Singapore has signed a protocol with France that brings the two countries’ bilateral tax treaty into line with the Organisation for Economic Cooperation and Development (OECD) standard on transparency and exchange of information for tax purposes.
This being the 12th agreement that it has signed in accordance with the OECD standard, Singapore moves into the category of jurisdictions deemed to have substantially implemented the standard.
Singapore is the 15th jurisdiction to have moved into the “substantially implemented” category since April 2009. It is expected shortly to sign further agreements conforming to the OECD standard, including one today with Brunei.
As part of its commitment to implementation of the OECD standard, Singapore has recently passed legislation to enable its authorities to exchange information, including bank and fiduciary information, with tax authorities in other countries.
Singapore’s legislation, like that of other countries, will be peer reviewed in the context of the Global Forum on Transparency and Exchange of Information for Tax Purposes set up in September. The island nation is an active member of the Global Forum, being vice-chair of the Peer Review Group and member of the Steering Group.
“Singapore is a key player in the global financial community,” says OECD Secretary-General Angel Gurría. “The fact that Singapore has removed the legislative impediments to its implementation of the international standard is very welcome and it confirms that there is a new global environment of tax cooperation. No jurisdiction can stand apart from this movement towards greater transparency for tax purposes.”