The official website for the States of Guernsey

Today

St Peter Port & St Sampson
Blue Bag
Clear Bag
Food Waste
Black Bag
Glass Bag

All Other Parishes
Blue Bag
Clear Bag
Food Waste
Black Bag
Glass Bag
More Information
weather iconCloudy with spots of rain at times. Persistent rain for a time tonight, then clear intervals and occasional showers from the early hours.
High12°CLow10°C
5 day forecastTide timetables
weather iconCloudy with spots of rain at times. Persistent rain for a time tonight, then clear intervals and occasional showers from the early hours.
High12°CLow10°C
5 day forecastTide timetables
Sign In

Economic Activity Return Guidance Notes

Share this page

These guidance notes cover all the frequently asked questions, to help you complete the Economic Activity Return. We will add to these notes as more questions get asked.

 

  • Who should complete the Economic Activity Return?

    • Although not compulsory this year, we encourage all sole traders or representatives of organisations that operate in Guernsey or Alderney to submit a return; this includes partnerships, companies, foundations, charities and any other (including not-for-profit) organisations.
  • What areas should the Economic Activity Return cover?

    • The data you provide should relate to all operations based within the Bailiwick of Guernsey. Please note, this can include fees or income generated outside the Islands by Bailiwick of Guernsey operations. In addition, Bailiwick of Guernsey operations may have incurred expenditure outside of the Islands, again these costs need to be included.
    • For branch offices based in the Bailiwick of Guernsey, where it may be difficult to apportion costs between head office and branch, estimates should be made as far as possible to determine the economic activity arising from the organisation in the Bailiwick of Guernsey, and a note recorded that an estimate has been made.
    • For head offices based in the Bailiwick of Guernsey, where it may be difficult to apportion costs between head office and branch, estimates should be made as far as possible to determine the economic activity arising from the organisation in the Bailiwick of Guernsey, and a note recorded that an estimate has been made.
  • What if I am a sole trader?

    • Mixed income equates to the remuneration plus profits of sole traders. It can be calculated as turnover minus expenditure. This figure for the self employed will include the value of the wage/salary that you pay yourself.
    •  
  • On Screen 3, what should be included as income (turnover)?

    • Income (turnover) consists of total gross income arising from normal trading activities and includes all invoiced sales and receipts/takings/revenue/commission earned and fees of the business in connection with goods and services. This can include income generated outside the Islands by Bailiwick of Guernsey based operations.
    • Include:
      • All sales of goods (except fixed capital assets), including exports
      • Income derived from the renting of property
      • Income from sub-contracted activities
      • For commission work, the commission/fee is to be included but not the full transaction price
    • Exclude:
      • Interest payments received and other similar income
      • Income recorded as extra-ordinary income in your accounts
      • Grants / subsidies from any source
      • Sale of fixed capital assets
  • On Screen 3, what should be included as expenditure (costs)?

    • Expenditure (costs) comprise total operating costs which should include staff costs and all other costs. This can include expenditure outside the Islands by Bailiwick of Guernsey based operations.
    • Include:
      • All Staff costs (Gross wages or salaries, employer's social security contributions, payments into pension funds by employers, redundancy and severance payments, overtime payments, bonuses, commissions, payments/benefits in kind, payments to those temporarily absent, accrued holiday pay)
      • Purchases of goods bought for resale
      • Other goods and materials such as office materials, machine parts, purchase of computer, transport 
      • Payment for services such as advertising and marketing, employment agencies, accountants, auditors, consultants, solicitors, surveyors, payments to sub-contractors, maintenance and cleaning services
      • Building repairs
      • Lease/rent paid on buildings, machinery and vehicles
      • All fuel, electricity and water costs
    • Exclude:
      • Bad debts
      • Depreciation
      • All bank and other interest payments
      • Capital expenditure (defined as the purchase costs and disposal proceeds of fixed assets, together with any other amounts treated as capital items for taxation purposes).
      • Sole traders/self employed should NOT include the value of the wage/salary you pay yourself
      • Employees' social security contributions
    • We appreciate that if you are a sole trader, you may or may not draw a regular wage or that your profit may be treated as a wage. In contrast to other organisation types, expenditure (costs) for sole traders or the self employed should NOT include the value of the wage/salary you pay yourself.
  • On Screen 3, what is meant by gross operating surplus?

    • Gross operating surplus is the term used in national accounting for company and organisation turnover minus expenditure (for sole traders, the equivalent is called mixed income, see below).
    • The values you enter should equal your answer to turnover questions less your answers to expenditure questions. Values entered can be positive (profit) or negative (loss) figures.
    • It is noted that these figures will likely differ from taxable profit figures provided to the Revenue Service in relation to the liability of income tax.
  • On Screen 3, what is meant by mixed income?

    • Mixed income is the term used in national accounting to refer to the profits of sole traders and any wages/salary they pay to themselves (for companies and organisations, the equivalent is called gross operating surplus, see above).
    • The values you enter should equal your answer to turnover questions less your answers to expenditure questions. Values entered can be positive (profit) or negative (loss) figures.
  • On Screen 4, what does expenditure on employees (staff costs) include?

    • Total employment costs include wages, salaries, bonuses, employer and self-employed social security contributions and contributions to pension and other health or welfare schemes.
    • Include
      • Gross wages and salaries (include all overtime payments, bonuses, commissions, payments to those temporarily absent, cost to employer of all health and welfare schemes and benefits in kind, accrued holiday pay)
      • Employer's social security contributions
      • Employer's contribution to pension funds
    • Exclude
      • Wages or salaries sole traders pay themselves
      • Payments to partners not in receipt of a regular salary, fee or commission
      • Travelling and subsistence expenses, these should be included in expenditure on other areas (non staff costs)
      • Amounts paid to sub-contractors, these should be included in expenditure on other areas (non staff costs)
      • Employees' social security contributions 
  • On Screen 4, what does expenditure on other areas (non-staff costs) include?

    • All other operating costs (excluding employment costs); total estimated expenditure on premises, transport, goods, materials and services purchased
    • Include
      • Purchases of goods bought for resale
      • Other goods and materials such as office materials, machine parts, purchase of computer, transport
      • Payment for services such as advertising and marketing, employment agencies, accountants, auditors, consultants, solicitors, surveyors, payments to sub-contractors, maintenance and cleaning services
      • Building repairs
      • Lease/rent paid on buildings, machinery and vehicles
      • All fuel, electricity and water costs
    • Exclude:
      • Bad debts
      • Depreciation
      • All bank and other interest payments
      • Capital expenditure (defined as the purchase costs and disposal proceeds of fixed assets, together with any other amounts treated as capital items for taxation purposes).
  • Can I save my return mid-way through and finish it off later?

    • Unfortunately it is not possible at present to save the submission and revisit it at a later date. For this reason it is really important to ensure you have all the information you are going to need to hand before you start. A summary of the questions you will be asked and the information you will need can be found here. We are hoping to introduce this functionality in future, but it would not have been cost effective to introduce it for the pilot.
  • Can I skip a screen and come back to it later?

    • Unfortunately it is not possible at present to skip to the next screen without having fully completed the one you are on. For this reason it is really important to ensure you have all the information you are going to need to hand before you start. A summary of the questions you will be asked and the information you will need can be found here. We are hoping to introduce this functionality in future, but it would not have been cost effective to introduce it for the pilot.
  • How do I know my return has been received?

    • Once your return has been sent, a confirmation message will appear on this screen (and an email will be sent to you). This means the Data and Analysis service has received a copy of your submission. In the email sent to you, there will be a PDF attachment, which is a copy of your submission to keep for your records.
    • If you do not see the confirmation on screen within a few seconds, please check there are no error messages further up the screen and try pressing send again. Please contact us if this does not work.
  • Why can't I move to the next screen or send my return?

    • The return includes mandatory fields (marked with an asterisk *), which you will need to have completed before you can move on to the next screen or submit the completed return. A red error message will show up on the screen to indicate if you have missed a mandatory field or if there may be an issue with the data you have entered.
    • You will need to tick the box to confirm that the details provided are true and complete to the best of your knowledge on the last screen and the recaptcha before you can send the completed return.
    • If you are still encountering problems please contact us.

 

 

 

 

Share this page

Add To Home

To add this page to the homescreen of your phone, go to the menu button and "Add to homescreen".


The menu button may look like
Three Dots or Box with an Arrow *some browsers' menu buttons may vary.