The Cayman Islands has signed an agreement that sets the worldwide standard for automatic exchange of information (AEOI) among tax authorities.
In taking the significant step, Cayman has joined more than 50 countries and jurisdictions in signing the Multilateral Competent Authority Agreement (MCAA). The MCAA developed by the OECD, in cooperation with G20 countries.
Wayne Panton, Minister of Financial Services, Commerce and Environment, signed the Cayman Islands' formal Declaration on Joining the MCAA.
“Although Cayman is one of the more than 50 early adopters that have committed to begin AEOI exchanges in 2017, our history of cooperation reaches back to 2005, when we began participating in EUSD,” he said.
“Furthermore in April 2013, based on our understanding of the direction of global efforts, we informed the UK that we would join what was known then as the G5 pilot – an initiative announced by the UK, France, Germany, Italy and Spain, regarding the multilateral automatic exchange of tax information.”
Minister Panton noted that US also has indicated that it will undertake AEOI pursuant to FATCA from 2015, and that it has entered into intergovernmental agreements (IGAs) with jurisdictions, including Cayman, to do so.
“For Cayman to sign the MCAA is a logical progression in our longstanding international cooperation efforts, and we are pleased that so many countries and jurisdictions are now part of this worldwide effort to fight tax evasion via a global standard, across borders,” he said.
AEOI, MCAA, International, Cayman, Wayne Panton