VAT information to all members' agents, combined agents and Lloyd's advisors

Global market rate

  1. The Global Market Rate for the year ended 31 December 2007 is 63.90%.
  2. Members who are VAT registered by virtue of business activities other than underwriting at Lloyd's may use the Global Market Rate for the year ended 31 December 2007 to recover input tax arising from their Lloyd's underwriting activities during the year 2008, subject to agreement with HM Revenue & Customs.
  3. Please note that following an agreement with HMRC the Global Market Rate is now only calculated once in the year, at the end of the year, and input VAT recovery during the year will be based on the Global Market Rate for the previous year.
  4. Members who are VAT registered by virtue of business activities other than underwriting at Lloyd's may use the Global Market Rate for the year ended 31 December 2006 to calculate the annual adjustment for that year, subject to agreement with your local VAT office regarding other supplies made by you.
  5. Members that participate solely on syndicates which write only EU business will not be permitted to use the Global Market Rate or recover input tax in relation to these supplies.
  6. The actual Global Market Rate for the year ended 31 December, 2008 will be advised in April 2009 and should be used to determine the annual adjustment for that year.

Members' agents rate

  1. The Members' Agents Rate for the year ended 31 December 2007 is 58.10%.
  2. Members' agents and those Lloyd's advisors who negotiate syndicate participations must use the Members' Agents Rate for the year ended 31 December 2007 to determine input tax recovery for the year ended 31 December 2008, when preparing VAT returns.
  3. Members' agents and those Lloyd's advisors who negotiate syndicate participations must use the Members Agents Rate for the year ended 31 December 2007 to determine the annual adjustment for 2007 in the VAT return for the quarter ended 31 March, 2008.
  4. The actual recovery rate for the year ended 31 December 2008 will be advised in April 2009 and must be used to determine to the annual adjustment for that year.

Other information:

  • For further information on the Lloyd's VAT arrangements please refer to market bulletin Y3237 below.
  • If you have any queries regarding the above then please call Nick Marman of the Lloyd's Taxation Department on +44 (0)20 7327 6727.

 

Market bulletins:

Updated Lloyd's VAT arrangements (Y3237) - 21 January 2004 (196KB, pdf)