Cyprus has singed the Convention on Mutual Administrative Assistance in Tax Matters.
The Convention was originally developed by the Organisation for Economic Cooperation and Development (“OECD”) and the Council of Europe in 1988 and is considered as the “Global Standard” for the exchange of information and cooperation in tax matters while at the same time safeguarding taxpayers’ rights.
Currently more than sixty countries have signed the Convention, representing all G20 countries, the majority of OECD member countries and all major financial centres.
Signing the Convention reflects Cyprus’ commitment to transparency and increased tax cooperation at an international level while paving the way for additional tax treaties to be concluded and further enhancing Cyprus image and reputation.
Earlier this year, Cyprus has reached an Intergovernmental Agreement (“IGA”), with the US Department of Treasury with respect to the Foreign Account Tax Compliance Act (“FATCA”).