Barbados Signs Seven Bilateral Instruments to Facilitate Trade and the Exchange of Tax Information
Barbados has signed Double Taxation Agreements (DTAs) with the Czech Republic and with Iceland, protocols to update the tax information exchange provisions within existing DTAs with Sweden, Norway and Finland, and has signed new Tax Information Exchange Agreements (TIEAs) with Denmark, Greenland and the Faroe Islands.
Finalizing negotiations with the Czech Republic, Iceland, Sweden, Norway and Finland that were originally announced earlier this year, Barbados was able to enhance the country’s network of Double Taxation Agreements – a network that provides for both the facilitation of commerce and the legal basis for the reciprocal exchange of tax information with its treaty partners. Furthermore, Barbados has signed Tax Information Exchange Agreements (TIEAs) with Denmark and its dependencies Greenland and the Faroe Islands – clear proof of Barbados’ commitment to comply with the OECD’s 2008 standard regarding the bilateral exchange of tax information.
Addressing these significant developments, Minister George Hutson noted that, “Barbados remains steadfastly committed to the development and enhancement of its unique network of Double Taxation Agreements – the only treaty-based framework that can truly facilitate international economic development and the exchange of tax information.” However, he also noted that: “It was Barbados’ duty to respect the OECD’s Global Forum mandate to promote the rapid implementation of the standard on transparency within the global economy. Consequently, we are also pleased to announce the signing of our new TIEA with Denmark, Greenland and the Faroe Islands. Additionally, we are actively negotiating TIEAs with France and Germany which we hope to complete shortly.”
Minister Hutson placed these signings within an important context that, “Barbados has always positioned itself as a jurisdiction interested in, and capable of, exchanging tax information with its treaty partners. Barbados is therefore pleased that the Global Forum (on Transparency and Exchange of Information for Tax Purposes) will soon test the ability of jurisdictions to exchange tax information – an ability that Barbados has enhanced and refined for more than thirty years.”