The Cayman Islands government is planning to adopt a model one intergovernmental agreement (IGA) in response to the US Foreign Account Tax Compliance Act (FATCA).
A similar arrangement will also take place for further automatic exchange of information with the UK.
The model one IGA is an agreement between governments for the exchange of information. The most recent agreement will sit alongside the Cayman Islands's 31 other tax information agreements, including its most recent signing with Brazil.
Rob Leadbetter, chairman of the Insurance Managers Association of Cayman, said: This is another demonstration of Cayman leading by example in international regulatory initiatives. Cayman has had transparency gateways with tax authorities around the world for decades and so this is just another rung in that ladder. It will ensure that Cayman remains competitive as a well-respected international financial services centre.”
Rolston Anglin, minister of finance of the Cayman Islands government, said in the legislative assembly on 15 March: “This decision to adopt the model 1 IGA will fortify our good standing in the global community and continue to build on the solid foundation we already have in place with our existing agreements. We will continue to take our place in the international arena and ensure that we maintain our positive and informed engagement in the rapidly developing environment of international tax cooperation.”
