IPTM9170 - Overseas insurers: release from requirement to appoint a tax representative: post-5 April 2000 policies and contracts: assignments for money or money's worth
In obtaining the release from the requirement to appoint a tax representative, an insurer gives an undertaking to calculate and report the gain on any chargeable event unless it is satisfied that no gain arises. This includes a whole assignment of a policy or contract for money or money’s worth IPTM7510 to IPTM7530 give the formula for calculating the gain on such anassignment and guidance on the various items in the formula.
To calculate the gain, or be satisfied that no gain arises, the insurer needs to know the value of the assignment. If it is aware that a policy or contract has been assigned for money or money’s worth then it will normally know the value of the assignment or be able to obtain it from the policyholder. But if, exceptionally, the insurer is unable to calculate the gain because it cannot ascertain the value of assignment then it may instead report all the other information that a policyholder needs to calculate the gain, as a UK insurer is required to.
The information is