Turks and Caicos Islands sign Tax Transparency Convention

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Turks and Caicos Islands sign Tax Transparency ConventionThere is a noticeable worldwide trend of disclosure and compliance changes to be implemented by tax havens after the push from the prime initiators the UK and the US. Recent legislative changes in the US, legal developments, and the new US Internal Revenue Service (IRS) enforcement efforts are the more likely triggers for this new trend. As part of a further concerted effort to prevent tax evasion, the Turks and Caicos Islands will sign the Convention on Mutual Administrative Assistance in Tax Matters in December. The UK overseas territory agreed to join the Convention during the G8 summit hosted by the UK earlier this year. The Convention was developed in 1988 by the Organization for Economic Cooperation and Development and the Council of Europe. The aim of the Convention is to facilitate all possible forms of administrative cooperation between jurisdictions in the assessment and collection of taxes. In particular, it is designed to combat tax avoidance and evasion. ‘As the lead on the OECD’s Global Forum issues in the Islands, I am very pleased with this development which once again demonstrates the Turks and Caicos Islands’ commitment to working with the international community to apply international standard of financial transparency,’ said TCI Acting Attorney General, Ms Rhondalee Knowles. ‘Becoming a signatory to the Convention will enhance the attractiveness of the Turks and Caicos Islands as a fully compliant, well-respected and regulated jurisdiction in which to conduct financial business.’