IPT rates

Basis of Austrian IPT calculation

The basis for the IPT calculation is the total amount of the premium payable by the insured including brokers’ and agents’ commission. The tax does not have to be shown in addition to the premium.

Austrian IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

Austrian IPT rates

Most of insurance premiums are taxed at the default rate of 11%. However, some specific risks are taxed with lower rates:

• Accident: 4%
• Health: 1%

Reinsurance, goods in transit for international cargo and export credit should be exempt from Austrian IPT.

Austrian parafiscal charges

In addition to Austrian IPT, there is also Fire Brigade Charge (FBC) which is due on property and fire premiums. The rate of FBC is 8% and should normally be borne by the insurer. However, it is possible for the insurer to charge half of FBC to the policyholder.

Payments of Austrian IPT/parafiscal charges

Both Austrian IPT and FBC are payable monthly on the 45th day following the reporting period.

Disclaimer: this information was accurate at the time of publishing. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Belgian IPT calculation

The basis for the IPT calculation is the total amount of the premium payable by the insured, which includes commission and collection charges. The tax should be shown in addition to the premium.

Belgian IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

Belgian IPT rates

Most insurance premiums are taxed at the default rate of 9.25%. However, some specific risks are taxed at lower rates:

• Some motor policies, cargo/goods in transit: 1.4%
• Some accident/health policies: 4.4%

Accident at work, commercial marine and aviation, trade credit and reinsurance premiums should be exempt from Belgian IPT.

Belgian parafiscal charges

In addition to Belgian IPT, there are also a number of additional insurance levies and charges that may be due:

• National Institute for Health & Disability (INAMI): rates depend on the risk covered
• Security Fund for Fire and Explosion (SEC): 3%

Settlement of Belgian IPT and parafiscal charges

Both Belgian IPT and most parafiscal charges are payable monthly on the 20th day following the reporting period. It should be possible for insurers to file some INAMI contributions on a quarterly or semestrial basis, while SEC should be filed on an annual basis.

Disclaimer: this information was accurate at the time of publishing. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Bulgarian IPT calculation

The basis for the IPT calculation is the total amount of the premium payable by the insured, which includes commission and collection charges. The tax should be shown in addition to the premium.

Bulgarian IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

Bulgarian IPT rates

Most insurance premiums are taxed at the default rate of 2%. There are currently no other IPT rates applicable. Marine, aviation and reinsurance premiums should be exempt from Bulgarian IPT.

Bulgarian parafiscal charges

There are currently no parafiscal charges applicable in addition to Bulgarian IPT.

Settlement of Bulgarian IPT and parafiscal charges

Bulgarian IPT is payable on a quarterly basis on the 30th day following the reporting period.

Disclaimer: this information was accurate at the time of publishing. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Croatian IPT calculation

The basis for the IPT calculation is the total amount of the premium payable by the insured including brokers’ and agents’ commission. The tax should be shown in addition to the premium.

Croatian IPT liability

The insurer is liable for the tax calculation and payment. Only resident insurers (including local branches of EEA insurers) are subject to IPT.

Croatian IPT rates

In Croatia, IPT applies only on motor premiums. There are two applicable rates:

• Compulsory motor third party liability: 15%
• Motor hull: 10%

Croatian parafiscal charges

In addition to IPT, there is also Fire Brigade Tax (FBT) which is due on property and fire premiums. The rate of FBC is 5% and should normally be borne by the insurer.

Settlement of Croatian IPT and parafiscal charges

Croatian IPT is payable monthly on the 30th day following the reporting period. The monthly IPT return should be submitted on the 15th day following the reporting period. The annual IPT return should be submitted by the end of February.

Croatian FBC is payable on a quarterly basis on the 30th day following the reporting period. The annual FBC return should be submitted by the end of February.

Disclaimer: this information was accurate at the time of publishing. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Cypriot IPT calculation

There is no IPT regime in Cyprus. Instead, there is a Stamp Duty (STP) regime. The basis for the STP calculation is a fixed amount per policy issued or renewed and a fixed amount per premium receipt issued.

Cypriot IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are required to appoint a local fiscal representative.

Cypriot IPT rates

All insurance premiums are taxed at the default STP rate of €2 per policy, but some policies may be taxed at the rate of €1 if the total sum insured does not exceed a specific amount. STP on premium receipts should be due at the rate of €0.07 per receipt, except if the premium does not exceed €4.

Cypriot parafiscal charges

In addition to STP, there is also a premium surcharge due at the rate of 5% to the Motor Insurer’s Fund (MIF) on motor third party liability premiums.

Settlement of Cypriot IPT and parafiscal charges

Cypriot STP is payable monthly on the 10th day following the reporting period, while the premium surcharge due to the MIF is payable on a quarterly basis within two calendar months following the reporting period.

Disclaimer: this information was accurate at the time of publishing. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Danish IPT calculation

The basis for the IPT calculation is the total amount of the insurance premium. The insurance premium includes all consideration paid for the insurance. The tax should be shown in addition to the premium.

Danish IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis can register directly with the tax authorities, but non-EEA insurers are required to appoint a local fiscal representative.

Danish IPT rates

Most insurance premiums are taxed at the default rate of 1.1%. There are currently no other IPT rates applicable.

The main exemptions apply to:

• marine, aviation, transport
• credit and suretyship
• life
• workers’ compensation insurance
• compulsory motor third-party liability 
• reinsurance premiums.

Danish parafiscal charges

In addition to IPT, there are also several additional insurance levies and charges that may be due:

• Flood Damage Levy – due on fire insurance
• Pleasure Craft Insurance Tax – due on pleasure craft hull insurance
• Motor Liability Insurance Tax and Environment Protection Levy – due on compulsory motor third-party liability insurance
• Guarantee Fund for Non-Life Insurance – due on certain private line insurance.

Settlement of Danish IPT and parafiscal charges

Both IPT and parafiscal charges are payable monthly on the 15th day following the reporting period, with the exception of the Flood Damage Levy and the Danish Guarantee Fund for Non-Life Insurance which are payable quarterly on the 15th day following the reporting period.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Finnish IPT calculation

The basis for the IPT calculation is the total amount of the premium payable by the insured including brokers’ and agents’ commission. When the insurance premium covers fire risks, IPT should also be calculated on the Fire Brigade Charge (FBC). The tax should be shown in addition to the premium.

Finnish IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are required to appoint a local fiscal representative.

Finnish IPT rates

Most insurance premiums are taxed at the default rate of 24%. There are currently no other IPT rates applicable.

Accident, health, life, credit as well as transport insurance contracts for goods to be exported from, imported to, or transported via Finland and insurance contracts for aircraft, seagoing vessels, or other transport equipment used primarily for international traffic should be exempt from Finnish IPT.

Finnish parafiscal charges

In addition to IPT, there is also a Fire Brigade Charge (FBC) which is due on property and fire premiums. The rate of FBC is 3% and should normally be borne by the insured.

Payment of Finnish IPT/parafiscal charges

Finnish IPT is payable monthly on the 12th day following the reporting period. Finnish FBC is payable annually by the end of October. Annual FBC return should be submitted by 31 May. Finnish RSF  is payable quarterly on the 15th day following the reporting period.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of French IPT calculation

The basis for the IPT calculation is the total amount of the premium the premiums themselves  as well as the accessories of the premium and all sums from which the insurer benefits under the general or specific clauses of the insurance policies or endorsements.

French IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

French IPT rates

The applicable IPT rate depends on the type of insurance contract and risk covered.

Principal French IPT rates include:

• General liability: 9%
• Motor: 18%
• Compulsory motor third-party liability: 33%
• Fire: 30% (related to private property) / 7% (related to business property)

The main exemptions apply to:

• aviation
• marine (except pleasure craft)
• cargo and goods in transit
• agriculture
• export credit
• life
• reinsurance.

French parafiscal charges

In addition to French IPT, there is also an extensive range of additional insurance levies and charges, including:

• Natural Catastrophe Levy
• Common Fund for Victims of Terrorism
• National Agricultural Catastrophe Fund
• Contributions to the guarantee fund on compulsory motor third-party liability
• Health insurance tax (TSA).

Settlement of French IPT and parafiscal charges

French IPT and parafiscal charges are payable monthly on the 15th day following the reporting period. Contributions due to the Guarantee Fund are payable on the 25th day following the reporting period. TSA is payable quarterly on the 30th day following the reporting period.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of German IPT calculation

The basis of the IPT calculation is the total premium charged to the insured. This includes any additional fees such as drafting costs.

German IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

German IPT rates

Most insurance premiums are taxed at the default rate of 19%. However, some specific risks are taxed at lower rates:

• Marine hull (commercial vessels): 3%
• Some accident policies: 3.8%

In addition, when insurance premiums are also taxed with Fire Brigade Charge (FBC), the IPT rate is calculated at the rate of 19% or 22% only on a portion of the premium.

The main exemptions apply to:

• insurance of goods in international transit
• health insurance
• life
• reinsurance.

German parafiscal charges

In addition to German IPT, there is also FBC which is due on property and fire premiums and should normally be borne by the insurer. Like IPT, FBC is calculated at the rate of 19% or 22% only on a portion of the premium. For instance, fire insurance in Germany is normally subject to 22% premium tax that is split as follows:

• IPT: 22% on 60% of the premium
• FBC: 22% on 40% of the premium

Payment of German IPT and parafiscal charges

Both German IPT and FBC are payable monthly on the 15th day following the reporting period.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Greek IPT calculation

The basis for the IPT calculation is the total amount of the premium payable by the insured excluding parafiscal charges. The tax should be shown in addition to the premium.

Greek IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are required to appoint a local tax representative.

Greek IPT rates

Most classes of insurance are taxed at the default rate of 15%. Fire insurance attracts the higher rate of 20%.

Exemptions apply to life policies for contracts of more than 10 years, marine and aviation and reinsurance.

Greek parafiscal charges

In addition to IPT in Greece, there are additional insurance levies and charges, including:

• Private Life Insurance Guarantee Fund
• Motor Insurance Bureau Levy
• Auxiliary Motor Guarantee Fund
• Insurance Employees’ Pension Fund (TEA EAPAE).

Settlement of Greek IPT and parafiscal charges

Greek IPT is payable quarterly within 90 days of the end of the quarter. The insurance parafiscal charges and levies payment deadlines range from monthly to quarterly.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Italian IPT calculation

The basis for the IPT calculation is the premium, without deductions, and all other amounts paid to the insurer.

Italian IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are normally not required to appoint a local fiscal representative.

Italian IPT rates

The applicable IPT rate depends on the type of insurance contract and risk covered.

Principal Italian IPT rates include:

• Property and Fire: 21.25%
• General Liability: 21.25%
• Motor: 12.5%
• Accident and Health: 2.5%
• Assistance: 10%

The main exemptions apply to:

• life
• reinsurance.

Italian parafiscal charges

In addition to Italian IPT, there are also a number of additional insurance levies and charges, including:

• Solidarity Fund for Victims of Extortion: 1% on insurance premiums covering general liability, fire, theft and motor risks (other than motor third-party liability)
• Emergency Treatment Fund: 10.5% on compulsory motor third-party liability and pleasure craft liability
• Road Accident Victims’ Fund: 2.5% on compulsory motor third-party liability.

Insurers are also required to engage in annual reporting depending on the risks they cover.

The main reports are:

• Contract and Premium report
• Claims report
• Motor Liability report.

Payment of Italian IPT and parafiscal charges

Italian IPT and parafiscal charges are payable monthly on the 30th day following the reporting period and declared annually by 31 May, with the exception of the Road Accident Victims’ Fund which is payable in January (provisional payment) and September (final payment).

There is also a requirement to make an IPT prepayment by 16 November each year, based on the previous year’s IPT and Solidarity Fund for Victims of Extortion, excluding Motor Third-Party Liability IPT.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Luxembourg IPT calculation

The basis for the IPT calculation is the total amount paid for the insurance policy which is the amount received by the insurance company in return for the insurance.

Luxembourg IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

Luxembourg IPT rates

Most insurance premiums are taxed at the default rate of 4%. There are currently no other IPT rates applicable.

The main exemptions apply to:

• life
• disability
• spacecraft
• reinsurance.

Luxembourg parafiscal charges

In addition to Luxembourg IPT, there is a Fire Brigade Charge (FBC) which is due on property and fire premiums and an Emergency Services Levy (ESL) which is due on compulsory motor third-party liability premiums.

Settlement of Luxembourg IPT and parafiscal charges

Luxembourg IPT, FBC and ESL are payable quarterly on the 15th day following the reporting period.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Slovakian IPT calculation

The basis for the IPT calculation is the gross insurance premium which includes additional fees such as intermediary fees or administrative fees.

Slovakian IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

Slovakian IPT rates

Most insurance premiums are taxed at the default rate of 8%. However, some specific risks are exempt, including:

• compulsory motor third-party liability
• life
• reinsurance.

Slovakian parafiscal charges

In addition to Slovakian IPT, there is also a Motor Third-Party Liability Levy (MTPLL) which is due on compulsory motor third-party liability premiums. The rate is 8% and should normally be borne by the insurer.

Payment of Slovakian IPT and parafiscal charges

Both Slovakian IPT and MTPLL are payable quarterly on the 30th day following the reporting period.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Slovenian IPT calculation

The basis for the IPT calculation is the total amount of premium or contribution paid on the concluded insurance contracts covering risks in Slovenia.

Slovenian IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are not required to appoint a local fiscal representative.

Slovenian IPT rates

Most insurance premiums are taxed at the default rate of 8.5%.

The main exemptions apply to:

• compulsory pension and disability insurance and compulsory health insurance
• accident, health and life insurance with a duration of more than 10 years
• reinsurance.

Slovenian parafiscal charges

In addition to Slovenian IPT, there is also a Fire Fee which is due on policies covering fire risks. The rate of the Fire Fee is 9% and is due either on the full premium, or 20% of the premium where other risks are included.

Settlement of Slovenian IPT and parafiscal charges

Both Slovenian IPT and the Fire Fee are payable monthly on the 15th day following the reporting period.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.

Basis of Swedish IPT calculation

The basis for the IPT calculation is the earned premium for compulsory motor third-party liability insurance for a calendar month. In addition, certain occupational group life policies are subject to IPT. All other types of insurance are not taxed with IPT in Sweden.

Swedish IPT liability

The insurer is liable for the tax calculation and payment. EEA insurers operating on the Freedom of Services basis are required to appoint a local fiscal representative.

Swedish IPT rates

Compulsory motor third-party liability premiums are taxed at a rate of 32%. Where occupational group life policies are subject to IPT, the rate is 45%, due on 95% of the premium.

Swedish parafiscal charges

There are no other taxes, levies or charges due on insurance premiums in Sweden.

Settlement of Swedish IPT

The filing frequency and deadlines can vary depending on the size of the taxpayer.

Disclaimer: This information was correct at the time of publication. To obtain the most up-to-date guidance, please get in touch with our local experts.