Reporting requirements for non-Jersey resident companies

A company incorporated in Jersey is resident in the Island for tax purposes unless:

the company is centrally managed and controlled in another jurisdiction where the highest rate of tax which may be applied to any part of its income is at least 10%
the company is accepted as being resident in that other jurisdiction by its tax authorities

When completing the online tax return, a company will be directed to contact Revenue Jersey if it claims to be resident in a jurisdiction that Revenue Jersey considers it cannot be resident under Jersey law.

For example, Revenue Jersey considers it is not possible:

for a company incorporated in Jersey to be resident in a jurisdiction which does not have a corporate tax regime (such as the Cayman Islands)
for a company whose domestic laws do not allow a company formed in another jurisdiction to be considered tax resident there (such as Sweden)

Companies may be taxed on income earned overseas, such as rental income or income from a permanent establishment, but this does not mean that the company is no longer resident in Jersey.

A company which mistakenly identifies itself as being resident in another jurisdiction may not only complete its Jersey tax return incorrectly but may also fail to complete its economic substance return.

This can leave it open to enquiries from Revenue Jersey and incur penalties.

Certificates of residence

Further details on certificates of residence for the 2024 year of assessment will be published shortly.