The Jersey Taxation Society will work closely with industry working parties in the coming year to fi...
The Jersey Taxation Society will work closely with industry working parties in the coming year to finalise a decision on tax information exchange agreements (TIEA).
John Riva, president of the Jersey Taxation Society and partner at KPMG, said although there had been much discussion on TIEAs since the Organisation for Economic Co-operation and Development launched the concept in 1997, Jersey had yet to officially take action on the matter.
He said it would now work closely with the government, regulator and other working parties to bring the issue to a head.
Riva said: "As an industry we need to give a steer as to whether we want the government to sign these agreements or not. Jersey should only sign if there are fiscal benefits. Confidentiality is obviously a primary concern."
He said Jersey had already agreed a TIEA with the US, adding: "There is huge industry debate on this topic. We also need to see whether the likes of Switzerland will sign any agreements."
Riva said if Jersey agreed to any TIEAs there would have to be significant investment from the government, to ensure confidentiality at the highest level.
"It is such a sensitive area, that any requests for information would have to be dealt with by a specific controller."
Phil Austin, chief executive of Jersey Finance, said the island had now established a Fiscal Strategy Group, to look at the role of local and external tax, as well as a Market Access Group, to address any barriers to business.
Austin said: "We now have to ascertain whether these agreements are beneficial for Jersey as an international finance centre. Industry groups are working with the government and the regulator as we speak."
Austin added that if Jersey was to sign any TIEAs, they would be looked at on a country-by country basis.
Jersey government to decide in 2006 whether to implement TIEAs
Working parties set up to investigate options
TIEAs to be looked at on a country-by-country basis
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