 The States says GST will remain at 3% for at least three years |
A decision by the States to exempt charities from a new sales tax in Jersey has been welcomed. Many island organisations were concerned the 3% Goods and Services Tax (GST) would include charities.
In December it was announced businesses making less than �300,000 a year would not have to register for the GST.
Treasury Minister Terry Le Sueur has now decided approved charities in Jersey will be able to recover any tax they pay on their expenditure.
Family Nursing and Homecare said it welcomed the minister's decision.
Spokeswoman Karen Huchet said if it had not been exempt, it would have had to charge its clients for medical supplies and home care visits, amounting to nearly �20,000 a year.
The 3% GST will be introduced in 2008 under a new tax system, which is predicted to leave a �100m hole in the government's finances.
The States has said the tax will remain at 3% for at least three years.