GIBRALTAR SIGNS TAX AGREEMENT WITH US
The Minister with responsibility for Financial Services, Albert Isola, signed an Intergovernmental Agreement (IGA) between the US Government and the Government of Gibraltar at a signing ceremony in the US Embassy in London on Thursday.
The agreement aims to improve international tax compliance through mutual assistance in tax matters based on an effective infrastructure for the automatic exchange of information and to Implement FATCA (Foreign Account Tax Compliance Act).
Mr Isola, has also been in London this week holding meetings related to both financial services and gaming.
Finance Centre Director James Tipping, Gibraltar Finance Senior Executive Michael Ashton and Gambling Regulator Phill Brear accompanied Mr Isola. The group held talks covering issues relating to Mr Isola’s portfolio with UK Government officials at the Treasury, the Foreign and Commonwealth Office and key private sector players amongst others.
The United States of America enacted provisions commonly known as ‘FATCA’, which introduce a reporting regime for financial institutions with respect to certain financial accounts.
The signing of the IGA with the USA follows consultation with the industry in Gibraltar and the views of a Working Group specifically set up to consider FATCA and its impact on the financial services sector.
“The international community considers automatic exchange of information to be the most effective way to tackle tax evasion while minimising costs for governments and business,” said Mr Isola.
“The signing of FATCA IGA with the United States demonstrates that Gibraltar is committed to working together with partner countries in leading the agenda on tax transparency, thereby boosting global efforts to eradication tax evasion.”
Julie Nutter, Minister Counsellor for Economic Affairs at the United States Embassy in London, signed the Intergovernmental Agreement on behalf of the Government of the United States of America.
