When filing a policy in SLIP+, filers are required to select a coverage code and corresponding tax status. The tax status allows the SLIP+ platform to accurately charge the appropriate state taxes, SLIP+ transaction fees, and any state specific assessments.
The tables below provide a description of each tax status and its corresponding details.
IS SUBJECT TO
Applicable premium taxes and the SLIP+ transaction Fee
DESCRIPTION
Tax status 0 is used for taxable lines of coverage. The premium tax, any additional tax or assessments levied by the state (i.e., fire tax), and the SLIP+ transaction fee are charged on the gross premium (premium plus all taxable policy fees).
IS EXEMPT FROM
Premium tax
IS SUBJECT TO
SLIP+ transaction fee
DESCRIPTION
Tax status 6 is used for specific lines of coverage exempt from tax under the applicable state law.
IS EXEMPT FROM
Premium tax and the SLIP+ transaction fee
DESCRIPTION
Tax status 7 is used when reporting premium for an insured exempt from premium tax under the applicable state or federal law.
