26/09/2014 –The Philippines has become the 68th signatory of the Multilateral Convention on Mutual Administrative Assistance in Tax Matters, the most powerful international instrument to fight international tax avoidance and evasion. To enter into force, the Convention must now be ratified by The Philippines.
The signature of the Convention by the Philippines is quite timely as it will facilitate its implementation of the OECD Standard for Automatic Exchange of Financial Account Information in Tax Matters (“the Standard”) published last July. The Standard calls on governments to obtain detailed account information from their financial institutions and exchange that information automatically with other jurisdictions on an annual basis. The Standard was formally presented to G20 Finance Ministers on 20-21 September 2014 at their meeting in Cairns, Australia.
The G20 has called on the Global Forum on Transparency and Exchange of Information, of which the Philippines is a member, to monitor implementation of the Standard.
The Convention provides the ideal instrument to swiftly implement automatic exchange and to do so with many partners. Automatic exchange requires an administrative agreement between the competent authorities of the Parties willing to provide each other information automatically.
The 68 signatories to the Convention are: Albania, Andorra, Argentina, Australia, Austria, Azerbaijan, Belgium, Belize, Brazil, Cameroon, Canada, Chile, China, Colombia, Costa Rica, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Gabon, Georgia, Germany, Ghana, Greece, Guatemala, Hungary, Iceland, India, Indonesia, Ireland, Italy, Japan, Kazakhstan, Korea, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Mexico, Moldova, Morocco, Netherlands, New Zealand, Nigeria, Norway, The Philippines, Poland, Portugal, Romania, Russian Federation, San Marino, Saudi Arabia, Singapore, Slovak Republic, Slovenia, South Africa, Spain, Sweden, Switzerland, Tunisia, Turkey, Ukraine, United Kingdom, and United States.
Fifteen jurisdictions are also covered by the Convention through territorial extension by Denmark: the Faroe Islands and Greenland; by territorial extension by the Netherlands: Aruba, Curaçao and Sint Maarten; and by territorial extension by the United Kingdom Jersey, Guernsey and Isle of Man (Crown Dependencies) and Anguilla, Bermuda, British Virgin Islands, Cayman Islands, Gibraltar, Montserrat, and Turks & Caicos (Overseas Territories).
For more information please contact Pascal Saint-Amans, Director of the OECD’s Centre for Tax Policy and Administration.