Paying tax ‘not an issue for funds industry, it’s how’
Friday 28th December 2012, 11:00AM GMT.
INCLUDING funds business in the island’s 10% tax bracket remains ‘under review’ – despite recognition that it could be difficult to achieve.
In the States Budget debate earlier this month, Treasury and Resources minister Gavin St Pier (pictured) said that bringing fund management into the 10% bracket ‘has not been ruled out’.
The previous month, at an investment funds conference, he had told industry representatives that extending the 10% element of zero-10 to fund managers was a ‘significant challenge’.
‘Defining in statute “administration” and “management” is challenging because the different roles may not be easily identifiable – and could be open to manipulation… so trying to extend the 10% rate to the funds sector while safeguarding Guernsey’s competitive position is a significant challenge.’