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Tax Information Exchange Agreement

A new tax information exchange agreement with Jersey was signed on 10 March 2009, alongside an arrangement amending the 1952 arrangement with Jersey for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income. Tax information exchange agreements play a vital role in HMRC's drive against offshore avoidance and evasion. They enable HMRC to obtain information not previously available for the purpose of assessing the amount of UK tax due. Jersey's decision is very welcome and a crucial step in the right direction. The Government are urging other countries who have not yet met international standards drawn by OECD to bring forward necessary reforms. After signature, the text of the agreement and the arrangement were deposited in the Libraries of both Houses and made available on HM Revenue and Customs' website. The texts will be scheduled to a draft Order in Council and laid before the House of Commons in due course.