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is updating its tax treaty so that it matches international tax rules.
Ms. Evelyn Wayne, who works on economic policy at the CARICOM Secretariat, said that the CARICOM Council for Finance and Planning (COFAP) agreed to change the treaty. They want it to meet the latest global tax standards that member countries have promised to follow.
To bring the CARICOM tax treaty in line with global standards, several updates are needed.
These include allowing the exchange of tax information between countries, creating clear processes for resolving tax disputes, and adding measures to prevent tax avoidance practices like shifting profits to low-tax countries.
The treaty must also ensure fair treatment for all CARICOM nationals and businesses, support the goals of the CARICOM Single Market and Economy, and follow guidelines set by the OECD.
It should also be flexible enough to include new international tax rules as they arise.
With help from the Organisation for Economic Cooperation and Development (OECD), a new part of the treaty has been created. It will allow CARICOM countries to share tax information and settle tax disputes.
Ms. Wayne spoke at the opening of a virtual seminar held on 19 March 2025. It focused on changes in international tax rules and what they mean for CARICOM countries. The seminar was hosted by the CARICOM Secretariat with help from several groups, including COTA, the OECD, IMF/CARTAC, and the World Bank.
Over 200 people from tax and finance departments in 21 Caribbean countries took part. They discussed fighting tax crimes and improving tax systems.
Ms. Wayne said the seminar was a chance to review tax developments and talk about how CARICOM countries can adopt new rules in a way that fits their needs. She said that since most CARICOM countries are building a shared economy, they need to use the same tax rules so that businesses and people from different countries are treated fairly.
She also mentioned the earlier Intra-CARICOM Double Taxation Agreement. It helped set the stage for tax cooperation even before the CARICOM Single Market and Economy (CSME) began.
Source: CARICOM.
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