Online tax reform calculator to help see the impact proposed reforms could have on your pocket
- An online tax reform calculator has been launched by the Policy & Resources Committee.
- The tool allows individuals to assess the impact of proposed tax reforms on their finances.
- The Committee is currently reviewing alternative tax reform options, with recommendations expected in summer.
- The calculator estimates the effects of tax changes using individual anonymised data.
- No personal data is collected or stored during the calculator's use.
Policy & Resources Committee has published an online calculator aimed at helping islanders evaluate how tax reforms may affect their personal finances.
The calculator offers residents a preliminary assessment of their potential outcomes under the current GST package proposals.
Although preliminary modelling indicates that the majority of households would either fare better or remain unaffected if the package is adopted, P&R stresses that these results will vary based on individual financial circumstances and spending habits.
P&R is currently working on two streams of work to decide what the island’s future taxation system will look like, the other is some form of corporate tax reform which The Quarry has already published a calculator to show how it could impact public finances.
Nick Mann
The new calculator from P&R does not serve as a formal tax assessment and may not accommodate complex financial situations, such as those involving dual employment.
Deputy Lindsay de Sausmarez said: “There was so much confusion and uncertainty around how the package developed by our predecessors might – if it were to be introduced … impact people in various financial circumstances."
The previously established tax reform package comprises a reduction in income tax and social security contributions, increased pensions and other benefits, as well as the introduction of a GST).
Deputy de Sausmarez said “...because of the other features of that package, a majority of low and middle-income households would likely pay less tax altogether than they do now."
The Committee are scheduled to present their final proposals and suggestions later in the summer after assessing all available options.
All calculations take place in the user’s browser, meaning that no data is transmitted or recorded by the States or any third parties.
The calculator and additional information regarding the tax reform measures are accessible via https://gov.gg/taxpackage.
Information on alternative options being explored is available at https://gov.gg/taxreform.
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