Petition calls for end of pension taxing in Jersey

Pensioner holding coinsImage source, PA Media
Image caption,

People can start claiming state pensions in Jersey between the ages of 65 and 67

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More than 1,000 people have backed a petition calling for pensions to be exempt from taxation in Jersey.

The petition, external states the current system amounts to "double taxation" for people when they reach pensionable age.

The petition qualifies for a response from ministers due to having more than 1,000 signatures.

The Government of Jersey said it would respond to the petition within the required 30-day period.

'Double taxation'

The wording in the petition says "all employees are obliged to pay social security contributions which are not deducted from gross pay for taxation purposes".

In addition, it says pensions are also liable to tax when people reach pensionable age, which it claims amounts to "double taxation".

The States website says: "Your pension is taxable, so you must declare how much pension you receive on your tax return each year.

"If you live in Jersey, we’ll send you a pension statement each January showing your total pension for the previous year."

The petition was set up by Paul Troalic who said the petition only refers to state pensions, and not private schemes.

In Jersey, state pensions can be claimed by anyone aged 65 or over if they were born before 1 January, 1955.

Anyone born after that date will have a state pension age of between 65 and 67, depending on when their birthday is.

The government said women who registered with social security before 1 January, 1975 can claim a pension from their 60th birthday.

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