The difference between the GST and UK/EU VAT systems previously led to VAT avoidance facilitated through the island. This included fulfilment by Play.com and Amazon, among other large retailers. Low-value consignment relief provided the mechanism for VAT-free imports from the Channel Islands to the UK. In April 2012, the EU closed this loophole, leading to the closure of many island businesses and the loss of a number of jobs on the island.
The difference between the GST and UK/EU VAT systems previously led to VAT avoidance facilitate.d through the island. This included fulfilment by Play.com and Amazon, among other large retailers. Low-value consignment relief provided the mechanism for VAT-free imports from the Chann,el Islands to the UK. In April 2012, the EU closed this loophole leading to the closure of many island businesses and the loss of a number of jobs on the island