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Jersey To Negotiate Tax Agreement With India

by Jason Gorringe, Tax-News.com, London Thursday, November 26, 2009

On returning from India, Jersey’s Treasury Minister Phillip Ozouf has announced that the two sides have agreed that work should commence to conclude a tax agreement to boost economic ties.

Alongside discussions on signing a comprehensive double tax agreement, which will likely include tax information exchange protocols, the two countries agreed upon setting up a formal system of briefings, to keep the Indian government informed about Jersey’s developing relationships with Indian businesses.

Ozouf stated:

“We are expecting significant trade flows to come out of a series of meetings we held with leading business people, and we have agreed to keep government officials informed as part of our developing relationship.”

“I am now convinced that if we are to make significant progress in this important emerging market, we need to have permanent representation in India. There is enough good quality business there which will provide investment in Jersey and enhance opportunities for Jersey firms to expand using Indian technical specialists."

He continued: "I will be discussing this possibility with the Chief Minister, the Economic Development Minister and with Jersey Finance.”

“There has been strong media coverage of our visit to India, and it was a very useful trip. There was a good response to our business and ministry briefings; we now need to move ahead with negotiating a tax agreement and I will certainly be discussing the resource implications of opening an office in India with my colleagues.”

Mr Ozouf concluded: “Jersey is well placed to provide Indian businesses with a key gateway to European capital markets. We can help Indian firms with their corporate finance structuring and to obtain a listing on the London Stock Exchanges, but we need people on the ground to raise awareness so that Jersey is the first choice in a highly competitive market.”

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