The Walking Dead & Other External Pressures Facing The Channel Islands

Guernsey and Jersey are fleet-footed and professional in the way they respond to international initiatives, to ensure their jurisdictions remain attractive and at the forefront of developments in international finance.

During 2012 the Channel Islands have faced numerous challenges, with potential for a detrimental effect on businesses in the finance and allied sectors, including:

• the rise of the "Zombie" and the overhaul of tax on high value residential property;
• the removal from 1 April 2012 of lowvalue consignment relief with respect to VAT; and
• changes to the tax treatment of qualifying recognised overseas pension schemes, with effect from 6 April 2012.

Here we explore further some of the larger international issues that will continue to affect the Channel Islands.