01/04/2009 - The Cayman Islands has signed bilateral agreements with seven Nordic economies - Denmark, Sweden , Finland, Greenland, Iceland, Norway and the Faroe Islands - on exchange of information for tax purposes.
These agreements mark a further significant step forward in international efforts to implement standards of transparency and exchange of information in tax matters developed by OECD’s Global Forum on Taxation.
They bring to eight the number of such agreements entered into by the Cayman Islands, as it already has a tax information exchange agreement with the United States
In addition to these TIEAs, the Cayman Islands has also enacted legislation that allows it to exchange information unilaterally with countries that it chooses to identify. A number of OECD countries have now been identified that could benefit from this new provision.
Jeffrey Owens, Director of the OECD’s Centre for Tax Policy and Administration, welcomed these developments. “The Cayman Islands was one of the first jurisdictions to commit to the new standard in May 2000,” he said. “I welcome the fact that this commitment is now being implemented by the latest TIEAs. Their new legislation is innovative and could speed up the process of implementing the standard.”
Since it committed to the standards, the Cayman Islands has worked with OECD member countries to further develop and implement the principles of transparency and exchange of information. It was one of 11 jurisdictions that contributed to the development of the Model Agreement on Exchange of Information in Tax Matters, on which the bilateral agreements with the Nordic economies are based. The Cayman Islands has also been an active participant in the Global Forum’s Sub-Group on Level Playing Field Issues.
OECD’s work in this area is focussed on the development and implementation of high standards of transparency and exchange of information designed to enable countries to fully and fairly enforce their tax laws. The OECD has welcomed a number of announcements in recent weeks supporting this work and providing specific timelines for implementation.
Mr. Owens stated, “I am very pleased to see the pace of implementation now being accelerated and I appreciate the fact the Cayman Islands has sought to simplify the means by which to broaden its information exchange relationships The Cayman Islands is setting a good example.”
For further information journalists are invited to contact in the Cayman Islands, Ted Bravakis (tel +3452 442 266) for the Nordic economies, Per-Olav Gjesti (tel + 47-22 24 44 72) or Torsten Fensby (tel: +33 6 78 25 12 89) or in France, the OECD’s Media Division (tel: + 33 1 452 4 97 00).
For more information visit the OECD's site on tax - www.oecd.org/tax