View more on these topics

SLI disappointed with POAT regulations

Scottish Life International does not support the proposed changes to pre-owned assets tax regulations, as announced by Dawn Primarolos ministerial statement last week.

The life office believes the proposals discriminate against trust arrangements using life assurance policies as the underlying investment.

SLI technical manager Gerry Brown says: Where the trust asset is a house, the legislation will require tax to be charged on the open market rental value each year.”

“However that rental value need only be established every five years and will not be increased between valuations to reflect house price inflation, currently in excess of 10 per cent annually. In contrast a life policy is revalued every year and tax paid on 5 per cent of the value.”

“In most trust arrangements using life policies, the individual establishing the trust has no right to receive payments from the trustees but must rely on the trustees discretion.

Recommended

Online fund listings take advantage of new rules

A joint initiative between Financial Express and the IMA to provide free online fund listings is ready to take advantage of new FSA rules From April fund prices no longer require publication in a national newspaper and a free service – an online fund listings – will be available at www.fundlistings.com and through the new […]

The Woolwich confident housing market will pick-up in the spring

Housing market is set to bloom in the spring according to The Woolwich.With the Bank of England freezing interest rates for another month, The Woolwich index shown 45 per cent of homeowners believe their property will continue to increase in value compared to 40 per cent in January.While still lower than the three-year average for […]

Independent view – Peter Hargreaves

I have noted with interest the antics of some of the more struggling fund supermarkets. I am reliably informed that each quarter, one particular fund supermarket claims astronomic figures but no one can work out why they do not ever seem to get very far ahead.

Directors, limited liability partners and auto-enrolment

By Jim Grant, Senior Product Insight & Technical Support Analyst 6 April 2016 brought in changes to employer duties for directors and partners in limited liability partnerships. Here we explain exactly what’s changed. Before 6 April 2016… Directors of limited liability companies where there were no other directors or employees were exempt from the employer […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment