Tuesday, September 21, 2010
The UK government announced on September 17 that it had signed a Tax Information Exchange Agreement (TIEA) with the Netherlands Antilles.
The TIEA will cover all islands, and will allow the UK tax authority, HM Revenue and Customs (HMRC), to obtain data from the Netherlands Antilles relating to:
The agreement, based on the OECD model agreement, will allow the UK tax authority to request tax information - to be transmitted confidentially - to aid in civil tax matters, and in the investigation of fiscal crime where there is evidence of the perpetration of such.
The agreement extends to all those involved in financial services in the Netherlands Antilles, including "banks, other financial institutions, and any person acting in an agency or fiduciary capacity including nominees and trustees". In addition, under the terms of the agreement, HMRC can seek information relating to "the ownership of companies, partnerships, trusts, foundations, 'Anstalten' and other persons; in the case of trusts, information on settlors, trustees and beneficiaries; and in the case of foundations, information on founders, members of the foundation council and beneficiaries; and equivalent information in the case of entities that are neither trusts nor foundations".
The agreement works on a reciprocal basis, thereby allowing the Netherlands Antillesí competent authorities to request information relating to UK taxpayers with ties to the Antilles to facilitate in the administration of tax.
The agreement, signed on September 10, will enter into force following the conclusion of both partiesí individual ratification procedures.