Tax Alert: France – IPT Applicable on Death Cover of Payment Protection Insurance

Sovos
January 3, 2019

Death cover of Payment Protection Insurance will be subject to 9% Insurance Premium Tax (IPT) for contracts issued on or after 01 January 2019. Previously such covers were subject to an IPT exemption. The change has been approved by the French Parliament as part of the 2019 Budget Law voted just before Christmas.

The change will not affect PPI contracts issued before 01 January 2019. For such contracts, IPT exemption on the death cover will remain applicable on all renewals.

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Sovos

Sovos is a global provider of tax, compliance and trust solutions and services that enable businesses to navigate an increasingly regulated world with true confidence. Purpose-built for always-on compliance capabilities, our scalable IT-driven solutions meet the demands of an evolving and complex global regulatory landscape. Sovos’ cloud-based software platform provides an unparalleled level of integration with business applications and government compliance processes. More than 100,000 customers in 100+ countries – including half the Fortune 500 – trust Sovos for their compliance needs. Sovos annually processes more than three billion transactions across 19,000 global tax jurisdictions. Bolstered by a robust partner program more than 400 strong, Sovos brings to bear an unrivaled global network for companies across industries and geographies. Founded in 1979, Sovos has operations across the Americas and Europe, and is owned by Hg and TA Associates.
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