Above: the British Virgin Islands

By the Caribbean Journal staff

The British Virgin Islands and the United States are close to signing an agreement on implementing the US’ Foreign Account Tax Compliance Act financial law (FATCA).

Last week, the two sides concluded their talks on the agreement, initialing the final text of an agreement.

In a statement, the British Virgin Islands said the move paved the way for the agreement’s “imminent signing and implementation.”

The initialing follows several months of bilateral talks, the BVI said, during which time the British Overseas Territory “negotiated and received various exceptions for relevant entities such as Non-Profit Organizations and Pension Plans and their accounts,” it said.

“The initialling of the FATCA IGA is another important signal of BVIs commitment to global standards on transparency,” said British Virgin Islands Premier and Finance Minister Dr Orlando Smith. “BVI has long been a strong and willing partner with well-developed systems and laws that facilitate exchange of information for regulatory, law enforcement and tax purposes.  We are therefore pleased to continue to advance the BVI in tandem with the emerging standards on tax transparency.”

The government said the conclusion of talks was “another step in the direction that shows this Territory’s willingness to cooperate.”