Search Legislation

Value Added Tax Act 1994

 Help about what version

What Version

 Help about advanced features

Advanced Features

Status:

Point in time view as at 01/09/2006.

Changes to legislation:

There are currently no known outstanding effects for the Value Added Tax Act 1994, Group 2 — Insurance. Help about Changes to Legislation

Close

Changes to Legislation

Revised legislation carried on this site may not be fully up to date. At the current time any known changes or effects made by subsequent legislation have been applied to the text of the legislation you are viewing by the editorial team. Please see ‘Frequently Asked Questions’ for details regarding the timescales for which new effects are identified and recorded on this site.

[F1Group 2 — Insurance]U.K.

Textual Amendments

F1Sch. 9 Pt. 2 Group 2 substituted (19.3.1997 with effect as mentioned in s. 38(2) of the amending Act) by 1997 c. 16, s. 38(1)(2)

[F21U.K.Insurance transactions and reinsurance transactions.]

Textual Amendments

F2Sch. 9 Pt. 2 Group 2 item 1 substituted for Sch. 9 Pt. 2 Group 2 items 1-3 (1.1.2005) by The Value Added Tax (Insurance) Order 2004 (S.I. 2004/3083), arts. 1, 3

F34U.K.The provision by an insurance broker or insurance agent of any of the services of an insurance intermediary in a case in which those services—

(a)are related (whether or not [F4a contract of insurance] [F5or reinsurance] is finally concluded) to [F6an insurance transaction or a reinsurance transaction] ; and

(b)are provided by that broker or agent in the course of his acting in an intermediary capacity.

Textual Amendments

F3Sch. 9 Pt. II Group 2 substituted (19.3.1997 with effect as mentioned in s. 38(2) of the amending Act) by 1997 c. 16, s. 38(1)(2)

F4Words in Sch. 9 Group 2 item 4(a) substituted (1.12.2001) by S.I. 2001/3649, arts. 1, 347(4)

F5Words in in Sch. 9 Pt. 2 Group 2 item 4 inserted (1.1.2005) by The Value Added Tax (Insurance) Order 2004 (S.I. 2004/3083), arts. 1, 4(a)

F6Words in Sch. 9 Pt. 2 Group 2 item 4 substituted (1.1.2005) by The Value Added Tax (Insurance) Order 2004 (S.I. 2004/3083), arts. 1, 4(b)

F7Notes:U.K.

F8(A1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F8(B1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F8(C1). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(1)For the purposes of item 4 services are services of an insurance intermediary if they fall within any of the following paragraphs—

(a)the bringing together, with a view to the insurance or reinsurance of risks, of—

(i)persons who are or may be seeking insurance or reinsurance, and

(ii)persons who provide insurance or reinsurance;

(b)the carrying out of work preparatory to the conclusion of contracts of insurance or reinsurance;

(c)the provision of assistance in the administration and performance of such contracts, including the handling of claims;

(d)the collection of premiums.

(2)For the purposes of item 4 an insurance broker or insurance agent is acting “in an intermediary capacity” wherever he is acting as an intermediary, or one of the intermediaries, between—

(a)a person who provides [F9insurance or reinsurance] , and

(b)a person who is or may be seeking insurance or reinsurance or is an insured person.

(3)Where—

(a)a person (“the supplier”) makes a supply of goods or services to another (“the customer”),

(b)the supply of the goods or services is a taxable supply and is not a zero-rated supply,

(c)a transaction under which insurance is to be or may be arranged for the customer is entered into in connection with the supply of the goods or services,

(d)a supply of services which are related (whether or not a contract of insurance is finally concluded) to the provision of insurance in pursuance of that transaction is made by—

(i)the person by whom the supply of the goods or services is made, or

(ii)a person who is connected with that person and, in connection with the provision of that insurance, deals directly with the customer,

and

(e)the related services do not consist in the handling of claims under the contract for that insurance,

those related services do not fall within item 4 unless the relevant requirements are fulfilled.

(4)For the purposes of Note (3) the relevant requirements are—

(a)that a document containing the statements specified in Note (5) is prepared;

(b)that the matters that must be stated in the document have been disclosed to the customer at or before the time when the transaction mentioned in Note (3)(c) is entered into; and

(c)that there is compliance with all such requirements (if any) as to—

(i)the preparation and form of the document,

(ii)the manner of disclosing to the customer the matters that must be stated in the document, and

(iii)the delivery of a copy of the document to the customer,

as may be set out in a notice that has been published by the Commissioners and has not been withdrawn.

(5)The statements referred to in Note (4) are—

(a)a statement setting out the amount of the premium under any contract of insurance that is to be or may be entered into in pursuance of the transaction in question; and

(b)a statement setting out every amount that the customer is, is to be or has been required to pay, otherwise than by way of such a premium, in connection with that transaction or anything that is to be, may be or has been done in pursuance of that transaction.

(6)For the purposes of Note (3) any question whether a person is connected with another shall be determined in accordance with section 839 of the Taxes Act.

(7)Item 4 does not include—

(a)the supply of any market research, product design, advertising, promotional or similar services; or

(b)the collection, collation and provision of information for use in connection with market research, product design, advertising, promotional or similar activities.

(8)Item 4 does not include the supply of any valuation or inspection services.

(9)Item 4 does not include the supply of any services by loss adjusters, average adjusters, motor assessors, surveyors or other experts except where—

(a)the services consist in the handling of a claim under a contract of insurance or reinsurance;

(b)the person handling the claim is authorised when doing so to act on behalf of the insurer or reinsurer; and

(c)that person’s authority so to act includes written authority to determine whether to accept or reject the claim and, where accepting it in whole or in part, to settle the amount to be paid on the claim.

(10)Item 4 does not include the supply of any services which—

(a)are supplied in pursuance of a contract of insurance or reinsurance or of any arrangements made in connection with such a contract; and

(b)are so supplied either—

(i)instead of the payment of the whole or any part of any indemnity for which the contract provides, or

(ii)for the purpose, in any other manner, of satisfying any claim under that contract, whether in whole or in part.

Textual Amendments

F7Sch. 9 Pt. II group 2 substituted (19.3.1997 with effect as mentioned in s. 38(2) of the amending Act) by 1997 c. 16, s. 38(1)(2)

F8Words in Sch. 9 Pt. 2 Group 2 omitted (1.1.2005) by virtue of The Value Added Tax (Insurance) Order 2004 (S.I. 2004/3083), arts. 1, 5

F9Words in Sch. 9 Pt. 2 Group 2 substituted (1.1.2005) by The Value Added Tax (Insurance) Order 2004 (S.I. 2004/3083), arts. 1, 6

Back to top

Options/Help

Print Options

You have chosen to open The Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open The Whole Act as a PDF

The Whole Act you have selected contains over 200 provisions and might take some time to download.

Would you like to continue?

You have chosen to open the Whole Act

The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

You have chosen to open Schedules only

The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.

Would you like to continue?

Close

Legislation is available in different versions:

Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.

Original (As Enacted or Made): The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.

Point in Time: This becomes available after navigating to view revised legislation as it stood at a certain point in time via Advanced Features > Show Timeline of Changes or via a point in time advanced search.

Close

See additional information alongside the content

Geographical Extent: Indicates the geographical area that this provision applies to. For further information see ‘Frequently Asked Questions’.

Show Timeline of Changes: See how this legislation has or could change over time. Turning this feature on will show extra navigation options to go to these specific points in time. Return to the latest available version by using the controls above in the What Version box.

Close

Opening Options

Different options to open legislation in order to view more content on screen at once

Close

More Resources

Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • correction slips
  • links to related legislation and further information resources
Close

Timeline of Changes

This timeline shows the different points in time where a change occurred. The dates will coincide with the earliest date on which the change (e.g an insertion, a repeal or a substitution) that was applied came into force. The first date in the timeline will usually be the earliest date when the provision came into force. In some cases the first date is 01/02/1991 (or for Northern Ireland legislation 01/01/2006). This date is our basedate. No versions before this date are available. For further information see the Editorial Practice Guide and Glossary under Help.

Close

More Resources

Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:

  • the original print PDF of the as enacted version that was used for the print copy
  • correction slips

Click 'View More' or select 'More Resources' tab for additional information including:

  • lists of changes made by and/or affecting this legislation item
  • confers power and blanket amendment details
  • all formats of all associated documents
  • links to related legislation and further information resources