This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/uk-politics-22915954
The article has changed 8 times. There is an RSS feed of changes available.
| Version 3 | Version 4 |
|---|---|
| 'Tax havens' agree to clampdown on tax avoidance and evasion | |
| (34 minutes later) | |
| Britain's Overseas Territories and Crown dependencies have agreed to sign up to a new clampdown on tax evasion following a meeting with David Cameron. | |
| The prime minister said it was a "very positive step forward" ahead of the G8 meeting, which starts on Monday. | |
| But sources from the Crown Dependencies told the BBC a proposed register of companies, revealing the beneficial owners, may not work. | |
| They say it does not include trusts and the UK business community may object. | |
| Bermuda, the British Virgin Islands, the Cayman Islands, Gibraltar, Anguilla, Montserrat, the Turks and Caicos Islands, Jersey, Guernsey and the Isle of Man were all represented at Saturday's meeting at No 10. | |
| They have agreed to sign up to the Multilateral Convention on Mutual Assistance in Tax Matters - an initiative led by the Organisation for Economic Cooperation and Development (OECD). | |
| 'Vital' | |
| The PM said it had been a "very good" meeting: "Let's be clear why this tax issue matters. If companies don't pay their taxes or individuals don't pay their taxes we all suffer as a result. | |
| "It is important we are getting our house in order. What the Crown dependencies... have signed up to is basically the existing and the new standards for exchanging tax information. That is absolutely vital. | |
| "It is a very positive step forward and it means that Britain's voice in the G8, and [in] campaigning on this issue around the world for proper taxes, proper companies and proper laws... will be stronger." | |
| Ahead of the G8 in County Fermanagh, the government announced plans to require all British firms by law to register details of their ownership and beneficiaries with Companies House. | |
| The register would be available only to authorities such as HM Revenue and Customs in the first instance but the government would consult on making it public. | The register would be available only to authorities such as HM Revenue and Customs in the first instance but the government would consult on making it public. |
| Mr Cameron said he would like the register to be available to everyone but added: "I do not want to disadvantage Britain by doing something others won't do." | Mr Cameron said he would like the register to be available to everyone but added: "I do not want to disadvantage Britain by doing something others won't do." |
| Treasury Chief Secretary Danny Alexander told the BBC earlier that ministers hoped other countries would be prepared to create - and share - their own registers of beneficial ownership. | |
| "The goal here is to have an international tax system that ensures that there aren't places where secretive corporate structures can hide their money from the tax authorities," he said. | "The goal here is to have an international tax system that ensures that there aren't places where secretive corporate structures can hide their money from the tax authorities," he said. |
| Alongside the new register, the government is also continuing to push for automatic information exchange with Britain's Overseas Territories and Crown dependencies. | |
| Many of the islands and outposts are regarded as tax havens, although that is a label they strongly dispute. | Many of the islands and outposts are regarded as tax havens, although that is a label they strongly dispute. |
| Richard Murphy, director of Tax Research UK, told the BBC how automatic information exchange would work. | Richard Murphy, director of Tax Research UK, told the BBC how automatic information exchange would work. |
| "If, for example, you had an account in Jersey... Jersey would have to tell the UK you've got it and how much income you earn on it automatically, without your consent." | "If, for example, you had an account in Jersey... Jersey would have to tell the UK you've got it and how much income you earn on it automatically, without your consent." |
| But he added: "Let's be honest, tax havens deliberately disguise who has accounts in their jurisdictions, whether that is individuals by some form of banking secrecy or companies through the use of trusts and offshore companies." | But he added: "Let's be honest, tax havens deliberately disguise who has accounts in their jurisdictions, whether that is individuals by some form of banking secrecy or companies through the use of trusts and offshore companies." |
| Jersey, Guernsey and the Isle of Man have already agreed to some information sharing with the UK, but not all other countries. | Jersey, Guernsey and the Isle of Man have already agreed to some information sharing with the UK, but not all other countries. |
| Speaking after the meeting, Jersey's Chief Minister Ian Gorst said the label "tax haven" was "not a term we accept or acknowledge". | Speaking after the meeting, Jersey's Chief Minister Ian Gorst said the label "tax haven" was "not a term we accept or acknowledge". |
| "We are an open and transparent jurisdiction," he told the BBC. | "We are an open and transparent jurisdiction," he told the BBC. |
| "We're already meeting current international standards. We've got over 40 tax information exchange agreements, we don't have banking secrecy law, and we've said again today to the prime minister that actually we'd like to have the OECD convention extended to us." | "We're already meeting current international standards. We've got over 40 tax information exchange agreements, we don't have banking secrecy law, and we've said again today to the prime minister that actually we'd like to have the OECD convention extended to us." |
| 'Through persuasion' | 'Through persuasion' |
| Labour leader Ed Miliband said Mr Cameron must be prepared, if necessary, to get tough with any territories or dependencies which refuse to comply with the UK's demands. | Labour leader Ed Miliband said Mr Cameron must be prepared, if necessary, to get tough with any territories or dependencies which refuse to comply with the UK's demands. |
| "Britain, which has responsibility for arguably the biggest network of tax havens in the world, needs to use all its considerable legal power and authority to ensure all the UK overseas territories and Crown dependencies which act as tax havens sign up," he said in an article for The Independent. | "Britain, which has responsibility for arguably the biggest network of tax havens in the world, needs to use all its considerable legal power and authority to ensure all the UK overseas territories and Crown dependencies which act as tax havens sign up," he said in an article for The Independent. |
| Asked about the possibility of imposing such requirements, Mr Alexander said: "I think it's better to do it through persuasion... but look, if in the end it comes to that, I dare say we would consider it." | Asked about the possibility of imposing such requirements, Mr Alexander said: "I think it's better to do it through persuasion... but look, if in the end it comes to that, I dare say we would consider it." |
| In a report, the charity Christian Aid said the territories were the largest source of investment to developing countries, but these nations were losing tax worth £100bn a year because of the way money was moved through havens. | In a report, the charity Christian Aid said the territories were the largest source of investment to developing countries, but these nations were losing tax worth £100bn a year because of the way money was moved through havens. |
| Mr Cameron is expected to ask leaders including US President Barack Obama and German Chancellor Angela Merkel to sign up to a new set of core principles on tax at the G8 summit at Loch Erne. | |