03 April 2009
Jersey’s Chief Minister has welcomed the outcome of the G20 summit, and in particular the recognition of those co-operative jurisdictions which meet international standards of financial regulation and tax information exchange.
Senator Terry Le Sueur says: “I welcome the action the G20 leaders are to take to tackle the global financial crisis, for success in this is important for Jersey as it is for all economies. I am particularly pleased that the G20 leaders have recognised co-operative jurisdictions and have agreed to apply measures against those uncooperative jurisdictions, unlike Jersey, which have not committed to exchange tax information on request.
“We have always been confident that Jersey’s position as a well-regulated, international finance centre which meets global standards of financial regulation and tax information exchange would be recognised internationally. We have also been sure that in due course international efforts would be directed at creating the global level playing field in the application of these standards that we have been looking for.
“We have been working closely with organisations like the OECD, the IMF, the Financial Stability Forum and the Financial Action Task Force on these matters for many years and our compliance with international standards has been confirmed by successive independent reviews undertaken by the IMF and others.
“We now look forward to continuing our programme of negotiating TIEAs with OECD and other jurisdictions, a process which we started with the USA in 2002. We will also continue to work with the international community in responding to the G20 summit’s recommendations for strengthening and enhancing financial regulation.
Jersey has been acknowledged as one of the leaders in such matters and we will seek to continue to be recognised as such through these turbulent economic times.”
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Notes to Editors:
1. For further information, please contact Senator Terry le Sueur on 07797 718798
Jersey has signed Tax Information Exchange Agreements with the USA (2002); the Netherlands (2007): the seven Nordic countries (Denmark, the Faroes, Finland, Greenland, Iceland, Norway and Sweden – in 2008) Germany (2008), the UK, France and Ireland (2009).
Negotiations are well advanced with Australia and New Zealand and discussions are underway with Italy and Spain.
The Director of the OECD’s Centre for Tax Policy and Administration, Jeffrey Owens, said last week: “At a time when many countries have been promising change, Guernsey, Jersey and the Isle of Man have been delivering.
“Guernsey, Jersey and the Isle of Man have consistently supported the work of the OECD and the Global Forum on Transparency and Exchange of Information, with Jersey and the Isle of Man taking an active and constructive role in the work of the Global Forum’s Sub-Group on Level Playing Field Issues.
“The positive outcomes of the Sub-Group’s work, as well as the lead that these jurisdictions have taken in signing tax information exchange agreements, have played a big part in the developments in favour of greater transparency that we are now seeing around the globe.”
On signing a TIEA with Jersey earlier this year, the Financial Secretary to the Treasury, Stephen Timms, said: “Exchange of information and transparency between countries and territories is vital in combating tax avoidance and evasion. Jersey’s decision to embrace this principle is very welcome and a crucial step in the right direction.”
The Summary of Conclusions of the meeting in Paris called by France and Germany on the 21st October 2008 also called upon the participating countries to recognise the efforts made by certain jurisdictions such as Jersey that "have set out a new direction for their financial centres and have signed tax information exchange agreements, which constitute effective instruments for fighting international tax fraud and evasion."
The Federal Republic of Germany issued a Political Declaration when Jersey signed a TIEA with them in July 2008 which "welcomes Jersey as a member of the community of nations committed to international cooperation and information exchange on tax matters and wishes to assure the Government of Jersey that Jersey will be fully and equally treated as such by the German authorities".
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