Island adds Canada to its list of TIEAs

An agreement between the Isle of Man and Canada will lead to more investment between the two countries.

That was an assurance given by the Canadian High Commissioner at the signing of a Tax Information Exchange Agreement in Government Offices today (Monday).

The Island's 18th such agreement, and the 21st to meet the OECD international standard on tax cooperation and transparency, was signed by James Wright and Treasury Minister Anne Craine, in front of officials and representatives of the local media.

Mr Wright said Canadian companies, especially those involved in the insurance industry, had been part of the local economy for over 20 years, and had a visible presence and a real impact on the Island (play audio file):

Minister Craine said she was delighted to welcome the Canadian High Commissioner to the Island for the signing of the agreement, which opened up a new channel of tax cooperation between the two countries.

She said: 'This is something of a milestone for the Isle of Man, being the 21st agreement we have concluded in compliance with the OECD (Organisation for Economic Cooperation and Development) international standard on tax cooperation and transparency.

'The Island's growing network of tax agreements around the world shows that we are serious about supporting global solutions and developing economic relationships.'

Mr Wright added: 'The signing of a Tax Information Exchange Agreement is important for both Canada and for the Isle of Man, as it reaffirms our shared desire to meet the highest international standards of financial regulation.'

A media release from the Manx Treasury said: 'The Isle of Man has been at the forefront of the OECD's tax transparency and cooperation agenda and has been on the OECD 'white list' of countries complying with the global standard for tax cooperation and exchange of information since the list was first published in April 2009. The agreement is designed to promote international cooperation in tax matters through exchange of information.'

It went on: 'The Island's first TIEA was with the USA in 2002 and agreements since then have included the Netherlands, the Scandinavian countries, Ireland, the United Kingdom, Australia, Germany, France and most recently China.

'In addition the Isle of Man has three Double Taxation Agreements, also complying with the OECD standard, with Estonia, Belgium and Malta.'