Jersey Double Tax Agreements

On Monday, representatives of the government of Jersey, Guernsey and the Isle of Man signed the new agreements that significantly enhance and modernize Crown Dependencies` DTAs with the United Kingdom. These DBAs are in line with the new international tax standards, which are broadly in line with the OECD Standard Tax Convention, and include various erosion and profit-shifting (BEPS) measures. DBA protects Jersey`s tax rights and protects against attempted tax evasion or evasion. They also allow Jersey to exchange information with tax authorities in other countries. Jersey has about 10 full DBA with other countries and 12 partial double taxation agreements. Negotiations are under way with a number of other countries, which is expected to increase. In the 1950s, the initial double taxation agreements (“DBA”) between the United Kingdom and the Crown Dependencies came into force and have remained broadly unchanged since then. However, in response to growing calls from the OECD and its member governments for greater tax transparency, Jersey has sought to promote a serious international financial centre image and has begun to sign more tax agreements, tax information exchange agreements and other international agreements. A list of countries that have comprehensive double taxation agreements with Jersey Home, > Article > Jersey`s new Double Taxation Agreement (DBA) with the United Kingdom enters into force Double taxation agreements are agreements between two countries that aim: Guernsey has signed tax information exchange agreements (TIEAs) with 60 legal systems and comprehensive double taxation agreements (DBA) with Cyprus , Hong Kong, Isle of Man.

, Jersey, Liechtenstein, Luxembourg, Malta, Mauritius, Monaco, Qatar, Seychelles, Singapore and the United Kingdom. Taxes paid in these jurisdictions that are not paid on dividends or debt securities are accepted as a credit against the income tax owed by Guernsey. For many years, Jersey did not enter into tax agreements for political reasons. Prior to 2010, the only full double taxation agreements of the territory with the United Kingdom and Guernsey were. The crown dependencies sign a new double taxation agreement with the UK has been saved “There are two very important reasons why a new DBA is needed. First, it is very important to avoid double taxation, given the relationship between the company and the close individuals between Jersey and the United Kingdom. I expect this relationship to improve if the UK withdraws from the EU. Secondly, in concluding this agreement, we underline our total commitment to compliance with international tax standards set by the OECD.

On these two points, the Government of Jersey is pleased with the outcome of the negotiations on the new DBA, and I would like to pay tribute to the British tax officials for the constructive, positive and useful working relations we have enjoyed. These agreements, with the exception of the agreements with the United Kingdom and Guernsey, follow the OECD model. They all limit the double taxation of income and allow the exchange of information on demand. These DBAs were long overdue and are another example of how Crown Dependencies meet international standards. They contain, as might be expected, important anti-abuse provisions, but some provisions are welcome in areas such as withholding tax, particularly for local businesses. The Tax Information Exchange Agreement (TIEA) and the Protocol amending the 1952 Double Taxation Agreement, signed on 20 January 2009, came into force on 27 November 2009. The exchange of letters relating to the amendment of the TIEA, signed in London on 22 October 2013, came into force on 28 July 2014. The 2015 letter exchange came into effect on January 19, 2016 and comes into effect in Jersey on January 1, 2017.

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