Jersey's Treasury is looking at ways of collecting GST on all goods imported into the island, regardless of their value.
It has launched a review into how to recover the tax on all our personal-use purchases.
Currently, we have to pay GST on online purchases or goods we import over the value of £135.
That 'de minimis' level has only recently changed from £240 - making more of our purchases taxable.
The government says it wants to be a 'fast follower' of the EU and UK in collecting taxes on cross border sales more efficiently and effectively.
Changes in that regard are expected this summer having been delayed from January 2021 because of the coronavirus pandemic.
The review will look at how Jersey can charge GST on all privately-imported goods, for example by the retailer at the time we buy them.
We're told it will also look for ways to simplify the process of paying GST on imported goods when offshore retailers cannot charge GST at the point of sale.
The de minimis level could be lowered further, or scrapped completely.
Recommended changes will be put to the Treasury Minister later this year.
“The Government has a long-standing commitment to provide a level playing field for retailers by ensuring fair tax competition between offshore and local sales of goods.
We know that de minimis levels are gradually being removed across the globe, which now makes it more probable that Jersey can follow suit without running the risk of offshore retailers deciding not to compete in our marketplace.”
The review will engage with retailers, industry and consumer organisations to ensure that any proposed changes support on-Island businesses and ensure wide choice for consumers while remaining efficient to manage and administer.” - Treasury Minister Deputy Susie Pinel
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