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Bahamas And China Further Tax Cooperation,
by Phillip Morton, Investors Offshore.com
Thursday, December 03, 2009
On December 1, the governments of China and the Bahamas signed an OECD model agreement
on the exchange of tax information. The agreement was signed by the Bahamaian
Minister of Foreign Affairs and Deputy Prime Minister, Brent Symonette, and Chinese Ambassador to the
Bahamas, Dingxian Hu.
Thanking the Chinese Ambassador for his influential role in the negotiation
of the Tax Information Exchange Agreement (TIEA), Symonette noted that the agreement
was the first of its kind undertaken by China.
The TIEA is the sixth concluded by the government
of the Bahamas which incorporates the accepted international standards in respect
of transparency and effective information exchange in tax matters. It is the
third TIEA concluded by the government of the
Bahamas with a member of the G-20.
The Deputy Prime Minister also touted the agreement as another milestone in
the ever deepening relationship between the Bahamas and China. Together with
the Investment Promotion and Protection Agreement with China, the TIEA provides
an enhanced framework for economic cooperation.
The investment agreement was signed in early September on the occasion of a
visit to the Bahamas by Wu Bangguo, Chairman of the Standing Committee of the
National People’s Congress of the People’s Republic of China.
It
addresses the conditions for creating, stimulating, encouraging, promoting,
improving, and protecting investment by Bahamian and Chinese investors in both countries.
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