Friday, October 08, 2010

BVI Signed TIEA with Germany

On Tuesday, October 5, the BVI government signed Tax Information Exchange Agreement with Germany. It was signed in London by Dancia Penn, the BVI's Deputy Premier and Minister of Health and Social Development, and Germany's Ambassador to the United Kingdom Georg Boomgaarden. This TIEA became the 18th signed by the British Virgin Islands, the 17th TIEA was signed about a year ago. Based on the OECD model, it allows both parties to request information from tax authorities of the respective countries to assist in tax investigations.

The BVI and Germany signed joint declaration where it is stated: “The Federal Republic of Germany and the British Virgin Islands have long been active in international efforts in the fight against financial crimes and each share a common commitment to develop and comply with international standards on money laundering, terrorist financing and financial regulation. The BVI's cooperation in fostering these international standards enhances its reputation as a globally-integrated and responsible financial centre.”

Also, a protocol was included on the agreement providing that BVI and Germany had no intention to introduce any discriminatory, prejudicial or restrictive measures based on harmful tax practices so long as the agreement is in force and effective.

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