The Coordination Working Group between the Bank of Italy, Consob and Ivass published Document No. 10 on the application of IAS/IFRS standards, setting out guidance on the accounting treatment of amounts due from policyholders arising from insurers’ advance payment of stamp duty on life insurance policies classified as financial liabilities. The guidance is intended to address application issues arising from changes introduced by the Italian 2025 Budget Law, under which insurance firms must pay stamp duty annually on life insurance policies from 2025, with a four-year payment plan for stamp duty accrued in previous years for policies in force as of 1 January 2025. It also reflects the rule that insurers may recover the amounts paid from policyholders only when the policy benefit is paid at maturity or surrender. The Document also flags the need, where relevant, for periodic financial reporting to include adequate disclosure on the effects of discounting amounts due from policyholders.
Bank of Italy 2026-01-30
Bank of Italy, Consob and Ivass working group issues IAS and IFRS guidance on accounting for stamp duty advances on life insurance
The Coordination Working Group between the Bank of Italy, Consob, and Ivass issued Document No. 10, guiding the accounting treatment of amounts due from policyholders for insurers' advance stamp duty payments on life insurance policies classified as financial liabilities. This guidance addresses issues from the Italian 2025 Budget Law, requiring annual stamp duty payments and a four-year plan for previous accruals, with recovery from policyholders only upon policy maturity or surrender, and emphasizes the need for adequate disclosure in financial reporting.