22 October 2018

Guernsey introduces new Revenue Service to integrate income tax and social insurance functions

The launch of a new Revenue Service in Guernsey that brings together the collection of income tax and social insurance contributions will lead to improved government efficiency, according to Carey Olsen counsel Laila Arstall.

The changes, which form part of The Social Insurance (Collection of Contributions) (Transfer of Functions) Regulations, 2018, see the function and responsibility of the Committee for Employment & Social Security to collect social insurance contributions transfer solely to the Policy & Resources Committee.

Further changes, if approved by States of Guernsey deputies at the next meeting of the Assembly on Wednesday 24 October, will also see the office of the Director of Income Tax being rebranded as the office of the Director of the Revenue Service from 1 November, in accordance with The Director of Income Tax (Transfer of Functions) (Guernsey) Ordinance, 2018 .

Together, the new ordinance and regulation mean that the collection of tax and social insurance contributions in Guernsey will be now collected and managed by one government agency, under the supervision of the Director of the Revenue Service, on behalf of the Policy and Resources Committee.

At the same time, responsibility for contributions policy itself remains with the Committee for Employment & Social Security going forward and is unaffected.

Mrs Arstall said: "The launch of the combined service is to be welcomed as establishing a platform to deliver more efficient processes, reduce operating costs and enhance user satisfaction through the introduction of improved digital services and the provision of a single point of contact for enquiries relating to both income tax and social insurance contributions."

The Revenue Service will be releasing regular reports on its progress and on any changes to its service provision. Further information on the Revenue Service and its aims can be found at www.gov.gg/revenueservice.