The government of Jersey is consulting until 14 October on proposals to introduce a charge equivalent to stamp duty on transfers of Jersey real estate held within corporate bodies. The new tax charge will cover transactions which result in the acquisition of a ‘significant benefit’ (meaning more than 50%) in entities holding Jersey property.
The new law will seek to impose a tax charge on certain transactions involving the transfer of Jersey real estate which are currently outside the scope of both the Stamp Duty Law and the Jersey Land Transactions Law (LTT) Law.
The definition of ‘significant benefit’ would only include transactions where a person acquires, either directly or indirectly, more than 50% of the entity in which the Jersey real estate is held. Where less than 100% of the entity is acquired, the tax charged on the ‘significant benefit’ would be a proportion of the tax due in respect of 100% ownership.
The Jersey Comptroller of Taxes will be required to maintain a register of all the ‘relevant transactions’ undertaken.
The government of Jersey is consulting until 14 October on proposals to introduce a charge equivalent to stamp duty on transfers of Jersey real estate held within corporate bodies. The new tax charge will cover transactions which result in the acquisition of a ‘significant benefit’ (meaning more than 50%) in entities holding Jersey property.
The new law will seek to impose a tax charge on certain transactions involving the transfer of Jersey real estate which are currently outside the scope of both the Stamp Duty Law and the Jersey Land Transactions Law (LTT) Law.
The definition of ‘significant benefit’ would only include transactions where a person acquires, either directly or indirectly, more than 50% of the entity in which the Jersey real estate is held. Where less than 100% of the entity is acquired, the tax charged on the ‘significant benefit’ would be a proportion of the tax due in respect of 100% ownership.
The Jersey Comptroller of Taxes will be required to maintain a register of all the ‘relevant transactions’ undertaken.
