Welcome to your May Newsletter |
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Our monthly roundup of news, events and sponsor reading material. |
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GAT is generously sponsored by: If your member firm is interested in sponsoring GAT, please contact us. |
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Members' Area Please note that the password to access your Members' Area page on the GAT website is "Trustees". The Members' Area will develop over time, and will be populated with consultation responses and papers / advice issued by GAT and / or the Technical Committee. |
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Dear Members, I am delighted that at the time of writing, a true sense of normality is on the horizon. You can read more about the new travel guidance in the newsletter. June is a busy month for the local fiduciary sector, with STEP's Annual Conference taking place on 10th June at Beau Sejour and Guernsey Finance once again holding its Sustainable Finance week from 9th - 11th June. |
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Our next GAT Luncheon will be held at Moores on Wednesday 7th July, at which we will also hold our Annual General Meeting. All members are warmly encouraged to attend and the invitation will follow shortly. If you are interested in standing for the GAT Committee, we have provided more details below. As always, I would be pleased to hear from members to understand any frustrations or concerns - contact me. Enjoy your May newsletter. Kind regards Rhona Humphreys GAT Chair |
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Our Annual General Meeting will be held on Wednesday 7th July 2021 in the Conservatory at Moores Hotel at 12.30pm. Registration details will follow. At this time we would like to invite Members and senior professionals working for Member firms to consider whether they or someone within their organisation may wish to stand for the GAT Committee. Both Individual Members and Members’ Representatives are eligible to sit on the Committee. Such persons are expected to nominate themselves. Interest should be registered by 29th June.
Interested individuals should be cognisant of the following rules per the GAT constitution:- - Committee members should devote adequate time to the role and should contribute constructively and openly to Committee discussion, both in Committee meetings and by correspondence.
- Before submitting a nomination to become a Committee member, potential Committee members should undertake to secure sufficient understanding of the functions and values of the Association and have time to meet what is expected of them, taking into account their other commitments.
- Committee membership shall be without fee or remuneration and Committee members should acknowledge that this shall not detract from their duties towards the Association in the furtherance of the aims, values and objectives of the Association.
- Each Committee member is expected to make himself or herself available to chair or participate in one or more sub-committee(s) or specific roles and to devote sufficient time and resources to the functions of such sub-committee(s) or roles to ensure the effective discharge of the mandate thereof.
Members interested in nominating themselves at the AGM are invited to contact GAT by email - info@guernseytrustees.org and/or GAT Chair Rhona Humphreys. |
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Member reminders - upcoming filing deadlines |
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Members are politely reminded of the following deadlines. CRS/FATCA All reporting Guernsey financial institutions must submit their 2020 FATCA and CRS reports to the tax authority on or before 30 June 2021. Please note: - Reporting Guernsey financial institutions must register and submit the report though the IGOR system ahead of the FATCA and CRS reporting deadline of 30 June 2021.
- The U.S. tax authority (IRS) added a new code (777777777) to the series of codes that reporting financial institutions can use when there is no taxpayer identification numbers (TINs) for account holders for FATCA reporting.
- CRS XML scheme version 2.0 and CRS user guide version 3.0 must be used for all CRS reporting, effective 31 January 2021.
Annual Validation All Guernsey companies must file an Annual Validation with the Registry between 1 June and 31 July (except companies incorporated in May of that year). The Annual Validation contains the details of the company as they were on 31 May. All Annual Validation submissions are made online at www.greg.gg The Annual Validation fee depends on the classification of the company. See here for the company fee schedule. Further guidance is available from the Guernsey Registry here |
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Commission’s 2020 Annual Report The Commission published its 2020 annual report and financial statements on the 13th May. Talking about the report, the Commission’s Director General, William Mason noted that: “Last year, in common with the rest of the world, the Bailiwick had to deal with the effects of the global pandemic. During that period, the Commission faced a number of additional challenges as did our licensees. I was therefore particularly pleased that despite this, thanks to the hard work and dedication of our staff, we managed to undertake a significant amount of policy work in addition to developing a new approach to the day job of supervising over 2,000 financial services entities whose offices were closed and their staff working from home. In the circumstances, we also turned in a pretty reasonable financial performance given the challenges and constraints with which we had to contend.” Much of the key policy work undertaken last year was designed to assist industry including, for example, the introduction of a fast track application regime for managers of overseas collective investment schemes. In addition, a new process was introduced for the formation of new cells within an insurance protected cell company to enable trusted insurance providers to form cells more quickly to meet client demand in a flexible fashion. 2020 also saw the Commission became the first regulator in the world to offer an enhanced capital regime for insurers investing in good quality green assets which should help to underpin the Bailiwick’s ‘green’ credentials. |
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Commission to deregulate Non-Guernsey Scheme regime |
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A Non-Guernsey Scheme is a collective investment scheme that is not established or incorporated in the Bailiwick of Guernsey and is not authorised or registered by the Commission. Commenting on the decision, the Commission’s Director General, William Mason said: “I am pleased that the Commission has been able to identify an opportunity to deregulate an area of financial services supervision. What this means in practice is that licensees will no longer be required to notify the Commission of, and seek prior approval for, a proposal to carry on the activities of management, administration or custody in connection with a specific non-Guernsey collective investment scheme. It will, of course, continue to be a requirement that such activities, when conducted by way of business in or from within the Bailiwick, are conducted by persons licensed under the Protection of Investors (PoI) Law.” The Commission will continue to monitor the type of investment business undertaken by regulated firms and the risks they pose to the Commission’s core functions, by extending the annual reporting by PoI licensees to include certain information on activities undertaken in respect of investment assets serviced in Guernsey. |
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The Civil Contingencies Authority (CCA) has announced the travel rules that will be in place from 1 July 2021 |
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The new travel regime will be much more closely aligned to the UK ‘traffic light’ system, and the testing and self-isolation requirements will largely depend on whether someone has come from what the UK considers to be a Green, Amber, or Red country. For arrivals coming from within the Common Travel Area there will be no testing or self-isolation requirement. The Common Travel Area includes the United Kingdom, the Bailiwick of Guernsey, the Bailiwick of Jersey, the Isle of Man and the Republic of Ireland. While it is currently the intention for all travellers from the CTA to be considered as ‘Blue’ when the new travel rules are introduced, the States of Guernsey may determine ahead of rule changes coming into effect that jurisdictions or regions within the CTA should be classified separately. |
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The table below explains Guernsey’s own ‘traffic light’ travel rules and how it works alongside the UK’s rules: |
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States Accounts 2020, published on 25th May, reflect the impact of COVID-19 on public finances |
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The overall net impact on the States' financial position is estimated to be £83.9m. This comprises: - £51.3m of business and personal support expenditure including £7.5m paid out in grants to small businesses; £35.6m in payroll co-funding; and £7.7m in specific support packages;
- £28.3m as an increased charge for accumulated Aurigny losses;
- £5.3m as a provision for the overdraft requirement of Guernsey Ports; and
- £3.3m of net revenue income shortfalls
- Offset by £4.3m of net expenditure being lower than budgeted despite increased COVID-19 related costs in some areas.
While this is an improvement compared to the forecast for the impact of COVID-19 (estimated at £99.1m) included in the 2021 Budget it nonetheless reflects how extraordinary a year 2020 has been. |
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Payroll Co-Funding Scheme extended and creation of a Visitor Attraction Support scheme announced |
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The Policy & Resources Committee have agreed to continue the Payroll Co-Funding Scheme for an additional three months and have also announced the intention to launch a Visitor Attraction Support scheme. The Payroll Co-Funding Scheme will now continue until the end of September 2021. |
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Early feedback is positive for new Personal Tax Return |
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Since going live at the beginning of May, over 2,000 people have gone online to submit their return. This compares to about 18,000 returns completed online by individuals during the last tax year. The feedback received has been overwhelmingly positive and the average rating received has been 4 out of 5, or a rating of 'good'. Individuals who submit a return are asked to provide feedback and rate the online service. Many of the positive responses call out the new form for being easy to use and much better than the previous return. Customers also like the new estimated liability tool which tells them, based on the figures they have included in the return, if they would have tax to pay or might be owed a refund and they like the progress bar which tells them how much of the return they have completed. Sarah Davies, Head of Service Delivery said: "We are still at the early stages of developing this new form so we welcome all feedback from our customers. We are really pleased that customers are finding the new online return much easier and quicker to use. We have already taken on some suggested enhancements - we've provided additional information for spouses who haven't been granted access to the return, so they understand why and how they can change this; we've also updated our pension questions to make them clearer and we're working on updating the list of occupations to make it more comprehensive. Whilst we acknowledge there's no pre-population for this first year of the new return, it is a good opportunity for customers to check their details are up-to-date. Once we enhance the form to enable this having correct information will make sure it's even faster for customers to complete their return." |
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Quotations sought for Discrimination Legislation training |
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The Committee for Employment & Social Security is seeking quotations from potential suppliers capable of providing training to support the implementation of Discrimination Legislation. The new legislation will make it unlawful for employers and service providers to discriminate against a person on the grounds of race, disability, carer status, sexual orientation or religious belief. Employers and service providers (including providers of goods and services, accommodation, education and clubs and associations) will need to familiarise themselves with the requirements of the new legislation before it comes into force. The Committee is keen to provide a wide range of training, in different formats and at different levels of detail, to meet the wide-ranging needs of the island community. It is anticipated that legislation will come into force towards the end of 2022. |
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Guernsey ‘ahead of the game’ for female representation in senior roles |
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More than half of trust & corporate service providers in Guernsey have two or more female senior managers, the survey sent by GAT on 16th April to you, our members, has confirmed. We found that 58% had two or more female senior managers, with 42% having two or more female directors. Other key takeaways from the survey included a belief that this figure is driven by talent in Guernsey’s workforce rather than a person’s gender. The findings were discussed by the panel at WE ARE GUERNSEY’s Women and Governance in Family Office webinar. Rhona Humphreys, Chair of GAT and Compliance & Operations Director at Imperium Trust, said the research showed Guernsey as having an above-average representation of women in financial services, and the island has a positive reputation for good governance. |
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Sustainable Finance Week demonstrates Guernsey’s commitment across range of sectors |
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WE ARE GUERNSEY – through Guernsey Green Finance – in association with the United Nations’ Finance Centres for Sustainability Global Network, is hosting a packed programme of physical and virtual events, based in Guernsey, covering the role of investment funds, private wealth and insurance in helping to meet the goals of the Paris Agreement and mitigate climate change. A mix of panel discussions and keynote speeches from thought leaders and industry professionals will explore financing sustainability against the backdrop of COP26 later in 2021. WE ARE GUERNSEY Green Finance Manager Stephanie Glover said Guernsey was proving its status as a leader in sustainable finance by exploring just how many different areas of the finance industry can make a contribution. “Guernsey’s commitment to sustainable finance started with looking at investment funds and introducing the Guernsey Green Fund regime. We have been recently examining the role of private wealth in financing sustainability and Guernsey is pushing forward by exploring where the insurance sector can play a part,” she said. “Guernsey aims to lead and educate others in positive change and this event will demonstrate that by covering a range of sectors. We hope that delegates across a range of industries will find the sessions useful and informative to them and their businesses.” |
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May 2021 US update - from James Crawford |
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As the mission to highlight Guernsey’s specialist financial services industry across the globe continues, we hear from WE ARE GUERNSEY’S Director of International Business Development James Crawford, who provides an update on the recent Private Wealth Roadshow in the United States. More than a year into the Covid-19 pandemic and its resulting curtailment of international travel, we have used technology to our advantage to reach one of our key target markets, the United States, to deepen our ties with the country and promote the reasons why Guernsey is the jurisdiction of choice for the servicing of private wealth. During April we ran a very successful and well attended virtual roadshow that focused on the US, where a panel of experts from Guernsey’s private wealth sector was on hand to answer queries from potential clients about what we have to offer. It has been extremely valuable to be able to speak to people in the region about Guernsey and learn about their perceptions of us. In the United States we have found that where people know about Guernsey, we have a reputation for providing a high quality of service and for being knowledgeable and efficient. Guernsey trusts are popular in the US, especially for property transactions. |
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Upcoming dates to note for your diary are included below. Remember to check our events calendar for Industry presentations and other events that may be of interest. |
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The final STEP Lunchtime Lecture of the 2020/2021 series will take place on 17th June at the OGH. The lecture will be preceded by the STEP Guernsey Branch Annual General Meeting, starting at 11.30am. STEP members are warmly invited to volunteer for the local committee. The nomination form can be accessed via the button below, or please contact us for further information. |
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STEP Guernsey has been delighted to be able to recommence our in-person lectures. The 2020/2021 series continues with both virtual and physical lectures and the next presentation by David Cooney of Collas Crill will take place on Thursday 21th June in the Colborne Room at the OGH Hotel. Please register HERE or by clicking the image above. Please ensure that you/your colleagues are on our local branch mailing list to continue to receive updates from STEP Guernsey. If you wish for a colleague to be added to our mailing list, please sign up here: STEP Guernsey Mailing List Our virtual lectures are available for a short period after the lecture. You can view details here: STEP Guernsey Online Lectures - please contact us for individual passwords. |
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The STEP Guernsey lecture series is sponsored by Ogier LLP |
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STEP Guernsey’s flagship event allows delegates to meet, network and gain important knowledge and technical updates from outstanding speakers in the industry. Delegates will gain valuable CPD points whilst learning from industry experts about a broad range of relevant and current topics. For 2021, this will be held on Thursday 10th June with a networking breakfast in the Concourse, followed by the main event in the David Ferguson Hall at Beau Sejour, Amherst, St Peter Port, Guernsey.
Tickets are ON SALE now! Our early bird discounted offer proved very popular, but there is still time to register for the event which boasts an impressive line-up of both local and globally-based guest speakers. |
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June GTA Courses & Events |
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Members may be interested in the following courses and events taking place in June: How to conduct Enhanced Due Diligence Efficiently: from Open Source to Human Intelligence This interactive half day course is intended to provide OSINT tools and knowledge above and beyond compliance checks to help delegates fine tune their due diligence skills. Delegates are given an essential overview of the skills they need to understand and conduct thorough enhanced due diligence and what that should entail. An essential course for those dealing with onboarding clients or those dealing with PEPs and HNWI and needing additional information for compliance sign off. Cost: £195 Enrol by: 7 June 2021 Venue: GTA University Centre Times: 09:30 to 12:30 Further details and registration here. Developing Boardroom Presence This half day course is for those wanting to develop their professional impact within the boardroom. This course will review and reflect on personal experiences and explore tactics and techniques that will enhance attendees’ ability to communicate ideas with greater confidence and ease. Cost: £195 Enrol by: 10 June 2021 Venue: GTA University Centre Times: 09:00 to 12:30 Further details and registration here. STEP Diploma in International Management Diploma 2 – Advanced Certificate in Company Law and Practice
The STEP Diploma in International Trust Management is recognised worldwide as the benchmark qualification for those working in the international trusts industry. The course is designed to develop and enhance your understanding of how trusts, companies and related structures are created, managed, regulated and operated as asset-holding vehicles for investments and related activities. Cost: £1,625 per Advanced Certificate Dates: Enrol by 11 June 2021 Venue: Online Further details and registration here. Money Laundering Compliance Officer (MLCO) Workshop
This half day course will visit all aspects of a money laundering compliance officer’s (MLCO’s) role, responsibilities and duties in a financial services business in Guernsey. The course will examine the AML/CFT framework in Guernsey and look at the regulatory frameworks in place as well as looking at the role of the MLCO and how to be effective in that role. Cost: £195 Begins: 16 June 2021 Venue: GTA University Centre Times: 09:00 to 13:00 Further details and registration here. Excellence in Customer Service
This one day course will challenge delegates to think about how they deliver excellent customer service within their organisation. Delegates will learn the disciplines, mind-set and tools to sustain and lead the highest level of service for their customers. Cost: £295 Start Date: 22 June 2021 Venue: GTA University Centre Times: 09:00 to 17:00 Further details and registration here. |
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KPMG #askKPMG webinar series continues |
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KPMG are delighted to present their latest #askKPMG Webinar Series, a practical and insightful digital presentation from their Tax, Advisory and Audit experts on the areas of business they think you need to know about most. The series' topics are chosen month-by-month and are determined by what’s relevant at the time due to the ever-changing climate we face as a result of COVID. Webinars are every Thursday, the next webinar is scheduled for Thursday 11th June and you can register for up-coming and watch past webinars from the series on-demand via the webpage. Please click the button below to register and for more information. |
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Guernsey Private Wealth Forum, 5th October 2021 |
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As a force for global good, Guernsey has a reputation for successfully channeling wealth into solving the issues that private clients care about. For more than 50 years, Guernsey has been providing specialist private wealth services, and the island has a breadth and depth of experienced professionals including fiduciary, investment management, tax, and legal services. WE ARE GUERNSEY Chief Executive said at the promotion agency's annual industry update in January that 2021 would be the year of private wealth. This year's Guernsey Private Wealth Forum, 'The Power of Capital', will focus on the good that wealth can do. Our panel will explore Guernsey as a centre for family offices and associated private wealth structures, discussing philanthropy along the suite of products Guernsey offers, and how sustainability runs through it all. For more information please click the button below, and for any queries on this event, please contact Emily Wild. |
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The next GAT Luncheon, together with the Annual General Meeting 2021, will take place on Wednesday 7th July at Moores Hotel |
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Members are warmly encouraged to attend. Aspida Group, one of our new sponsors for 2021/2022 will be presenting. More details and booking will follow shortly. |
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Inflation – a hidden threat for your clients’ portfolios? |
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A great fear stalks the land of asset management – the return of inflation. And with it, the death of an investing paradigm: the dominance of a traditional ‘balanced’ portfolio of 60% equities, 40% bonds. These 60:40 portfolios have been structured to provide a good level of long-term returns with a smooth ride. At Ruffer, we think traditional portfolios could face a monumental risk – bonds and equities falling in tandem in a more inflationary environment. To find out more please click the button below to read the full article. Please contact Rachel Holdsworth should you have any questions. |
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Compliance is necessary, why make it complicated? |
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Resolver by Aspida, is a cutting edge Governance, Risk and Compliance software designed to help businesses easily organise, manage and meet regulatory requirements, facilitating efficient and comprehensive compliance. Recently launched by Aspida, Resolver by Aspida enables in-depth and ongoing testing with the peace of mind that it incorporates all of the latest developments in Guernsey regulations and industry best practices to provide assurance to the board on the design and operating effectiveness of its internal controls, policies and procedures. The key benefits of Resolver by Aspida are: - Prioritise your highest risk regulations
- Gain organisation wide compliance oversight
- Reduce compliance fatigue on the business
- Prove compliance to regulators
At Aspida, we focus on helping you define, mitigate, manage and monitor your risks, whilst you focus on growing your business. Our Compliance, Risk Management and Assurance services are built around highly qualified and skilled staff providing multi-jurisdictional support tailored to fit your needs. As a recognised leader in the advisory and assurance space, we also bring you the most up-to-date processes and procedures used within the financial services world, internal audit capability and IT cyber compliance. Please click the button below or get in touch with us today to learn more about Resolver by Aspida and for a private demonstration. |
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Summary of Guernsey Taxation This briefing summarises certain key aspects of Guernsey taxation law for the calendar year 2021. Topics covered include corporate income tax, personal income tax, withholding tax, anti-avoidance, FATCA, double tax treaties and TIEAs, base erosion and profit shifting, economic substance and other taxes. | | |
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Guernsey foundations—an update Carey Olsen's Natasha Kapp and Laila Arstall explore the Guernsey foundation, which has proven to be a unique, highly adaptable and flexible vehicle, and a number of extremely high value and innovative Guernsey foundations have been established to date. The ‘Private Trust Foundation’ is an attractive alternative to the classic private trust company structure; and Guernsey foundations are growing in popularity as vehicles for the structuring of international philanthropic giving. There is an increasing trend of migration of foundations to Guernsey from other jurisdictions. | | |
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Did you know we have a LinkedIn page? |
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