Jersey VED Set For September

by Robert Lee, Tax-News.com, London

01 June 2010

The Jersey government has confirmed that from September 1, 2010, the import of new cars to Jersey will be subject to a one-off Vehicle Emissions Duty, to pay for environmental initiatives in the island.

The VED was announced in the 2010 budget, by the Minister for Treasury and Resources, Phillip Ozouf following a public consultation in May 2009, which asked for responses regarding how best to pay for environmental schemes, such as home insulation and recycling.

VED is an impôts (excise) duty on all motor vehicles, payable when a vehicle is first registered in Jersey. Any vehicle registered on or after September 1, 2010 will be liable. This includes vehicles already in the island that have not yet been registered with J plates.

The duty will be based on manufacturers’ CO² emission data. Since CO² emission data (in the required format) is only available for cars produced since March 2001, engine size will be used as the basis for calculation for older cars and other vehicles.

Some exemptions will be provided under certain conditions. The government disclosed that these are to include people moving to Jersey, vehicles made more than 25 years ago and vehicles adapted for people with disabilities.

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