Information for people living in Guernsey but working for a company based outside of Guernsey
All businesses that operate in Guernsey and employ Guernsey residents are required to register as an employer with the Revenue Service, submit electronic returns and operate the employees' tax instalment (ETI) and social security contributions scheme. The payment of income tax and contributions is due at the end of each quarter.
With non-Guernsey businesses, there is currently no legal obligation to register with the Revenue Service but it is recommended that non-Guernsey businesses do register with us for ease of administration, compliance, and the security of employee state pension and benefits entitlement.
Guernsey income tax is 20% of assessable income. Social security contributions are paid at the rate as set yearly by the island's government, the States of Deliberation. Current class 1 rates (for employees and employers) are available in the downloads section of this page.
The social security contributions scheme consists of two parts, the employee share known as 'primary share' and the employer share known as 'secondary share'. While we cannot enforce that non-Guernsey employers pay the employer share of social security contributions, if they are not paid this could have an effect on the employee's contribution record and pension/benefits entitlement.
Where a non-Guernsey company does agree to pay the employer share we allow payroll and returns to be operated by the Guernsey employee, providing there is an agreement in place with the company, and trust that the company will pay over sufficient funds to the employee to cover the employer share.
