On the 25th of November, 2013, a Tax Information Exchange Agreement was signed between Malta and the Cayman Islands, showing both States’ commitment to ensure international standards set up by the Organisation for Economic Co-operation and Development (OECD).
This type of agreement was developed by the OECD and grew out of the work of the organisation to combat harmful tax practices. The 1998 OECD report “Harmful Tax Competition: An Emerging Global Issue” identified “the lack of effective exchange of information” as one of the key criteria in determining harmful tax practices.
Mr. Wayne Panton, Cayman Islands’ Minister of Financial Services, stated, “These agreements are implemented by competent authorities who understand the legal nuances and importance of cooperating in the fight against illegal activity such as tax evasion and money laundering. Without them, criminals would continue to drain public coffers, and deprive both developed and developing countries of economic opportunities.”
For more information about exchange of information and or this particular agreement, kindly contact Dr. Jonathan De Giovanni, Director of Legal and International Tax.