The Cayman Islands and Belgium have officially signed a tax information exchange agreement. Cayman Financial Services Minister Wayne Panton and Belgian Ambassador Godelieve Van den Bergh signed the agreement last week at the Government Administration Building in Grand Cayman. The tax information exchange agreement is the 35th into which the… – Continue reading
Against global trends, gradual growth in both the Cayman Islands and the British Virgin Islands (“BVI”) merger and acquisition (“M&A”) activity continued through 2013, led by flagship deals in both established and emerging markets. The flexibility, certainty and efficiency of the statutory merger regimes make both of these leading offshore… – Continue reading
Are the Cayman Islands The Next Offshore Target? The U.S. has cast its tax net far and wide, more a shotgun than a rifle shot. Mixing fishing and shooting metaphors seems appropriate to show just how no-holds barred American tax officials and prosecutors can be. Yes, boxing too. The Cayman… – Continue reading
On 29 November 2013, the Cayman Islands government signed a Model 1B (i.e. non- reciprocal) intergovernmental agreement with the United States of America (the “US IGA“). The US IGA provides a framework for the implementation of the US Foreign Account Tax Compliance Act (“FATCA“) in the Cayman Islands. Cayman primary… – Continue reading
You pay your fair share of taxes. Small businesses do too. It’s the price we pay to educate our kids, protect our communities and have some security in retirement. Why shouldn’t some of America’s largest corporations pay their fair share too? Corporations are making record profits. But 111 profitable Fortune 500… – Continue reading
On 29 November 2013, the Cayman Islands government signed a Model 1B (i.e. non- reciprocal) intergovernmental agreement with the United States of America (the “US IGA“). The US IGA provides a framework for the implementation of the US Foreign Account Tax Compliance Act (“FATCA“) in the Cayman Islands. Cayman primary… – Continue reading
The Cayman Islands is one of the world’s leading offshore jurisdictions for the establishment of investment funds. As at 30 September 2011, there were 9,444 funds (predominantly hedge funds) registered with the Cayman Islands Monetary Authority (CIMA) under the Mutual Funds Law. There are also significant numbers of private equity… – Continue reading
The Cayman Islands continue to be the pre-eminent offshore jurisdiction for hedge funds. Around 85 per cent of the world’s hedge funds are domiciled in the Cayman Islands, enabling the jurisdiction to outrank competing offshore centres (the British Virgin Islands, Bermuda and Jersey among them) as the top spot for… – Continue reading
The offshore jurisdictions are commonly thought to be highly secretive, with banking secrecy being an important part of what those jurisdictions offer to businesses and individuals who use them. For example, in 2000, the U.S. Treasury Department issued an advisory notice stating that extra vigilance was required in doing business… – Continue reading
U.S. authorities are expanding their investigation of hidden overseas assets far beyond Switzerland. The latest focus: the Cayman Islands. Undercover agents from the Internal Revenue Service conducted a yearlong probe that led to the arrests in Miami last month of three financial advisers based in the Caribbean territory. This past week, an… – Continue reading
The Justice Department is cracking down on wealthy Americans sheltering their money in the Cayman Islands. On Wednesday night’s Daily Show, John Hodgman strapped on his “deranged millionaire” persona to find an alternative tax haven. David Marchant, an offshore banking expert at OffshoreAlert.com, recommends that Hodgman park his panda-hunting assets in… – Continue reading
The Cayman Islands government has announced, by way of a Gazette dated 21 March 2014, its intention to introduce a registration and licensing regime for directors of certain regulated entities in the Cayman Islands. This has been anticipated since the Cayman Islands Monetary Authority (“CIMA“) conducted its industry wide corporate… – Continue reading
Ghana and Denmark have signed a Double Taxation Agreement, moving the bilateral cooperation between the two countries to another level. A Double Taxation Agreement regulates the tax treatment of income or capital gains in situations where the same taxpayer is subject to tax in two states with respect to the… – Continue reading
As 2008 began, the future looked brilliant for green energy giant Suntech Power and its high-flying founder, Shi Zhengrong. Suntech was one of the world’s largest makers of solar panels, the first non-state-owned Chinese company traded on the New York Stock Exchange. And Shi, born to a farm family so… – Continue reading
What is FATCA? FATCA or the Foreign Account Tax Compliance Act, is actually a section of the Hiring Incentives to Restore Employment (HIRE) Act passed into United States law in March 2010, that comes into force on 1 July 2014. It is unique in its extra-territorial reach, being an attempt… – Continue reading
More bits of information have emerged regarding China’s secretive, young billionaire Perenna Kei. After Forbes Magazine put Kei on their list of the world’s youngest billionaires, the search for details began. Most publications could not confirm her identity, as several photos were published mistakenly labeling Kei. A new photo of… – Continue reading
Boeing won’t be paying any taxes this year [“Boeing has big tax refund coming from Uncle Sam — again,” seattletimes.com, March 1]. Instead, by deferring tax payments, it will be getting a $199 million refund. It’s not alone; many corporations are avoiding taxes altogether through loopholes. In the Senate there is… – Continue reading
The U.S. Virgin Islands is attempting to lure small businesses with substantial corporate tax breaks, in a bid to create jobs and diversify the tiny territory’s $4.2 billion economy. Democratic Gov. John de Jongh toured New York late last week with regional economic development officials, meeting companies and investors. De… – Continue reading
Some states are going after multinational corporations which avoid state taxes by stashing some of their earnings in offshore tax havens, an effort aimed at recouping some of the more than $20 billion states lose to such gimmicks each year. Shifting income to subsidiaries in places like the Cayman Islands… – Continue reading
Country’s corporate tax rate sits at about 25 per cent As Canadians dutifully file personal income tax returns during the coming weeks, consider this: many profitable companies pay little or no tax. In an interview this week on The Sunday Edition, Dennis Howlett, executive director of Canadians for Tax Fairness,… – Continue reading
Cayman is continuing preparations for the implementation of the US Foreign Accounts Compliance Act (FATCA). So far the island has signed two inter-governmental agreements (IGAs), and legislation is currently being drafted to meet the requirements of the new law. Chief Compliance Officer at DMS Offshore Investment Services Don Ebanks says… – Continue reading
Small business owners can feel a little bit like ping-pong balls when elected officials start talking about taxes. I’m a board member of the Maine Small Business Coalition, to which 3,600 Maine small business owners belong. I’m also a registered nurse and owner of a home child care center where… – Continue reading
A tightening noose around the necks of tax avoiders in some parts of the world saw Guernsey’s financial regulator approve 103 new investment funds in the crown dependency during 2013. There is no capital gains tax or inheritance tax in Guernsey. The corporation tax on financial firms is just 10%,… – Continue reading
A tightening noose around the necks of tax avoiders in some parts of the world saw Guernsey’s financial regulator approve 103 new investment funds in the crown dependency during 2013. There is no capital gains tax or inheritance tax in Guernsey. The corporation tax on financial firms is just 10%,… – Continue reading
George Town, Grand Cayman – For persons who want to let Government know their thoughts on beneficial ownership of companies – including if Cayman effectively maintains information on who owns the companies, and if that information is readily available to appropriate authorities – the deadline to respond is this Friday,… – Continue reading
The Isle of Man is kind of like the United Kingdom’s version of the Caymen Islands. Technically it’s a crown dependency, and the British government is responsible for its defense and foreign relations. But it’s also completely self-governing with one of the oldest Parliaments in the world. The “island administration,” which… – Continue reading
INTRODUCTION On 31 January 2014 the Crown Dependencies of Guernsey and Jersey jointly issued draft Guidance Notes (in conjunction with the Isle of Man) on the implementation of obligations arising under the intergovernmental agreements (“IGAs“) signed by each island with the UK in October 2013 and with the US in… – Continue reading
The law’s onerous provisions are scheduled to go into effect in the coming year. However, even as this regulatory reckoning approaches, a group of US citizens residing abroad is making progress pushing for repeal. The looming United States Foreign Account Tax Compliance Act (“FATCA”), intended to prevent tax cheating, is… – Continue reading
Is Ireland a tax haven? The Irish government bristles at the question, given rising interest in cracking down on offshore financial centers, but research from a Trinity College professor is pretty definitive: Yes, it is. When Ireland’s leaders defend their country from accusations that global companies like Apple use Irish… – Continue reading
Cayman is taking steps to implement the legal aspect of various Tax Information Exchange Agreements (TIEA). A working group, made up of public and private sector representatives, is helping to develop the legal framework for the automatic exchange of information for tax purposes, in order to respond to the international regulations… – Continue reading
As part of its plan to go paperless, General Registry is now piloting the second phase of its upgraded online system, during which the department will receive feedback on how well the system works. After three weeks, there have been no major glitches to correct and a number of efficiencies… – Continue reading
