UK- British Virgin Islands Tax agreement
A new Tax Information Exchange Arrangement (TIEA) between the UK and the British Virgin Islands, which was signed in October 2008, entered into force on 12 April 2010.
The new TIEA will allow for the exchange of tax-related information. It is expected this new TIEA will help combat tax avoidance and money laundering involving both countries. The arrangement will apply to taxpayers who are resident in either the UK, the British Virgin Islands or in both jurisdictions. In the UK the agreement will apply to income tax, corporation tax, capital gains tax, inheritance tax and VAT. The exchange of information provisions meets the OECD standards.
The TIEA will take effect from the start of the 2010/11 tax year in the UK and from 1 January 2011 in the British Virgin Islands.