This week a release from the GIU noted: “Montserrat is presently undergoing a review by the Organisation for Economic Cooperation and Development (OECD) of its tax information transparency.
Montserrat had been placed on the OECD gray list in 2001 because of a lack of transparency and it had no agreements with other nations for the exchanging of tax information.
The release reported that according to Dulcie James, head of the Financial Services Commission, the peer review is taking place in two phases. “First they are checking whether we have the necessary legislation in place to handle the tax information exchange transparently and then in Phase 2 they will evaluate whether we are practicing it.”
The first part of the Phase 1 review has been completed. In this, Montserrat had to provide answers to a questionnaire to evaluate if it has put in place the proper legislation for dealing with tax information exchange. This standard form will be supplemented in the coming weeks by further questions from the assessment team.
With the signing of a TIEA with Germany at the end of October, Montserrat was removed from the list after it had secured the required minimum of 12 agreements.
The Peer Review assessors have been identified as Robert Gray of Guernsey, Ioannis Anastasiou and Jossif Fovakis of Greece.
Phase 1 assessors monitor and review the island’s progress towards transparency and exchange of information for tax purposes. Phase 2 considers the effectiveness of the transparency and exchange practices in Montserrat and whether they are in compliance with international regulations.
It is expected that the draft report will be submitted to the Peer Review Group for consideration in January 2012.
