2020 tax allowances and reliefs

Tax Rate

​Standard rate​Marginal relief
​All income liable to Jersey tax less allowable expenses and pension contributions charged at 20% ​All income liable to Jersey tax less allowable expenses, pension contributions and your tax exemption threshold charged at 26%

You will pay tax at the lower of the two calculations which means that your tax rate, depending on your income, will be between 0% and 20% (max).​

Notes
1. Children
A claim can be made for your child if they are under the age of 16, or if over the age of 16 was receiving full-time instruction at any school.

Receiving full time education at any school doesn’t include receiving higher education within the meaning of the Education (Jersey) Law 1999, for example degrees or courses in preparation for professional examination at a higher level.

You therefore can’t claim this allowance for a child in higher education, but you may be able to get a grant from student finance.

You may still be able to claim additional allowance.

Learn more at gov.je about children and tax relief and who can get student finance

2. Additional allowance for children
This allowance is only due if:

You are not entitled to the married or civil partnership exemption threshold.
or
You are entitled to the married or civil partnership exemption threshold and you wholly maintain your spouse or civil partner who is totally incapacitated by physical or mental infirmity.
Your dependent child must be under the age of 25 on 31 August in the year of assessment.

If your child is 16 year or over at the start of the year, they must have been in full time instruction at any school or in full time higher education, for example a degree course or equivalent.

If your child is in full time higher education, they must be a dependent student as defined by student finance.

Learn more at gov.je about claiming tax relief for a child

3. Child care tax relief
You must be entitled to claim tax relief for a child and be making the payments yourself to a registered child care provider for that child.

Learn more at gov.je about increase in tax exemption for child day care.

4. Loan interest relief for main Jersey residence
Interest relief for your home is still available but it’s being phased out.

Learn more at gov.je about interest tax relief.

Tax exemption thresholds

​Exemption thresholds 
​Single£15,900
Married / civil partnership£25,550
Single (born before 1952)£15,900
Married / civil partnership (born before 1952)£26,100

​You don’t pay tax if your annual income is below these thresholds and they are also used to calculate marginal relief.

​Additions to exemption thresholds​ 
​Second earner's allowance£6,250
​Child (see note 1)£3,000 (per child)
Additional allowance in respect of children (see note 2)£4,500
​Child care tax relief (see note 3)£6,150
Enhanced child care tax relief (pre-school children)​£16,000
Loan interest relief for main Jersey residence (see note 4)​£9,000 (max)

These increase the amount of income you can have before you pay tax and are also used to calculate marginal relief.​

Benefit in kind

Benefit in kind deduction
​A maximum deduction of £250 against the total of all benefits in the year, of an employee or office holder

Retirement annuity relief

​Deductions for your pension contributions
The combined total paid into all pension schemes in the year of assessment whichever is the lower of:
1. total pension contribution(s)
2. £50,000 less any excess
3. relevant earnings less any excess

​Paying into an approved pension scheme is a deduction from your earnings both at the standard rate and using the marginal relief calculation of tax. Deductions are given for tax approved schemes only.

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Flat rate expenses

Motor expenses​Flat rate per mile
Car60p
Motorcycle30p

Motor expenses can only be claimed if you use your vehicle for work purposes. Mileage can’t be claimed for commuting to and from work. Make sure you keep a record of your mileage as evidence for your claim. ​

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