Global Market Recovery Rate
- The Global Market Recovery Rate (GMR) for the year ended 31 December 2023 is 87.92%.
- As set out in Lloyd’s VAT Arrangements, Corporate Members, Limited Liability Partnerships (LLPs) and Scottish Limited Partnerships (SLPs) who are VAT registered on account of activities other than insurance underwriting may use the GMR where the number of syndicates on which they participate makes it difficult for them to calculate the composite recovery rate for those syndicates.
- Those Corporate Members, LLPs and SLPs are therefore able to recover 87.92% of any input VAT incurred in relation to their Lloyd's underwriting activities in the year 2023.
- The annual adjustment for the year 2023 is to be declared in the VAT return for the quarter ended 31 March 2024.
- Input VAT recovery during 2024 should also be based on the GMR for 2023 (i.e. 87.92%), until the actual recovery rate for the year ended 31 December 2024 is advised (in April 2025).
- Please note that Corporate Members, Limited Liability Partnerships (LLPs) and Scottish Limited Partnerships (SLPs) that solely participate on syndicates that write only UK business are not permitted to use the GMR.
Other information:
For full details of the Lloyd’s VAT Arrangements, please refer to Lloyd's VAT arrangements- 1 January 2000.
If you have any queries regarding the GMR, please contact one of the Indirect Tax team in Lloyd's Tax Department.
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