16 Jun 099 Australia-Jersey Tax Information Exchange AgreementIn a media release issued on 15 June 2009, the Assistant Treasurer, Senator Nick Sherry, announced the signing of a tax information exchange agreement (TIEA) and an agreement for the allocation of taxing rights over certain income of individuals between Australia and Jersey. Concluding TIEAs with offshore financial centres supports Australian Government initiatives to combat offshore tax avoidance and evasion. The agreements come into force once both countries have completed domestic requirements. Legislation will shortly be introduced into the Australian Parliament.
In addition to these agreements, the Assistant Treasurer said that Australia will remove any governmental references to Jersey as a tax haven and, following entry into force of the TIEA, will move to list Jersey as an 'information exchange country' in the Taxation Administration Regulations 1976. This will provide Jersey residents with access to reduced withholding tax rates on distributions of certain income they may receive from Australian managed investment trusts.
For a copy of the Assistant Treasurer's media release, No 2009/002, 15 June 2009, go here
For a copy of the Agreement for the Allocation of Taxing Rights and the Australia-Jersey Tax Information Exchange Agreement, go here