The Organisation for Economic Cooperation and Development (OECD) has moved the British Virgin Islands and the Cayman Islands to its ‘white list’ of jurisdictions which have substantially implemented the internationally agreed tax standard.
In a statement on Friday, 14 August, Jeffrey Owens, Director of the OECD’s Centre for Tax Policy and Administration, said: “Today the British Virgin Islands and the Cayman Islands take their place alongside other countries that have substantially implemented the internationally agreed tax standard. Six jurisdictions have moved into this category since April. We look forward to working further with the British Virgin Islands and Cayman Islands as they extend their network of agreements and work to swiftly and effectively implement them.”
The Cayman Islands committed to the OECD’s international-agreed tax standard in 2000 and the BVI in 2002, and both territories steadily concluded agreements in the succeeding years. On 13 August the jurisdictions each entered into their 12th tax information exchange agreement by signing with New Zealand.
The BVI and Cayman Islands both possess sophisticated and robust regulatory regimes and modern financial legislation and both jurisdictions have been subject to detailed and regular assessments by organisations including the IMF, the Caribbean Financial Action Task Force, and the UK Government.