Quick guide to tax and contributions in Jersey
|Personal income tax||20% maximum rate|
|High Value Residency income tax||20% on the first £725,000 of worldwide earned income (equivalent to £145,000), plus an additional 1% on all other worldwide income. |
|20% on revenue from Jersey property|
|Company tax||0% standard rate|
|10% tax for regulated financial services companies|
|20% tax for Jersey utility and property income companies |
|Social security contribution for employees||6%|
|Social security contribution for employers||6.5% on earnings up to £4,180 per month, plus an additional 2% on earnings over £4,180 and under £13,828 per month|
|GST (goods and services tax)||5%|
The personal income tax rate is 20%.This rate also applies to the tax adjusted profits of sole traders and partnerships.
There are no higher rate bands, capital gains tax or inheritance tax.
There are exemption thresholds to keep low income households from paying tax and marginal relief to reduce tax for households on what is generally called the 'middle income' bracket. This is a tapering relief which gradually reduces as income increases.
Income tax (for individuals)
High Value Residency (HVR)
Individuals who qualify under Regulation 2(1)(e) of the Control of Housing and Work Law (High Value Residency) are an essential part of Jersey's economy.
We want to encourage these individuals to Jersey to increase inward investment into the Island. In addition to their direct tax contributions, they will also contribute through on-island spending and often relocate their businesses and investments to Jersey.
Qualifying for High Value Residency (HVR)
There is an annual minimum tax contribution of £145,000.
When applying for a HVR consent, you must be able to demonstrate the sufficient wealth to generate the annual minimum tax contribution in future tax years.
The tax rates that apply are:
- 20% on all income earned from land and buildings in Jersey, or dividends paid from a company in receipt of Jersey property income
- 20% on the first £725,000 of all other income
- 1% on all income above that level
For confidential and free advice about any aspect of high value residency in Jersey, visit the Locate Jersey website or contact our Director of High Value Residency.
Locate Jersey website
The standard rate of corporate tax in Jersey is 0%.
The exceptions to this standard rate are:
- financial service companies (defined in the Income Tax Law) which are taxed at 10%
- utility companies which are taxed at 20%
- income specifically derived from Jersey property rentals or Jersey property development taxed at 20%
Company tax information
Other financial benefits to businesses and individuals include:
- social security payments in Jersey are low compared to many jurisdictions
- no stamp duty on equity transactions
- a straightforward method of making tax and social security contributions
Paying contributions if you're employed
Paying contributions if you're self-employed