Portugal, Guernsey Sign TIEA

by Phillip Morton, Investors Offshore.com

16 July 2010

The Guernsey government has noted the recent signing of a Tax Information Exchange Agreement (TIEA) with Portugal, concluded in London.

The agreement was signed by Guernsey’s Chief Minister, Lyndon Trott and the Portuguese Secretary of State for Tax Affairs, Sergio Vasques at the Portuguese Embassy in London on July 9.

Under the terms of the TIEA, Guernsey will, on request, exchange bank and other information relating to both criminal and civil tax matters.

The signing of the latest agreement for Guernsey brings the territory’s tally of agreements that are compliant with the Organization for Economic and Cooperation Development’s internationally-agreed standard to sixteen.

The island has already been recognized for its commitment to tax transparency through information exchange in its April 2009 inclusion on the G20’s ‘white list’ of 'territories that have substantially implemented the internationally-agreed standard.'

Commenting, Trott, said: “Our recognition by the G20 was an important milestone for Guernsey’s future as a premier international financial centre, but we have not stopped there. Guernsey is committed, not only to ensuring that it has completed its programme of entering into tax information exchange agreements with all its significant trading partners, but also to ensuring the prompt and effective implementation of these agreements.”

The signing of the Portuguese TIEA came alongside important meetings with the new UK government minister with responsibility for links with the Crown Dependencies. The new Minister of State at the Ministry of Justice, Lord Tom McNally, held meetings with Trott and other delegates from the two other Crown Dependencies – Jersey and the Isle of Man – who also on July 9 signed similar agreements with Portugal. Guernsey also attended a number of meetings and briefings attended by UK parliamentarians.

“Lord McNally and I had a very constructive conversation on a wide range of issues relevant to the Guernsey-UK working relationship. It was a highly productive discussion, and I am looking forward to working closely with him over the coming months and years,” Trott said of the meetings.

“Aside from meeting the new Minister, I have had the opportunity to brief a number of very influential UK Parliamentarians on issues of direct relevance to the people and economy of Guernsey. We already have strong relationships across the new coalition government in the UK – this visit was about building even stronger relationships with the government and across the UK Parliament.”

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