Customers that are new to shipping to Jersey are often surprised to learn that the island operates its own tax and customs system. Jersey is a British Crown Dependency rather than part of the UK, so a UK business sending goods there is exporting them rather than making a domestic delivery.
For exporters, one of the main considerations is Jersey Goods and Services Tax, usually known as GST. Understanding how it works and what information is needed for customs clearance can help prevent avoidable delays.
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Shipping Goods From the UK to Jersey
Goods dispatched from the UK to Jersey move within a customs union, so they are generally not subject to customs duty when they arrive. GST is separate, however, and applies to goods imported into Jersey by businesses.
UK businesses can normally zero-rate exported goods for UK VAT where HMRC’s conditions are met and suitable evidence of export is retained. Accurate commercial invoices and transport records are therefore important when shipping to Jersey.
How Much Is GST in Jersey?
The standard GST rate in Jersey is 5% and applies to most goods and services, including imported goods. Jersey’s low-value GST relief is intended for qualifying personal imports and does not apply to goods imported for business purposes.
GST is based on the import value rather than only the purchase price. For goods originating in the UK, this is generally the sale price of the goods plus insurance and freight costs.
Customs Declaration: Jersey Requirements
Businesses sending goods to Jersey will normally need to provide a commercial invoice showing the consignor, consignee, description of the goods and shipment value.
Goods entering Jersey are declared through the CAESAR customs system. For customs declaration Jersey requirements, accurate shipment and valuation information is important because it is used to assess any GST payable.
Jersey GST FAQs
Is UK VAT Chargeable On Goods Or Freight Services For Jersey?
Goods exported from Great Britain to Jersey can generally be zero-rated for UK VAT where the relevant conditions are met and evidence of export is retained. The VAT treatment of freight services depends on the circumstances.
Further information is available in the UK Government’s VAT Notice 703.
What Paperwork Is Required For Shipping To Jersey?
Clients arranging shipping to Jersey will usually need to provide their freight forwarder with a commercial invoice for Jersey Customs. It should contain an accurate description and value of the goods, together with sender and recipient details.
What Import Tax Is Applicable In Jersey?
The main local tax to consider is GST, Jersey’s Goods and Services Tax. The standard rate is 5% on most imported goods. The £60 de minimis relief does not apply to business imports.
How Is GST Calculated?
GST is generally calculated on the total import value. For goods originating in the UK, this normally includes the sale price plus insurance and freight.
For example, if the relevant import value is £1,100, GST at 5% would be £55.
Can Goods Be Imported Temporarily Without Paying GST?
Certain goods entering Jersey temporarily may qualify for relief from GST. This can include samples, exhibition or public event goods and professional equipment.
Conditions apply, and Jersey Customs may require evidence that the goods will be re-exported.
How Do I Pay GST?
The Jersey importer will normally need to account for any GST due. Businesses can use CAESAR to make declarations, while GST-registered Customs-approved traders may account for import GST through their GST return.
The exact payment process depends on the importer’s status.
Where Can I Get More Information About GST And Shipping To Jersey?
Barrington Freight has extensive experience arranging freight to Jersey and the wider Channel Islands. We can help businesses coordinate transport and provide guidance on the shipment information needed for customs clearance.
For further information on GST rates, declarations and current procedures, see the Government of Jersey’s GST guidance.
