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Land Development Tax or equivalent mechanisms (P.147/2011): comments

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STATES OF JERSEY

LAND DEVELOPMENT TAX OR EQUIVALENT MECHANISMS (P.147/2011): COMMENTS

Presented to the States on 31st October 2011 by the Council of Ministers

STATES GREFFE

2011   Price code: A  P.147 Com.(2)

COMMENTS

The  Council  of  Ministers  maintains  the  comments  presented  by  the  Council  in response to P.90/2011.

Ministers wish to reiterate their view that the decision of the States to carry out further work  on  Policies  H1  and  H3  of  the  2011  Island  Plan  will  deliver,  not  only  an inherently  more  viable  and  proportionate  system  of  deriving  revenue  from  land development, but also actual affordable homes.

The Council of Ministers also believes that any proposals for a land development tax must be considered as part of a much wider review of property taxation. The Minister for Treasury and Resources has committed to such a review, which will be undertaken by the Tax Policy Unit in 2012. Until that review has been completed, it would be premature  for  Ministers  to  comment  on  the  appropriateness  of  the   Deputy  of St. Mary 's proposals.

The Council of Ministers supports the comments of the Minister for Treasury and Resources and urges States members to reject this proposition.

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P.147/2011 Com.(2)