TaxNetUK – now at

June 23, 2006

Jersey VAT abuse

Filed under: Jersey, Tax avoidance, Uncategorized — Richard Murphy @ 10:36 am

The Forum of Private Business in the UK, inspired by a remarkable record shop owner turned campaigner Richard Allen, has been campaigning against the VAT abuse where CDs and DVDs are shipped from the UK in bulk to Jersey in the Channel Islands to be returned in separate packets the next day to UK customers, VAT free, in response to sales generated on UK websites.

They’ve now got a mass campaign of smaller record retailers together to stop this tax abuse by the larger chain stores, as this link shows.

Good luck to them I say.

It’s time the UK government stopped this. Their estimate is that this is costing the UK £200 million a year.

And it’s time the Jersey government stopped the business in its tracks, which it has said it will do, but from which it does in the meantime profit enormously since the trade generates about £6 million of profit annually for Jersey Post, which is State owned, according to internal documents I happen to have seen.


1 Comment »

  1. […] Tax justice maven Richard Murphy has kicked off a blog (at last.) Juicy stuff in there about VAT abuse in Jersey. Despite saying they’re cleaning up their act, it’s easy to see why our very own tax haven retains its reviled status among certain EU states. […]

    Pingback by AccMan Pro » Blog Archive » Richard Murphy’s laser eye on tax naughtiness — June 23, 2006 @ 1:45 pm

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