The economies of Jersey and Guernsey are based on finance, tourism, agriculture and horticulture. The finance industry is now the most important, superseding tourism in Jersey and horticulture in Guernsey. The finance sector has achieved considerable growth over the last thirty years. The principal advantages of the Islands for the finance sector are:
- Political and economic stability.
- Quality professional services.
- Low rates of income tax.
- Nominal taxation for offshore companies and investment funds.
- No capital gains tax, gift tax, death duties or inheritance tax.
- No value added tax.
- No wealth tax.
- Proximity to the EU.
- Absence of exchange controls.
- Minimal disclosure for companies and trusts.
- Convenient time zone.
- Excellent communications worldwide.
- Effective but not overbearing governmental controls.
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