Part V Other Taxes
Insurance premium tax
147 Taxable intermediaries.
1
Section 52A of the M1Finance Act 1994 (certain fees to be treated as premiums under higher rate contracts) shall be amended as follows.
2
In subsection (5) (which defines a “taxable intermediary" as a person falling within subsection (6) of that section etc) after “subsection (6)" there shall be inserted “
or (6A)
”
.
3
For subsections (6) and (7) there shall be substituted—
6
A person falls within this subsection if the higher rate contract mentioned in subsection (1) above falls within paragraph 2 or 3 of Schedule 6A to this Act (motor cars or motor cycles, or relevant goods) and the person is—
a
within the meaning of the paragraph in question, a supplier of motor cars or motor cycles or, as the case may be, of relevant goods; or
b
a person connected with a person falling within paragraph (a) above; or
c
a person who in the course of his business pays—
i
the whole or any part of the premium received under that contract, or
ii
a fee connected with the arranging of that contract,
to a person falling within paragraph (a) or (b) above.
6A
A person falls within this subsection if the higher rate contract mentioned in subsection (1) above falls within paragraph 4 of Schedule 6A to this Act (travel insurance) and the person is—
a
the insurer under that contract; or
b
a person through whom that contract is arranged in the course of his business; or
c
a person connected with the insurer under that contract; or
d
a person connected with a person falling within paragraph (b) above; or
e
a person who in the course of his business pays—
i
the whole or any part of the premium received under that contract, or
ii
a fee connected with the arranging of that contract,
to a person falling within any of paragraphs (a) to (d) above.
4
In subsection (9) (definitions) the definition of “tour operator" and “travel agent" shall be omitted.
5
The amendments made by this section have effect in relation to payments in respect of fees charged on or after 1st August 1998.