IPTM4410 - Purchased life annuities: overseas payers: appointment of a tax representative: requirements and exceptions

A non-UK insurer who sells or intends to sell annuities to annuitants in the UK must nominate a UK tax representative within 3 months of the first payment being made under that annuity unless HMRC has released the non-UK insurer from this requirement because the insurer is following the requirements for direct reporting.

A non-UK insurer may nominate the tax representative or HMRC may appoint a tax representative in the absence of a suitable nomination by the insurer. Guidance on the procedure for nominating a tax representative is in IPTM4420 onwards.

The main duties of a tax representative are to ensure that all of the requirements relating to purchased life annuities are correctly complied with and to ensure that forms PLA6 are completed correctly and sent to the annuitant and HMRC within the time limits.

Release from the requirement to have a tax representative in the UK

A non-UK insurer may be released from the requirement to have a UK tax representative if it makes a declaration to HMRC that it will conduct life annuity business in accordance with the law including regulations applicable in the UK - see IPTM4480 onwards.

Where a non-UK insurer is resident in an EEA state, and under the law of that state it is a criminal offence for the insurer to disclose to HMRC the information relating to holders of annuities, the insurer does not have to send copies of forms PLA6 to HMRC as described in IPTM4350.