LARGE retailers in Jersey could be forced to pay corporation tax within two years as ministers consider the introduction of a so-called ‘Tesco tax’ in the Island.
If proposals lodged as part of next week’s Budget are approved, retail companies making large profits could face a ten or twenty per cent corporate tax rate as soon as 2018, providing that the move does not put the Island’s zero-ten tax regime at risk.
Under the current system, both local and UK retail firms pay no corporation tax in Jersey, while certain businesses such as finance, utility and quarrying companies are subject to either a ten or 20 per cent rate.
Ahead of his 2017 budget, Treasury Minister Alan Maclean yesterday proposed changes to three amendments lodged by backbench politicians aiming to revise the Island’s tax system.
The budget is due to be debated on 13 December.
Get the paper delivered to your door, on mobile, tablet and PC from just 52p a day with JEP ExtraSubscribe to our Newsletter