The Jersey States Assembly introduced Bill No. P.100/2021 on the 2022 Finance budget. One of the measures mention that large online retailers will be required to charge GST to Jersey customers starting 2023. “Amazon, in particular, seem to be very onside with collecting GST at the point of exit of whatever country a product is sent from,” said Deputy Susie Pinel. This means that GST will be charged at the point of sale, and remitted directly to the Treasury. Small and medium retailers below the 300,000 GBP registration threshold will not be affected by the change.
The bill also includes measures that would:
Jersey is a low tax jurisdiction with some of the lowest tax rates in Europe. The Island has no VAT, only Goods and Services Tax (GST), which is set at a standard rate of 5% for almost all goods and services (including online goods worth 135GBP or more). In the explanatory note of the draft Finance Law, it is worth noting that when the bill is passed, it will set the standard rate of income tax for 2022 and amend tax legislation for the purpose of implementing parts of the Government Plan for 2022.
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