Option to tax and PLAC: Difference between pages

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imported>Doug Williamson
(Clarify that Option to tax relates to land and buildings. Source: http://www.hmrc.gov.uk/manuals/vatlpmanual/VATLP22590.htm)
 
imported>Doug Williamson
(Add link.)
 
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''VAT.''
Primary Loss Absorbing Capital.


Turns an exempt supply relating to land or buildings into a standard rated supply for UK VAT purposes.
Used, especially in the UK, to refer to equity and bail-in-able long term debt of banks that can be written down in case of financial distress. It includes both equity and bail-in-able long-term debt.
 
 
The great majority of bank capital in future must be PLAC, in contrast with Secondary Loss Absorbing Capital (SLAC).




== See also ==
== See also ==
* [[Exempt]]
* [[Standard rated]]
* [[VAT]]


[[Category:Accounting,_tax_and_regulation]]
*[[Capital adequacy]]
*[[Loss absorbing capacity]]
*[[MREL]]
*[[Total Loss Absorbing Capacity]]
 
*[[SLAC]] - Secondary Loss Absorbing Capital
 
*[[GCLAC]] also referred to as GLAC - gone-concern loss absorbing capital
*[[MCT]]
*[[Bailin]]
 
[[Category:Compliance_and_audit]]
[[Category:Risk_frameworks]]

Revision as of 21:56, 18 June 2016

Primary Loss Absorbing Capital.

Used, especially in the UK, to refer to equity and bail-in-able long term debt of banks that can be written down in case of financial distress. It includes both equity and bail-in-able long-term debt.


The great majority of bank capital in future must be PLAC, in contrast with Secondary Loss Absorbing Capital (SLAC).


See also

  • SLAC - Secondary Loss Absorbing Capital
  • GCLAC also referred to as GLAC - gone-concern loss absorbing capital
  • MCT
  • Bailin