Income
Tax (Amendment of Law – Taxation of Cannabis Companies) (Jersey) Regulations
2021
Made 24th November 2021
Coming into
force 1st January 2022
1 Income Tax (Jersey) Law 1961 amended
These Regulations amend
the Income Tax
(Jersey) Law 1961.
2 Article 123C (non-financial services companies) amended
(1) For the heading to Article 123C there
is substituted –
“123C Tax
rate for companies”.
(2) After Article 123C(1)(b)(iii) there is
inserted –
“(iv) a company in the cannabis
industry (as defined in Article 123DA).”.
3 Article 123DA
(companies in the cannabis industry) inserted
After Article 123D there is inserted –
“123DA Companies
in the cannabis industry
(1) A
company is in the cannabis industry for the purpose of Article 123C(1)(b)(iv)
if it carries on one or more of the following activities –
(a) cultivates cannabis
plants;
(b) processes cannabis plants
for any purpose;
(c) distributes, sells or
further processes cannabis plants that have been cultivated or processed under paragraph (a)
or (b) by a connected company.
“cannabis plant” –
(a) has the meaning given to
cannabis by Article 1(1) of the Misuse
of Drugs (Jersey) Law 1978; but
(b) does not include
industrial hemp;
“industrial hemp” means a cannabis plant with a tetrahydrocannabinol
content not exceeding 0.2%, cultivated for the purpose of using only –
(a) the mature stalk of the
plant;
(b) fibre produced from the
mature stalk of the plant; or
(c) the seed of the plant.”.
4 Citation and commencement
These Regulations may be
cited as the Income Tax (Amendment of Law – Taxation of Cannabis Companies)
(Jersey) Regulations 2021 and come into force on 1st January 2022.