Roadtown, Tortola - Premier and Minister for Finance Honourable Ralph T. O’Neal, OBE affixed his signature today to an agreement that will change the Virgin Islands’ status in the international arena.
Honourable O’Neal signed the Territory 12th Tax Information Exchange Agreement with New Zealand at that country’s embassy in Washington, DC.
After signing the agreement the Premier said, “the conclusion of this TIEA demonstrates the commitment of both the BVI and the New Zealand governments to the principles of transparency and effective exchange of information outlined by the Organisation for Economic Cooperation and Development (OECD).”
The signing of this 12th TIEA means the BVI will now be placed on the “white list” of those countries which have substantially implemented the internationally agreed tax standard as set by the Organisation for Economic Cooperation and Development (OECD).
“We are delighted that, in signing this TIEA with New Zealand today, we are now on the OECD’s white list,” Honourable O’Neal stated, adding that “the BVI is committed to cooperation and collaboration through these agreements. Today’s agreement is very much part of an ongoing process. We hope to sign our 13th TIEA with the Netherlands in the very near future and are in discussion with Ireland as well.”
The BVI signed its first TIEA with the United States of America seven years ago and has engaged in talks with a number of countries since then with a view to signing similar agreements.
In addition to the US, the Territory has agreements with the United Kingdom, Australia, France and the Nordic group of countries including Denmark, Finland, Iceland, Norway and Sweden. Additionally, all members of the OECD have been approached and the BVI aims to conclude more agreements over the coming months.
Under the guidelines provided by the Organisation for Economic Cooperation and Development (OECD) and the new international tax standard emanating from the G-20 Summit in April this year, jurisdictions are required to sign at least 12 TIEAs.
The BVI’s move to the OECD “white list” means that it now joins the likes of the United States, the United Kingdom, France, Germany and Canada among the group of countries which have substantially implemented the internationally agreed tax standards.
Tax Information Exchange Agreements provide for the exchange of information between signatories based on requests relating to specific criminal or civil tax matters that are under investigation.
British Virgin Islands News