Jersey and Guernsey struggle to justify zero business tax rate

Representatives from the Channel Islands appeared before the European Parliament's TAXE committee on 14 March 2016 to defend their jurisdiction's 0% business tax rate.

Guernsey and Jersey stated that applying a 0% tax rate was a way to avoid the risk of applying a double taxation to businesses that make financial transactions on their territory.

These territories were the first considered as tax havens to have given evidence to members of the special committee. Others were scheduled to do so on the next day, while some refused to cooperate with the parliament.

• Primary Source

ESO: Background information: Successor to Special Committee on Tax Rulings http://www.europeansources.info/record/press-release-successor-to-special-committee-on-tax-rulings/

ESO: Background information: The UK should look closer to home before crying foul over Luxembourg leaks http://www.europeansources.info/record/the-uk-should-look-closer-to-home-before-crying-foul-over-luxembourg-leaks/

BBC News, 15.03.16: Channel islands tax representatives appear at EU committee http://www.bbc.co.uk/news/world-europe-guernsey-35802055

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