- Study Highlights BVI's Role As An Investment Conduit 23rd June 2017
The British Virgin Islands enables global investment and trade that supports more than two million jobs worldwide, says a new report.
The report – Creating Value: The BVI’s Global Contribution – was prepared by Capital Economics, an independent economics consultancy firm, and analyzes the British Virgin Islands’ global economic contribution.
It finds the territory facilitates over USD1.5 trillion of cross-border investment flows, equivalent to two percent of global GDP. It says that over USD15bn of tax revenues are generated annually for governments around the world via investment facilitated by the British Virgin Islands and from resultant economic activity.
The UK (USD3.9bn), the EU excluding UK (USD4.2bn), and China and Hong Kong (USD2.1bn) are the largest beneficiaries of this tax generation, the report claims.
Lorna Smith of BVI Finance, the territory’s financial services promotion agency, said: “The results of this study clearly demonstrate the significant contribution the British Virgin Islands makes to the global economy. Not only does the British Virgin Islands enable cross border trade and investment, it also supports millions of jobs and generates substantial tax receipts for governments globally. This brings tangible benefits to the lives of employees, voters, families and businesspeople around the world.”
Smith continued: “The report is unequivocal: contrary to some accusations, the British Virgin Islands is a sound and reliable center which has worked harder than many bigger nations to meet international standards, and is not a tax haven. This independent and authoritative report is equally clear in stating that the British Virgin Islands is not a center for corporate profit shifting. This helps clarify once and for all some of the inaccuracies and misunderstanding about what the British Virgin Islands is and the valuable role it plays in the global economy.”
- Anguilla Extends FATCA And CRS Reporting Deadlines 15th June 2017
Anguilla has given financial institutions further time to meet their 2014, 2015, and 2016 financial account reporting obligations under the Common Reporting Standard (CRS), and the US Financial Account Tax Compliance Act (FATCA).
The CRS is the single global standard for the collection, reporting, and exchange of financial account information on foreign tax residents on an automatic basis, while FATCA requires financial institutions to report on the foreign assets held by their US account holders or be subject to withholding tax of 30 percent on their US source income.
Electronic returns that were due on May 31, 2017, under the CRS, must now be filed by August 31, 2017. Electronic returns due under FATCA on May 31, 2017, must now be filed by July 31, 2017.
In addition to extending the reporting deadline, Anguilla says it expects to issue CRS guidance notes in June 2017, with the CRS online reporting gateway allowing submission of electronic returns to go live in July 2017.
- Gibraltar Partners With Spain-Engaged Firms On Brexit Response 9th June 2017
The Gibraltar Government has signed a new memorandum of understanding with companies and individuals engaged in trade and investment in Spain, and vice versa, to cooperate on ensuring a workable border post-Brexit.
The Cross Frontier Group, which signed the agreement with the Gibraltar Government, represents unions and business organizations in both Gibraltar and the Campo region of Spain. They are seeking to secure the free movement of goods and people, despite strained relations between Spain and Gibraltar. Over 10,000 Spanish workers and 2,000 other European workers cross the border to work in Gibraltar, and Gibraltar supports one in every six jobs in the Campo region.
The common aim of the cooperation deal is to facilitate and promote growth in the economies of Gibraltar and the Campo and ensure a fluid frontier.