Agreement on the exchange of tax information with Jersey
14.07.2011 / 13:45
The Agreement between the Government of the Czech Republic and the Government of the States of Jersey for the Exchange of Information on Tax Matters was signed by Ambassador Michael Žantovský at the Czech Embassy in London on 12th July 2011.
Ambassador Žantovský was appointed and vested with full powers by the President of the Czech Republic Mr Václav Klaus to sign on behalf of Government of the Czech Republic. Senator Freddie Cohen, Assistant Chief Minister, signed the Agreement on behalf of the Government of the States of Jersey.
Senator Cohen mentioned during the signing ceremony that the financial sector in Jersey is very important for the island’s economy and directly contributes to more than 50 percent of its GDP. Financial institutions in Jersey cooperate closely with the financial sector in the City of London and have already provided 200 billion pounds in short term liquidity. He also told Ambassador Žantovský that Jersey had already signed 22 similar tax agreements with other countries and stressed that the Government of the States of Jersey attaches special importance to taxation issues. The proper working of its financial sector is given strong attention by the government so that all financial transactions are transparent and in accordance with international law.
The final text of the agreement was discussed and agreed in January 2011 at a meeting in the Czech Embassy in London by officials of the Czech Ministry of Finance and the Government of the States of Jersey.
The Czech Republic, by signing this agreement, is following the positive experiences gained in cooperating in the international exchange of tax information. It is also complying with recommendations made by the Organisation for Economic Cooperation and Development (OECD) and the European Union. The Agreement allows the Czech tax authorities to obtain information, important to managing the collection of taxes, and to investigate irregularities and tax evasion.
A similar agreement is to be signed with with other British Overseas Territories.