Friday, October 31, 2008

Two Tax Agreements signed by BVI and United Kingdom

During the OTCC Meeting held in London on October 28-29 the Premier of the BVI Ralph O'Neal and UK Foreign Office Minister Gillian Merron signed Tax and Information Exchange Agreement (TIEA). This document was signed, along with double taxation agreement with the United Kingdom, on October 29, just some days after similar agreement was signed by the governments of the British Virgin Islands and Australia.

The TIEA signed by the BVI and UK officials provides for exchange of information on request concerning tax matters under criminal or civil investigation. This is the third TIEA signed by the BVI, - after the agreements with the US (2002) and Australia.

Ralph O'Neal commented on the signing of the Agreement saying that “The conclusion of this TIEA demonstrates the commitment of both the BVI and the United Kingdom governments to international co-operation in transparency and exchange of information... The BVI will continue to foster and develop international best practice in all areas of financial regulation.”

Also, during the OTCC forum the British Virgin Islands and the United Kingdom have signed an agreement for the avoidance of double taxation with respect to income tax. The agreement will bring substantial benefits to the residents of both countries.

Both tax agreements will come into force as soon as both governments complete legislative procedures needed to give them effect.

Along with the BVI, the OTCC meeting is attended by goverment delegations from several other British offshore territories in the Caribbean region, and the UK is to sign tax agreements with some of them.

No comments: