Zero-ten must go, says Europe

The High Level Working Party has told Treasury Minister Philip Ozouf that it agrees with a previous ruling by another EU body – the Code of Conduct Group on Business Taxation – that the tax breaches European rules.

Both groups have now said their concerns centre on the Island’s policy that allows the owners of Jersey companies who live outside of the Island to pay no tax on profits in Jersey, whereas shareholders of Island companies who live here have to pay tax on profits.

It is this difference which they say is unfair and therefore harmful.

• Read the full report in today’s JEP