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Sector Focus
We specialise in the investment management industry offering audit, assurance, tax and corporate recovery and liquidation services.
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Personal Tax Services
There are many tax rules that can affect you personally and therefore which will have an impact on your personal wealth.
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QI Compliance
Qualified Intermediaries (QI) have to take action now to perform a Certification to the Internal Revenue Service (IRS).
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Download our tax brochures
The tax teams at Grant Thornton aim to provide the Channel Islands with a premier tax advisory service both to private clients and the business community including the investment management industry.
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Jersey Tax Return
A secure sign in page to file Jersey Tax Returns through the Grant Thornton tax portal.
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ESG
ESG can either be seen as a risk management tool or an opportunity, either way it is imperative to your business, whatever your size and whether you are listed or not.
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Professional Services
Business and accounting support for professional services
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Finance Industry
We work with a broad range of clients and their financial stakeholders, from entrepreneurs in the early days to fast growing and established businesses to public companies competing in global markets.
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Local Businesses
Businesses come in many shapes and sizes – from innovative start-ups to long-established local businesses. But however large or small your business, the chances are you face similar challenges.
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Corporate Insolvency
Our corporate investigation, Guernsey liquidation and recovery teams focus on identifying and resolving issues affecting profitability, protecting enterprise value and facilitating a full recovery where possible.
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Corporate Simplification
Redundant corporate entities can over complicate group structures and waste thousands of pounds in unnecessary costs each year. 46% of the c.15,500 companies controlled by the FTSE100 are dormant and it is estimated that the average cost of administering dormant companies is between £3,500 and £5,000 per company, per year.
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Debt Advisory
Our Debt Advisory team provides commercial and financial debt advice to corporate entities and public sector bodies in a range of sectors. Our engagements include advice on stand-alone transactions and solutions or as part of an integrated business plan, in both the project and corporate arenas.
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Exit Strategy Services
We offer a tailored methodology designed to enable a company to be reviewed in a group context to assess ways to maximise its value.
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Financial Restructuring
For companies challenged by under-performance we work with management teams, shareholders, lenders and other stakeholders to implement financial restructuring solutions creating a stable platform for business turnaround.
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Strategic performance reviews
Strategic performance reviews analyse the key drivers of performance improvement. Our specialists utilise a framework to evaluate financial and operational options and to identify solutions for businesses and their stakeholders.
The measures proposed in the 2026 Budget will mean a £48m deficit which is a £19m improvement on the 2025 Budget but £9m less compared to the 2025 forecast.
The challenges will continue until tax reforms are implemented. The outcome of the review of tax reforms and a final decision on tax reforms is expected in the first half of 2026.
With the imminent tax reforms in mind, this Budget is a one-year plan focused on immediate priorities. There are limited opportunities to raise revenue for 2026 and £1.2m real terms increase in income from proposed budget measures. Not all requests for additional expenditure have been granted and some difficult decisions were taken. Budgets have only been increased where there are essential items or costs are already being incurred and there is still a focus on reviewing cost savings and keeping expenditure under review.
The Budget is a balance between the need to increase income and the impact on the community.
A £600 increase on personal allowances to £15,200. This means pensioners who’s only source of income is the State Pension and bank interest of less than £50 will not have a tax liability. The threshold of withdrawal of allowances is to increase to £85,000.
Mortgage interest relief limit reduces to £2,500 as part of the continued withdrawal which was paused in 2023 and 2024 to support islanders during a challenging economic period. Full relief will be withdrawn from 2029 onwards.
Inflationary increase on the standard charge to £50,000.
The tax caps remain unchanged;
- £160,000 on non-Guernsey source income
- £320,000 on world wide income
- £60,000 open market cap (available where at least £50,000 of document duty has been spent when purchasing an open market property).
Currently awards to individuals of shares in an employer run share scheme are currently taxed at the point of grant meaning that a tax charge can arise before any financial benefit is felt by the individual. It is therefore proposed that share awards will be taxed at vesting/exercise rather than grant, if the vesting period is longer than seven years it is recommended that a tax event occurs at seven years. This is being implemented to support companies in attracting and retaining talent in a competitive market.
The five-year averaging of the excess repairs allowance (ERA) is to be removed, and landlords can claim a deduction in the year expenditure is incurred to the extent it exceeds the statutory repairs allowance (SRA). Capital improvements remain a non-deductible expense and the ERA deduction is for costs associated with maintaining the property. There will be transitional measures so the expenses from the previous 5 years will not be lost.
The definition of a distribution is to be amended so that shareholder loan repayments are classed as dividends where the repayments relate to a non-commercial loan from a personal investment company. This means tax will be payable on receipt of such repayments. Commercial loans to trading companies will be excluded as it is recognised that shareholder funding is necessary for commercial businesses. Work to understand the scale of undistributed profits is continuing and incentivising earlier taxable distributions and other mechanisms to generate revenue are under consideration.
The additional document duty of 2% which was applied to second properties is to be removed on buy to let properties to help ease pressure on the rental market.
The relief on document duty where individuals are downsizing is also to remain for 2026 and will be reconsidered in the 2027 Budget.
There are above inflationary increases on TRP, both domestic and commercial, motor fuel, tobacco and first vehicle registration duties. Increase on alcohol duty has been kept to an inflationary increase.
A new duty on vape liquids is to be introduced which supports the States policy to reduce the use of such liquids whilst generating some additional revenue.
In terms of income there has been a contraction of personal tax revenues attributed to the introduction of secondary pension legislation meaning more tax relief claimed. But this is beneficial for the long term as it indicates that people are saving for retirement which with the ageing demographic is beneficial.
Revenue growth of corporate income tax receipts is expected to be strong and a provision of £39m has been included for expected income from the implementation of Pillar 2.
Overall this is a Budget with sensible measures to managing a challenging economic climate. We await the outcome of the tax reform review in the first half of 2026. Whichever route the assembly choose will mean a significant change in the tax landscape for the island. Whilst the review is in process the Island continues to prepare for the introduction of the GST+ package approved by the previous Assembly.