The IPT rate within a scheme can now be updated using a more simplified version of the rules that are currently in effect. This simplified format can now be applied because HMRC has not imposed a transitional period on the IPT rate increase due to come into force, as they have done on the previous two increases.
The existing rules will remain in effect and continue to run before the new rule. The new rule will run at the very last stage of the quote - if it identifies an inception date after 01/06/2017 for a new business or renewal quote, the rate of 12% will be applied.
In the event of an MTA, if the rule identifies the inception date as prior to 01/06/2017 the rule will have no effect, and the rate applied will be that detailed in the previous rule that applies to the date range in question i.e. 9.5% or 10%
If the rule identifies that the MTA relates to a risk that incepted after 01/06/2017 the rate of 12% will be applied.
Please find attached a process that details how you can add the new rule to your own schemes, should you wish to do so. If you prefer, we can add the new rule for you and deduct the time taken from your support allowance. You can respond to this ticket to advise if you would prefer SchemeServe to carry out the changes for you. If you already have a ticket submitted in respect of the IPT increase and would now prefer to update the rules yourself, you can close that ticket via your Zendesk login.