A working group has been set up in Cayman to assist with the development of the Cayman Islands' legal framework for the automatic exchange of information for tax purposes.
This is being done in response to international initiatives that include US and UK FATCA.
Group chairman Roy McTaggart has said that the working group will provide recommendations regarding draft primary legislation, for consideration by the Legislative Assembly during its May session.
Mr McTaggart said: “AEOI is rapidly becoming the global standard for tax information exchange. While the public is increasingly familiar with the terms "US FATCA" and "UK FATCA", it is important for them to understand that those initiatives are mechanisms for the automatic exchange of information for tax purposes. Other mechanisms will develop, whether by individual countries or on a global scale.
“The working group is therefore assisting with the development of Cayman's legislative and regulatory framework to meet both the current needs of US and UK FATCA, as well as future AEOI initiatives."
The Cayman Islands saw a total of 761 licenses at the end of 2013, with 39 new licensees being signed on that year. The captive industry earned $12.6 billion in total premiums and had $69.2 billion in total assets as of the end of 2013.
