More Caribbean TIEAs inked

By added on 06/04/2010

Dominica and Grenada, two of the Caribbean countries remaining on a “grey list” of countries that have failed to implement the internationally agreed tax standard, have become the latest jurisdictions to ink accords on exchange of tax information with the United Kingdom according to Dominica News.

The treaties were signed here ahead of the long Easter weekend by Stephen Timms, the UK Financial Secretary to the Treasury, and by Ruth Elizabeth Rouse, Grenada’s High Commissioner and her counterpart from Dominica, Agnes Adonis.

When the agreements are ratified by the signatory governments, and enter into force, they will allow the governments to request information about funds held in banks and other financial institutions, and trusts.

The two Eastern Caribbean countries are among three other regional countries — Belize, Montserrat and St Lucia — that remain on a grey list compiled by the Organisation for Economic Cooperation and Development (OECD) of jurisdictions that “have committed to the internationally agreed tax standard, but have not yet substantially implemented”.

To graduate to the OECD’s white list, countries are required to sign at least 12 TIEAs.

Barbados and the United States Virgin Islands were the only Caribbean states on the OECD’s white list when it was compiled a year ago. Since then, 10 other jurisdictions in the region – Antigua and Barbuda, Aruba, the Bahamas, Bermuda, the British Virgin Islands, the Cayman Islands, the Netherlands Antilles, and the Turks and Caicos Islands – have also joined them.