OECD To Boost Tax Cooperation With Gulf Region

by Lorys Charalambous, for LawAndTax-News.com, Cyprus

20 April 2007

It emerged earlier this month that the Organisation for Economic Cooperation and Development and the United Arab Emirates are to join forces in a drive to strengthen tax co-operation between the countries of the Middle East and North Africa (MENA) and between these countries and OECD members.

Under an agreement signed between the OECD and the UAE in Dubai, the two partners will work together to establish a regional dialogue on the negotiation and application of tax treaties, as well as to produce an official Arabic version of the OECD Model Tax Convention.

Jeffrey Owens, Director of the OECD’s Centre for Tax Policy and Administration, noted that:

“This agreement strengthens the ties between the UAE and the OECD and will help reduce the tax barriers to trade and investment flows both within the region and between MENA and OECD countries.”

The UAE recently confirmed its commitment to high standards of international cooperation in the tax area.

“The OECD very much welcomes the UAE’s endorsement of the standards of transparency and exchange of information in the tax area that are published in that report,” Mr. Owens commented, continuing:

“We are pleased to see one of the world’s fastest growing financial centres joining OECD countries and other financial centres in working towards a level playing field in these areas. I hope other major financial centres will follow this example.”

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