STATEMENT BY PREMIER AND MINISTER OF FINANCE
HONOURABLE ANDREW FAHIE
ON EU LIST OF NON-COOPERATIVE JURISDICTIONS
MARCH 12, 2019
Ladies and Gentlemen of the Virgin Islands,
I am pleased to report to you that the European Union has announced today that it recognises the BVI as compliant with its fair taxation principles as well as being a cooperative jurisdiction.
For many months, we have been working closely with the European Union to meet its requirements regarding fair taxation. This milestone has been achieved due to the hard work and tireless efforts of the previous government administration and your new government. I humbly thank you as well for your continuous prayers to the God of our forefathers regarding this matter.
So I am pleased the EU has said the BVI will not be placed on its ‘blacklist’ of non-cooperative jurisdictions for tax purposes.
This is a significant outcome – but also in some ways it is not surprising.
Why? Because the BVI has always been a jurisdiction that keeps pace with international standards. We have also cooperated closely with the EU.
Although the BVI always has and will continue to provide substance to the global economy, the Economic Substance Act was passed to address the EU’s specific concerns. It includes the need for those companies and limited partnerships which are tax resident in the BVI to have premises, employment and expenditure located in the BVI.
As the new Leader of the BVI, I have instructed officials to continue positive engagement and discussions with EU officials to ensure additional technical issues are addressed as soon as possible.
Through positive engagement we will ensure that the BVI’s status as a leading and compliant finance centre is duly recognised, and today’s announcement by the EU is a stepping stone in the right direction.
God bless you all and God bless these Islands.