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Wednesday, 22 March 2006 |
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Bric (the Body Repair Industry Campaign) has again lobbied the government on the issue of lower VAT paid by bodyshops wholly-owned by insurance companies.
On the eve of the budget to be announced by chancellor Gordon Brown, the pressure group claimed motor insurers were able to “exploit their own tax status” to gain a cost advantage of up to 7 per cent over competing “fully VATable businesses”. Bric said insurer-owned operations should not be permitted to consolidate their VAT status and return with their tax exempt parents but should stand alone for tax purposes.
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