Archive for October, 2013

Cayman-Australian dispute could damage Tax Co-operation

Thursday, October 31st, 2013

A recent court ruling on an ongoing tax dispute between the Cayman Islands and Australia could have far-reaching consequences for Tax Information Sharing Agreements (TIEAs).

In September 2013, Justice Charles Quin of the Cayman Islands Grand Court stated that it was illegal for the Cayman Islands Tax Information Authority to hand over documents about 2 companies registered in the jurisdiction to the Australian Tax Office (ATO).

These 2 companies, MH Investments and JA Investments, are related to Vanda Gould, an Australian businessman charged with tax and money-laundering offences earlier this month. Allegedly, the documents established a connection between Gould and the 2 offshore companies. They were shared with the ATO under a TIEA inked between the Cayman Islands and Australia in 2010. The TIEA only applies to tax periods beginning on July 01, 2010, but the case against the above-mentioned Cayman Islands companies relates to the years from 2000 to 2007.

In spite of a request by Charles Quin that the documents obtained by the ATO be returned or destroyed, Australian judge Nye Perram allowed them to be used as evidence in the USD 40 million Federal Court case.

According to tax lawyer Tony Anamourlis, the Cayman Islands ruling would make it difficult for the ATO to extract information from the jurisdiction. “It’s questionable now whether TIEAs are a workable tool to tackle tax evasion, fraud or criminality,” he said.

Carey Olsen becomes Listing Agent on CSX

Friday, October 11th, 2013

Carey Olsen has become a listing agent of the Cayman Islands Stock Exchange (CSX).

In accordance with CSX rules, a recognized listing agent sponsors all primary equity listings and investment fund listings.

Jason Allison, managing partner of Carey Olsen’s Cayman Islands office, said: “We had planned to apply to become a listing agent of the CSX later this year but client demand motivated us to bring the application forward.” She said that equity listings appear to be on the increase due in part to the introduction of new rules in 2012 that make it easier for “specialist companies” to obtain a listing. Carey Olsen’s clients have welcomed the expansion of offering to listing agency services.