Mauritius, South Korea Sign New Tax Deal
The Mauritian Government has announced that, on August 11, a tax information exchange agreement (TIEA) was signed between Mauritius and South Korea for the mutual sharing of tax information.
The TIEA provide for cooperation in tax matters between the two jurisdictions. The agreement, once ratified, will allow each country to obtain information on financial assets held and income earned in the other country by its residents.
The OECD’s Common Reporting Standard (CRS), the new global standard for automatic exchange of information for tax purposes, obliges all participating countries and jurisdictions to obtain financial information from their financial institutions and to exchange that information automatically with other jurisdictions on an annual basis.
South Korea is committed to being able to make its first CRS exchanges by next year, whereas Mauritius has confirmed that its first exchanges of information will take place from 2018.
The signatories of the TIEA were the Mauritian Minister of Finance and Economic Development, Pravind Jugnauth, and the South Korean Ambassador designate to Mauritius, Kwon Young-Dae.
The new agreement, which is intended to further develop trade and investment relations between the two countries, will work alongside the Investment Promotion and Protection Agreement that is already in force between the two countries.