Offshore News: October 2009

5.10.2009: Singapore and Mexico signed a protocol to incorporate the international standard of OECD for the exchange of information for tax purposes into their existing agreement for the avoidance of double taxation (DTA), which had been signed on November 9, 2004.
The protocol will provide the tax authorities of Singapore and Mexico more possibilities to exchange taxpayer information and to exchange information on a wider range of taxes. It will come into force after Singapore's legislative amendments to give effect to the internationally agreed standard within its DTAs have been approved by Parliament and gazetted into law, and 30 days after it was notified that ratification procedures have been completed.
The signing of this protocol between Singapore and Mexico brings the number of jurisdictions with which Singapore has incorporated tax information exchange agreements to ten.

15.10.2009: The Cayman Islands announced that it has signed a tax information exchange agreement with France. This is the thirteenth agreement for the Cayman Islands, and it is considered legally binding following receipt and signature by the Budget Minister of France Eric Woerth. On behalf of the Cayman Islands, it was signed by the Leader of Government Business, McKeeva Bush.
Bush said that the signing of this document, secured by the Ministry of Financial Services negotiating team, “signifies the Cayman Islands continued commitment to OECD standards for transparency and exchange of information on tax matters.” Also, he added that this agreement would probably act as a catalyst for French companies looking to diversify into new markets. Whilst providing the assurance of mutual co-operation, market access and smooth capital flows, it will contribute to growth in international business and local economy.

26.10.2009: Liechtenstein's Prime Minister and OECD Secretary-General held talks about the current status of the worldwide implementation of the OECD standard in tax matters, in particular, Liechtenstein's progress in this matter. Prime Minister informed the OECD about a number of successfully concluded bilateral tax information exchange agreements and double taxation agreements.
The Prime Minister of Liechtenstein announced that the country will soon be removed from the “grey list” of the OECD. He confirmed willingness of Liechtenstein to participate in the newly formed OECD Global Forum on taxation, and reiterated its focus on continued and close co-operation with the Financial Action Task Force on Money Laundering (FATF).
The meeting also involved discussions on multilateral approaches such as the Anti-Fraud Agreement between Liechtenstein and the EU, which in its current draft incorporates the exchange of tax information according to OECD standards.