Jersey Finance has welcomed the future signing of a Tax Information Exchange Agreement (TIEA) with South Africa.
The purpose of such agreements is to provide for exchange of information which is of a substantive nature. Experience to date has involved disclosure in a number of cases where a robust proving process is satisfied before information is released to home tax authorities. The principal benefits attached to such agreements focus on reciprocal recognition from countries in respect of Jersey and its standing in the international community.
The information exchanged under the TIEA in respect of criminal and civil tax matters is exchanged between the competent authorities of both parties to the agreement where it is relevant to the assessment and collection of tax.
The industry is fully supportive of the series of TIEAs signed by the Jersey authorities which are set to continue. The agreements emphasize Jersey’s commitment to meeting international tax standards of transparency and information exchange and they demonstrate Jersey’s willingness to participate in global initiatives designed to strengthen the financial services system and combat fiscal crime.
Jersey’s finance industry has a long standing commercial relationship with South Africa and many of the leading financial services organizations in South Africa have an office presence in Jersey. This agreement would therefore reinforce an already solid relationship that the Industry in Jersey enjoys in South Africa for corporate governance and probity and the signing would only strengthen the commercial ties further.