New tax penalties

About the consultation

The Taxes Office is asking for Islanders’ views on proposed new financial penalties. These are aimed at encouraging individuals and businesses to submit accurate tax information and associated payment on time.

Measures being considered include:

• financial penalties for providing inaccurate information to the Taxes Office
  
• charging interest on all tax debts 
  
• financial penalties for late tax returns and late payment: varying depending on whether people miss deadlines, for example, by one day or three months
  
• new deadline dates for submitting tax returns online
  
• financial penalties for not keeping proper records that support information given to the Taxes Office
  

Some of the proposed penalties will be different depending on the behaviour of the person concerned. For example, the Taxes Office won't penalise people who make an honest mistake, and will impose the biggest penalties for those who deliberately intend to evade tax.

The Taxes Office would administer many of the proposed penalties, rather than the courts. This would be an efficient and cost effective way to encourage taxpayers to send accurate information and payments on time. Criminal penalties will remain an option in the most serious cases.

Download Tax compliance framework: proposed legal and policy changes 2017 to 2019

Summary of responses to the consultation

We have summarised the comments received on the consultation, and provided further comment and feedback. Due to the wishes of most of the respondents, all comments have been anonymised.

Consultation on tax compliance framework - summary of responses

How to submit comments to the consultation