With hundreds of Channel Islands jobs hanging in the balance as the UK prepares to effectively close down the industry in a fortnight, the court heard on day two of the islands’ legal challenge that the UK government viewed Jersey’s and Guernsey’s internet mail-order trade as simple tax avoidance.
It was also claimed that the European Commission had backed the UK’s stance.
Ministers in Jersey and Guernsey have taken unprecedented legal action against the UK as it attempts to close down a tax clause that allows goods to be shipped into the UK from non-EU countries to escape the 20% VAT, if they fall under a £15 value threshold.
• See Thursday’s JEP for full report
