Big stamp duty refund depends on appeal outcome
Insurance buyers seeking a big stamp duty refund on policies placed with foreign insurers must await a court appeal decision before their applications can proceed.
Last year Marsh Australia announced it would launch a bulk client application for reassessment in NSW, ACT, Queensland and Tasmania, following a judgement in the NSW case of Qantas Airways v Chief Commissioner of State Revenue.
That court held stamp duty is not payable under the Duties Act on insurance premiums paid to insurers not licensed by APRA, and ordered that $5.15 million be returned to Qantas.
A Marsh Australia spokesman told insuranceNEWS.com.au the refund opportunity has attracted considerable interest among clients.
The legislation has since been changed but Marsh, as well as other brokers, insurers and underwriting agents, identified an opportunity for firms to recoup duty paid before June 20 2006.
Marsh said last week that the NSW and Queensland offices of state revenue have advised that applications for reassessment are on hold pending the outcome of a final appeal in the case. Tasmania’s Department of Treasury and Finance has taken a more aggressive line, saying there is no entitlement to a refund of duty.
Last year Marsh Australia announced it would launch a bulk client application for reassessment in NSW, ACT, Queensland and Tasmania, following a judgement in the NSW case of Qantas Airways v Chief Commissioner of State Revenue.
That court held stamp duty is not payable under the Duties Act on insurance premiums paid to insurers not licensed by APRA, and ordered that $5.15 million be returned to Qantas.
A Marsh Australia spokesman told insuranceNEWS.com.au the refund opportunity has attracted considerable interest among clients.
The legislation has since been changed but Marsh, as well as other brokers, insurers and underwriting agents, identified an opportunity for firms to recoup duty paid before June 20 2006.
Marsh said last week that the NSW and Queensland offices of state revenue have advised that applications for reassessment are on hold pending the outcome of a final appeal in the case. Tasmania’s Department of Treasury and Finance has taken a more aggressive line, saying there is no entitlement to a refund of duty.