Government Announcements
Australia and the Isle of Man: tax cooperation agreements
30.01.2009
On 30 January 2009, the Assistant Treasurer 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 the Isle of Man.
The TIEA will provide for exchange of information, on request, for both civil and criminal tax matters. The agreement to allocate taxing rights over certain income of individuals and to establish a mutual agreement procedure in respect of transfer pricing adjustments will benefit residents of Australia and the Isle of Man by eliminating double taxation of certain income and providing a mechanism for the resolution of transfer pricing disputes.
The agreements are to enter into force after both countries have advised that they have completed their domestic requirements.
In addition to these agreements, Australia will remove any governmental references to the Isle of Man as a tax haven and, following the entry into force of the TIEA, will list the Isle of Man as an “information exchange country” in the Taxation Administration Regulations 1976.
For the text of the Assistant Treasurer’s media release, click here.
