers (ABI), said: "Yet another increase in insurance premium tax is a hammer blow for the hard-pressed.

"It will hit consumers and businesses alike, hurting those who buy business, motor, property, pet and health insurance. It marks a doubling of insurance premium tax since last year, and to claim a consultation on whiplash reforms which hasn't even gone before Parliament yet will offset this just won't cut it."

The link where i read this.

Fresh increase for insurance premium tax 'outrageous'

http://money.aol.co.uk/2016/11/23/fresh-increase-for-insurance-premium-tax-outrageous/