Taxing times for intermediaries

The move from commission-based advice to fees could make it harder for advisers to defer tax charges in future and may leave them liable for VAT

The business and regulatory framework facing intermediaries is changing rapidly but it sometimes seems speculation by commentators is running in advance of actual change on the high street. One topic that keeps cropping up is whether or not advisers should seek to earn a greater proportion of their income from fees charged to their clients rather than commission. For the moment, there appears to be far more talk than action on this point but there are those who believe change may be forced on the market eventually. Because the market is so highly regulated, advisers have to undertake a...