Proposed 👀 Watch Rate change

Not yet law: Guernsey's approved tax reform package puts a 3% GST start in 2029, not 2028

This change is proposed and is not law. The rules below describe what would change if it is adopted.

Jurisdiction
Guernsey
Tax
GST
Change type
Rate change
Status
Proposed
Impact
Watch
Announced
2 October 2026
Authority
States of Guernsey
Systems
Tax engine, POS
Verified
Fetched from official source · high confidence
Who this affects

Businesses that would supply goods and services in Guernsey, and off-island retailers selling to Guernsey customers, once a GST law is enacted.

What to do

No action — monitoring only.

Tax enginePOS

The change

The States of Guernsey's published consumption-tax terms of the 2026 Tax Reform Package, approved by the States of Deliberation in October 2026, provide for a goods and services tax at 3% from 2029, not 2028 as in the June 2026 proposals. GST cannot be brought into operation until the Policy & Resources Committee and the Committee for Employment & Social Security publish a joint implementation assurance report showing the mitigating measures and their legislation are in place. No GST law has yet been enacted.

What changed in detail

This is not yet law. The States of Deliberation approved the 2026 Tax Reform Package in October 2026, but no GST law has been enacted and GST cannot start until the conditions below are met.

The States of Guernsey’s consumption-tax page for the package says it will include a goods and services tax at 3% from 2029. The June 2026 proposals had set the start for 2028 (see gg-gst-tax-reform-package-2026).

Before GST is brought into operation, the Policy & Resources Committee and the Committee for Employment & Social Security must publish a joint implementation assurance report showing that the mitigating measures and their legislation are in place.

The same page lists further details agreed by the States, including:

  • an International Service Entities scheme like Jersey’s;
  • 0% GST on food produced or grown by small independent suppliers;
  • a margin scheme for second-hand goods;
  • a £280 de minimis threshold for imported orders; and
  • a step-up to 4% and then 5% every 24 months from implementation, subject to assurance reviews.

What it means

The 2029 date settles the conflict between the original 2028 proposal and later reporting. It is still a target, not a commencement date. GST needs its own law, and it is gated on the assurance report, so the start could move again. Retailers and POS vendors serving Guernsey should plan for a 2029 build but should not set a go-live until a GST law and a commencement order are published.

Proof

Implementation of a goods and services tax (GST) at 3% from 2029. The Policy & Resources Committee and Committee for Employment & Social Security are required to publish a joint implementation assurance report evidencing that the mitigating measures and their associated legislation are in place
Consumption tax — 2026 Tax Reform Package — States of Guernsey (gov.gg) · captured 2 November 2026
Screenshot of States of Guernsey (gov.gg) captured 2 November 2026, showing the quoted passage Source snapshot of the official page. Open full size ↗

Sources

What this replaces

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