View more on these topics

Sale of Alico to Metlife may be delayed due to tax dispute

The £9.5bn sale of AIG-owned Alico to Metlife may be delayed due to a tax dispute, according to reports.

The Wall Street Journal reports that the deal is expected to be pushed back due to a tax dispute which the Internal Revenue Service may need to make a ruling on.

The dispute is over whether or not Alico can remain exempt from a ruling which demands that US insurers withold US taxes on income paid out to foreign clients with annuity and life insurance products.

Alico has operations in 50 countries worldwide and most of its business comes from overseas clients, so it has considered itself to be exempt from the tax ruling, but the IRS has refused to confirm whether this is correct.

The US Government has refused to provide assurances that Metlife would not be hit with a huge tax liability if it took on Alico’s business.

If an IRS ruling were to find that Alico was liable to withold the US taxes from foreign clients, this could severely curtail Alico’s ability to do business overseas.


Moneygate cools on A2O deal as other firms move in

Moneygate chief executive Lee Hartley says a deal for network Alpha to Omega is unlikely as a number of other firms are now believed to be interested in the business. Moneygate tabled a third offer for the business last week but says that it has heard nothing back on the deal as Money Marketing went […]

CML predicts a “bulge” in repossessions

The Council of Mortgage Lenders predicts a “bulge” in repossessions in the coming years, increasing from 46,000 to 53,000 this year, according to their fortnightly newsletter.


News and expert analysis straight to your inbox

Sign up


    Leave a comment