TISA warns SIPPs and wraps could take VAT hit

clock

SIPP and wrap providers who do not currently pay VAT on fees for their services could find they are actually liable, warns Malcolm Small, policy director at the Tax Incentivised Savings Association (TISA).

Currently, some SIPP providers do not pay VAT because insurance mediation and investment management are exempt from the tax. Some SIPP providers, as well as wraps and platforms, class themselves as providers of these services, rather than administrators. However, TISA's Small warns providers may have judged their VAT liability incorrectly and is seeking further confirmation from HMRC over what constitutes insurance mediation and investment management. TISA is putting together a committee to look into VAT liabilities. "For years we have assumed if something is to do with pensions...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Women's pensions: Why the gender savings gap opens at age 28

Women's pensions: Why the gender savings gap opens at age 28

Women in their late 50s hold 48% less in their pension than men

Rachel Vahey
clock 11 June 2026 • 3 min read
DC pension pot growth points to increased fraud risk, pensions minister warns

DC pension pot growth points to increased fraud risk, pensions minister warns

Torsten Bell says expanding DC pots will attract increased fraudster attention

Martin Richmond
clock 11 June 2026 • 2 min read
Revised transfer regs widely backed but industry calls for 'clear and practical' guidance

Revised transfer regs widely backed but industry calls for 'clear and practical' guidance

DWP makes key changes to traffic-light transfer conditions

Jonathan Stapleton
clock 10 June 2026 • 7 min read