ECJ decides claims handling should be subject to VAT

ECJ

Insurers and policyholders could be facing increased costs following a European Court of Justice decision that claims handling was not within the scope of the VAT exemption for insurance-related services.

The ECJ today (17 March) released its decision in the ‘Aspiro' case, which was considering whether claims handling services should be subject to VAT under European law.

Specifically, the decision

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