Citizens Advice Bureau

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LOCAL INFORMATION

12.2.1.L3
The Income Tax Installment System (ITIS)

Extent: Jersey
April 2007
Updated 4 August, 2016
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Words you may need to know

 

Arrears – a debt that has not been paid

Assessment – something that is calculated on information that has been provided, in this case the amount of tax that is owed

Default rate – rate which automatically applies if the correct rate is not known

Effective rate – the rate which is used or which applies

Liability – something you are responsible for

 

Income tax in Jersey is collected by the Taxes Office using a system known as The Income Tax Instalment System (ITIS). 

The default rate for ITIS is 21%.

 

For a general guide about paying income tax see : www.gov.je/TaxesMoney/IncomeTax/Individuals/PayingTaxEarnings/Pages/index.aspx

 

This site also includes information about:

How your effective tax rate is calculated for IT IS

http://www.gov.je/TaxesMoney/IncomeTax/Individuals/PayingTaxEarnings/Pages/EffectiveTaxRate.aspx#anchor-0

 

Detailed information about how income tax is collected from you :

http://www.gov.je/TaxesMoney/IncomeTax/Individuals/PayingTaxEarnings/pages/collecttaxemployment.aspx

ITIS taxpayers will be sent their annual tax liability (Notice of Assessment) as soon as it has been calculated by the Income Tax Office.

Taxpayers who do not pay their income tax through ITIS will receive their annual Notice of Assessment later in the year.

If a person has arrears of income tax the amount of arrears is added to the liability when the Tax Office calculates the effective ITIS rate. For one year of arrears the maximum effective rate is 25%, for two years 30% and for three or more years 35%.