Cayman Islands and Canada sign Tax Information Exchange Agreement
The government of the Cayman Islands has announced that a Tax Information Exchange Agreement (TIEA) has been signed with the government of Canada.
To welcome the signing, Cayman Prime Minister McKeeva Bush said: “This is indeed an important day for as we have come together to mark a significant milestone in the long-standing relationship between the Cayman Islands and Canada through the tax information exchange agreement we have just signed.” He added that the signed documents provide for comprehensive tax information sharing arrangements, which reflects the jurisdiction’s commitment to upholding and implementing international standards in the global financial services sector.
According to Bush, the signing of the TIEA will have a positive effect on developing mutual cooperation between the Cayman Islands and Canada. As a result of favourable tax treatment for active business income earned by Cayman subsidiaries of Canadian companies, the document is expected to bolster economic flows.