Guernsey tax reform plans rejected by States

If approved it would have seen motorists, visitors and companies paying more tax

Proposals to reform Guernsey’s tax system, without introducing a goods and services tax (GST) have been defeated.

The scheme from Deputy Heidi Soulsby and Deputy Gavin St Pier was voted down by 24 votes to 16.

If approved it would have seen motorists, visitors and companies paying more tax.

Mrs Soulsby said she was not surprised her plans were defeated but was concerned the States would end this meeting with nothing decided.

Policy and Resources (P&R) has warned the States needs to bring in more money to fund public services in the future.

Its plans for tax reform, centering on a 5% GST and a lower rate of income tax for earnings up to £30,000, have been subject to some criticism from anti-GST campaigners.

Lance Vaudin organised an anti-GST proposal which saw more than 60 people attend before the States meeting.

Mr Vaudin said he disagrees with the way P&R have brought these proposals to the States.

He said he hoped that after defeat in February it would have been the end of a discussion on GST.