Wednesday, September 23, 2009
The Bahamas government and the Principality of Monaco have concluded negotiations for a tax information exchange agreement (TIEA).
Bahamas Minister of State for Finance, Zhivargo Laing, and Ambassador of the Principality of Monaco, Gilles Noghès, signed the agreement at the Bahamas Ministry of Finance on September 18, 2009.
Laing said both countries have also agreed to continue dialogue towards further cooperation in the tax area by negotiating a double taxation agreement.
“The Bahamas and Monaco share much in common,” said Laing. “Both are small nations with the major portion of economic activities concentrated in the hospitality and financial services industries.”
“We look forward to a productive and cooperative relationship with the Principality of Monaco as our nations strive to adjust to the changing global financial and economic landscape and the emerging rules that are being developed to accommodate it,” he added.
Laing said the Bahamas-Monaco TIEA is the first of many similar agreements the government expects to sign in the weeks ahead, having made substantial progress in negotiations with a number of OECD and G20 countries.
“These negotiations are part of the effort made by the government of the Bahamas to meet its commitment to implement the standards for transparency and information exchange in tax matters that were developed by the OECD,” Laing explained, adding: “The government is confident that this agreement with Monaco and other pending agreements will allow the Bahamas to meet its commitment within the near future.”
The TIEA signed with Monaco is the second the Bahamas government has concluded, the first being with the United States on January 24, 2002.
For his part, Noghès said the signing of the agreement marks only the beginning of cooperation between the two countries, and that within the coming months a larger agreement between Monaco and the Bahamas will be signed.
Noghes and Bahamas Financial Secretary Ehurd Cunningham also signed an agreement on Administrative Arrangements for the Implementation of the TIEA.