Switzerland Stamp duty –adjustments for business processed prior to 1 July 2017
This article is to advise Lloyd’s brokers that from 31 May 2021, the Lloyd’s Zurich office will cease to accept requests from Lloyd’s brokers to make adjustments (notably for Swiss stamp duty) for items of Swiss insurance business processed by Xchanging prior to 1 July 2017.
Lloyd’s Market Bulletin Y5090 of 12 May 2017 set out changes to the administration of Swiss stamp duty and fire brigade charges effective 1 July 2017. From that date, all such charges on Swiss direct assured business (attributed the FIL code “SWE1” by Xchanging) have no longer been collected from the Lloyd’s broker but paid to Lloyd’s underwriters with the net premium. Swiss stamp duty has since been collected from syndicates quarterly by Lloyd’s Zurich for reporting and onward payment to the Swiss tax authority.
Since 1 July 2017, Lloyd’s Zurich has had the continued ability to respond to requests from Lloyd’s brokers to make amendments to data recorded in its bordereau reporting system and processed at Xchanging before that date. Should premium and stamp duty amounts have originally been mis-calculated or mis-recorded, Lloyd’s brokers could claim refunds of amounts for which they had been debited. They have also been able to notify Lloyd’s Zurich of items of Swiss business not originally recorded by Xchanging for inclusion in Lloyd’s Zurich’s current bordereau.
Changes to Lloyd’s Zurich administrative process
The closure of an audit of Lloyd’s Zurich’s Swiss stamp duty records by the Swiss tax authority and the diminishing number of requests by Lloyd’s brokers for adjustments in the nearly four years since the change of process combine so that no further request for adjustments may be accepted after 31 May 2021.
Therefore Lloyd’s brokers should request Lloyd’s Zurich to review any remaining requests for adjustment to items of stamp duty on Swiss insurance business processed by Xchanging (and FIL-coded “SWE1”) prior to 1 July 2017 by 31 May 2021.
If you have any questions or require any further information, please contact our Lloyd’s General representative for Switzerland:
t: +41 (0)44 266 6070
Alternatively, please contact email@example.com if you have any queries.