Partnership income and how it's taxed
Year of assessment 2022 onwards
The paper partnership return has been replaced with an online Combined Partnership Notification for the year of assessment 2022 onwards.
All profits will be taxed and collected at the individual partner's file, irrespective of the partnership type.
Individual partners should declare their share of the partnership's profits and gains on their own personal income tax return.
The information provided will confirm to Revenue Jersey that partners are disclosing their share of taxable partnership profits and whether they fall within Jersey's economic substance law and, if so, meet the economic substance test.
Year of assessment 2021 and earlier years
Partnership income was previously taxed at the partnership in accordance with the profit-sharing agreement in place between partners.
Partnership guidance 2021 and earlier years
Nominating a responsible partner
All partnerships must appoint one responsible partner.
Only one responsible partner can be appointed at any one time.
The responsible partner is responsible for completing the Partnership Combined Notification on behalf of the partnership. However, a tax agent can be appointed to complete and submit the Partnership Combined Notification on behalf of the responsible partner.
The responsible partner can be nominated using the partnership notification.
Partnership registration and responsible partner nomination
Bulk nomination forms are available to tax agents on request.
If the partnership does not nominate a partner to act as the responsible partner, or that nominated partner does not meet their tax compliance obligations, the Comptroller may nominate a partner to act as the responsible partner.
Submitting the combined partnership notification
The combined partnership notification can only be completed and submitted online.
The filing deadline is 30 November after the year of assessment.
Step 1: Register for Taxes Office Online Services (TOOS)
Register for online services at Taxes Office Online Service. You will need your partnership tax reference (not the TIN). This is the reference that starts with two letters followed by a sequence of numbers.
Click on 'Begin Registration' then 'Partnership Registration' and fill in your details.
Step 2: Activate your account
You'll be sent a letter in the post which will include a one use code and instructions for completing your account activation.
Step 3: Complete your Combined Notification for Partnership
When the responsible partner is ready to file the return, log in to your online account and select the Combined Notification for Partnership from the list of services.
The online combined notification has built in help to guide you and you will only have to complete the sections relevant to your partnership.
Types of partnerships and registering for tax
Foreign partnerships
Foreign partnerships must register with Revenue Jersey using the link below. You must select the type of notification as 'New Foreign Partnership and nomination of a Responsible Partner'.
Once registered with Revenue Jersey, a registration notice will be posted detailing the TIN and tax reference of the partnership.
Partnership registration and responsible partner nomination
General partnership (GPs)
This is an arrangement where two or more persons agree to share in all profits, assets and legal liabilities. General partnerships have unlimited liability.
A partner's share of the general partnership profits should be declared in the partnership income section of their personal tax return.
General partnerships must be registered with Revenue Jersey under the link below by selecting the type of notification as 'New General Partnership and nomination of a Responsible Partner'. Once registered with Revenue Jersey, a registration notice will be posted detailing the TIN and tax reference of the partnership.
Partnership registration and responsible partner nomination
Limited partnerships (LPs)
This applies to all partnerships that have one or more general partners and one or more limited partners. It doesn't matter if it's established under Jersey or non-Jersey law.
The profits or gains of limited partnerships are assessable on the partners if they are resident in Jersey. Resident partners are required to declare and pay the tax on their share of any partnership income.
Jersey limited partnerships are registered with the
Jersey Financial Services Commission (JFSC) who will pass the registration information to Revenue Jersey.
Once registered with Revenue Jersey, a registration notice will be posted detailing the TIN and tax reference of the partnership and the partnership must nominate a
responsible partner.
Partnership registration and responsible partner nomination
Incorporated limited partnerships (ILPs)
These partnerships are registered with the Jersey Financial Services Commission (JFSC) who will pass the registration information to Revenue Jersey.
A
responsible partner must also be nominated.
The provisions of the tax law that relates to these partnerships can only be applied to an ILP that's established under the Incorporated Limited Partnership (Jersey) Law 2011.
The profits and gains arising from international activities of ILPs are treated as profits or gains of the partners if they are resident in Jersey.
Resident partners are required to declare and pay the tax on their share of any partnership income.
Separate limited partnerships (SLPs)
These partnerships are registered with the Jersey Financial Services Commission (JFSC) who will pass the registration information to Revenue Jersey.
A responsible partner must also be nominated.
The provisions of the tax law that relates to these partnerships can only be applied to an SLP that's established under the Separate Limited Partnership (Jersey) Law 2011.
The profits and gains arising from international activities of SLPs are treated as profits or gains of the partners if they are resident in Jersey.
Resident partners are required to declare and pay the tax on their share of any partnership income.
Limited liability partnerships (LLPs)
These partnerships are registered with the Jersey Financial Services Commission (JFSC) who will pass the registration information to Revenue Jersey.
A responsible partner must also be nominated.
The provisions of the tax law that relates to these partnerships can only be applied to an
LLP that's established under the Limited Liability Partnership (Jersey) Law 1997.
The profits and gains arising from international activities of LLPs are treated as profits or gains of the partners in they are resident in Jersey.
Resident partners are required to declare and pay the tax on their share of any partnership income.
Trading in Jersey
If your partnership intends to trade in Jersey, you'll need a business licence before you can start trading.
You can apply for a business licence by completing a new business application form and sending it to the business licensing team. The information on this form will be shared with Revenue Jersey.
Starting up a new business
Partners arriving in Jersey
New partners arriving in Jersey are also required to register with Revenue Jersey.
Registering for tax and getting a tax identification number
Partnerships controlled abroad
If the control and management of the partnership is abroad and consists of trading operations in Jersey, the profits or gains chargeable to tax are limited to the profits of the trading operations within the Island.
International activities are defined in the law as 'business activities carried on outside Jersey'. The term 'business activities' includes investment activities.
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