Fact vs fiction: BDA and industry respond to ICIJ reports
(Thomson Reuters ONE) -
HAMILTON, Bermuda, Nov. 10, 2017 (GLOBE NEWSWIRE) -- Reportage about hacked
data from global law firm Appleby has highlighted the substantial lack of media
understanding of offshore investment structures and Bermuda's long-time
reputation for tax transparency and cooperation with international authorities.
Bermuda is committed to the exchange of relevant information to legitimate
regulatory, tax and law enforcement entities. These can request and receive
information from Bermuda under information-sharing agreements, including TIEAs
and a multi-lateral treaty with more than 100 countries.
Automatic exchange of financial information is also an established part of our
economic system. The island's early adoption of OECD standards for Base Erosion
and Profit Sharing (BEPS) compliance clearly demonstrates this transparency via
several agreements that ensure automatic transmission of taxpayer financial data
to relevant authorities.
Notably, Bermuda is a signatory to the Multilateral Competent Authority
Agreement for automatic exchange of financial account information via Common
Reporting Standard (CRS) and Country-by-Country (CbC) reports. The island has
also signed a Model 2 intergovernmental agreement with the US under the Foreign
Account Tax Compliance Act (FATCA), again, enabling automatic exchange of
information from Bermuda-based financial institutions.
As a direct result of meeting these stringent standards, Bermuda this fall was
the first overseas territory to be awarded whitelist status by France for CbC
reporting. Bermuda is also judged "largely compliant" by the OECD Global Forum
rating following a peer-review process of tax-transparency standards-a rating
shared by Canada, Germany and Norway, among other nations.
Additionally, the UK has an agreement with all its Overseas Territories under
which Bermuda shares information within 24 hours. Our 70-year-old register-with
a starting threshold at incorporation of 10 percent beneficial ownership (vs UK
and others at 25 percent-is continuously updated when shares in a company are
transferred, as opposed to citing dates of incorporation or annual returns, as
is practice in the UK and other jurisdictions.
The issue of privacy versus secrecy has also been confused. Privacy provides
protection over confidential information within a well-regulated, safe
environment-yet ensures sharing with tax authorities under Bermuda's global
treaties. Secrecy, by contrast, enables concealment of information that should
be disclosed. Given Bermuda's strong record on compliance and global
transparency, our system respects privacy, yet shuns secrecy.
It should also be noted that "tax-haven" is a badly-understood term,
particularly by non-trade media. Bermuda does not qualify as a tax haven under a
clear OECD definition that stipulates criteria, including lack of transparency
and lack of information exchange. No or nominal tax is not sufficient to
classify a country as a tax haven. OECD definitions, notwithstanding, the term
"tax haven" is synonymous with tax evasion and secrecy-neither of which describe
Bermuda.
Bermuda understands and embraces the worldwide movement towards greater
financial transparency and regulatory cooperation and continues to commit to
international tax disclosure and compliance. We've shown leadership in this
sphere and have helped drive global anti-money-laundering directives and anti-
terrorist financing standards. These factors differentiate Bermuda from other
financial centres, and we stand by that reputation. Response from Bermuda
industry groups underscores our market's commitment to transparency:
"Bermuda is a transparent jurisdiction. We have robust regulatory standards and
we cooperate and share information with tax authorities and law enforcement
agencies. Bermuda is considered a leader on tax-transparency issues by the US
Departments of Justice and State, the US Treasury, the OECD, the Financial
Action Task Force (FATF) and G20 nations. Bermuda enforces the rules and
understands the importance of global compliance and transparency."
-Patrick Tannock, Chairman, Association of Bermuda International Companies
(ABIC)
"Bermuda is a place where capital is put to work taking on insurance risk. It is
a unique jurisdiction where its substantive insurance regulation has been
recognised by both the EU and the US as robust and comparable, and where
international regulatory standards are applied. MOUs with leading insurance
regulators mean that cooperation with insurance supervisors in the EU, the US,
and around the world is part of a routine. This regular information exchange is
complemented by treaty commitments with more than 100 jurisdictions for taxpayer
automatic exchange of information with global tax authorities. Bermuda's global
(re)insurers provide significant amounts of capacity that make insurance markets
more competitive. Bermuda's international regulatory and tax commitments are a
necessary complement to the role our (re)insurers play in global markets."
-Brad Kading, President & Executive Director, Association of Bermuda Insurers &
Reinsurers (ABIR)
Bermuda is one of the best regulated international finance centres, a fact
acknowledged by independent assessments from some of the world's leading bodies,
including the OECD. Bermuda is fully aligned with the highest standards of the
third anti-money laundering EU Directive and is a signatory to the IOSCO
Multilateral Treaty, an international benchmark for cross-border co-operation
between regulators. BALT is committed to the absolute integrity and high
international standing of Bermuda's trust industry. We work with the Bermuda
government and the BMA to ensure the trust industry continues to maintain the
superior international standards our jurisdiction is known for.
-Leah Scott, President, Bermuda Association of Licensed Trustees (BALT)
"Bermuda is not a place to hide money, as implied by recent sensationalist press
coverage. Bermuda is at the forefront of tax transparency, standing out from
other international financial centers due to its high level of compliance,
cooperation and exchange of information. The country is an early adopter of
international tax-reporting standards and is actively committed to deterring
money laundering and financial crime. Bermuda was the first overseas territory
to be awarded whitelist status by France for Country-by-Country reporting."
-Sylvia Oliveira, Director, Bermuda International Long Term Insurers &
Reinsurers (BILTIR)
"Bermuda has consistently ranked as a global leader in regulatory compliance and
transparency. BIMA, its regulated members and the regulated entities they
represent, work hard to maintain adherence to those high standards. BIMA fully
supports the Bermuda government and its intolerance of illegal activity or
breaches of compliance with Bermuda regulations and legislation. BIMA and its
members will continue to support the interests of our clients, protect the
interests of their policyholders, and we reiterate our commitment to the highest
standards of regulatory compliance and transparency."
-Grainne Richmond, President, Bermuda Insurance Management Association (BIMA)
Our Bermuda branch shares STEP's global mission to promote education and high
professional standards. A key part of what STEP members do in Bermuda and around
the world is to ensure they and their clients are compliant with all relevant
legislation and regulation. STEP Bermuda's hard-working members are employed in
a trust industry which is well regulated, transparent and cooperative. All STEP
members are expected to abide by the STEP Code of Professional Conduct, which
highlights the principal professional standards that a STEP member agrees to
uphold. STEP Bermuda members will continue to focus on providing excellent
service to the families whose trusts are established in Bermuda.
-Keith Robinson, Chair, Society of Trusts and Estates Practitioners (STEP)
Bermuda
MEDIA CONTACT:
Rosemary Jones
Communications Manager
rosemary(at)bda.bm
441 278-6558 |441 337-4696
CONNECTING BUSINESS
The BDA encourages direct investment and helps companies start up, re-locate or
expand their operations in our premier jurisdiction. An independent, public-
private partnership, we connect you to industry professionals, regulatory
officials, and key contacts in the Bermuda government to assist domicile
decisions. Our goal? To make doing business here smooth and beneficial.
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Bermuda Business Development Agency (BDA) via GlobeNewswire
Datum: 11.11.2017 - 01:44 Uhr
Sprache: Deutsch
News-ID 567698
Anzahl Zeichen: 9748
contact information:
Town:
Hamilton
Kategorie:
Business News
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"Fact vs fiction: BDA and industry respond to ICIJ reports"
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