Guernsey Confirms Plan To Introduce Retention Tax Legislation

'We will now review in detail the final text for the Directive on Taxation of Savings along with the terms of the draft agreement which has been negotiated with the Swiss Government...The Committee can now confirm its previous announcement of 4 April that it will recommend to the States legislation to introduce a retention tax on EU resident individuals' savings interest at the same time as the EU Members States of Austria, Belgium and Luxembourg and the named Third Countries of Andorra, Liechtenstein, Monaco, San Marino and Switzerland.'

The A&F chief also welcomed the fact that Guernsey's proposed corporate taxation strategy, and the timetable for its implementation have been accepted by the EU, and revealed that Advisory and Finance will, in due course, enter into bilateral negotiations with EU member states and third countries to discuss the coordinated implementation of the retention tax.