22 June 2010
The Treasury Minister is publishing a consultation on business taxation and is asking for views on the impact of any possible future changes to Jersey’s corporate tax regime.
Senator Philip Ozouf announced a review of business taxation in the 2010 Budget. He believes a stable, competitive and sustainable tax system is vital to ensuring Jersey’s continued economic success.
He said “This consultation document sets out the background to, and reasons behind, this review of business taxation, as well as the principles that should determine Jersey’s corporate tax regime.
“It focuses on technical aspects of corporate tax and sets out possible alternative structures that could be considered. I would like to know what Islanders think the impact of any changes would be on Jersey as a place in which to do business.”
Senator Ozouf added “International views on tax are changing and Jersey needs to be ready to respond. But it will only do so having properly considered the impact on the Island’s economy and only then if it is in the Island’s best interest.
“When zero ten was introduced the island lost a significant amount of corporate tax revenue. This review will investigate whether an alternative regime can be identified which taxes more companies with business activities based in Jersey, to replace some of that revenue.
“There is no presumption that any specific one of the alternatives set out in the consultation document will be adopted and this is an open consultative process.”
Business Tax Review: corporate taxation consultation