Premier Meets US Treasury Officials
Published 30th March 2011, 11:21am
On Wednesday, 23rd March 2011, a delegation led by the Premier, Hon. W. McKeeva Bush, met with Michael Danilack, Deputy Commissioner (International) of the Internal Revenue Service and other senior officials in the US Treasury to discuss matters concerning the implementation of the Foreign Account Tax Compliance Act (FATCA) provisions.
In response to a letter submitted by the Cayman Islands Government outlining concerns regarding the eventual implementation of the FATCA provisions, the IRS invited representatives from the Cayman Islands Government and the financial services industry to Washington in order to hold further discussions.
“This, for us, was more of a fact-finding mission in order to gain a clearer understanding of the intentions and implications of FATCA”, explained Premier Bush. “Our pro-active approach was well received, and we were able to share our viewpoints and some suggestions we have. While it was made very clear to us by the IRS/US Treasury officials that this is not a matter which singles out the Cayman Islands, this is a matter which will impact institutions and practitioners, as well as individuals who are American citizens residing outside of the United States.”
“The IRS and US Treasury recognize our strong history of cooperation and leadership in implementing tax information assistance to the United States, and we assured them that we would be seeking to ensure full compliance with FATCA once this comes into effect.”
The Premier has also announced that the Cayman Islands Government will offer a Tax Seminar to be held in mid-April in order to provide greater clarity and promote compliance. The Premier continued, “We recognize that there are many questions about US taxes and we believe that our Government can assist by facilitating a Tax Seminar that educates those living and working in the Cayman Islands.”
Representatives from Sidley Austin LLP, the Cayman Islands’ legal representatives in Washington DC, assisted in arranging Wednesday’s meetings in Washington DC and will be brought down to Cayman to speak at the Tax Seminar. “The access to key US Government officials, expertise on US legislative policy, and advice to local people about US taxes are prime examples of the tremendous benefits the Cayman Islands are receiving from our international representatives”.
In the afternoon, meetings were also held with senior Republican and Democratic staff from the Senate Committee on Finance, as well as the Senate Permanent Subcommittee on Investigations. These meetings aimed to highlight the excellent working relationship between the Cayman Islands Government and US law enforcement authorities such as the Department of Justice, the SEC and the IRS, and they opened lines of dialogue with key policy makers on Capitol Hill.
“It is always important to demonstrate that the Cayman Islands is a transparent jurisdiction and to draw US policymakers’ attention to the growing list of acknowledgements, endorsements and achievements which we have received from various international organizations, regulatory bodies, and even US Government Agencies,” the Premier noted. “These meetings have achieved much, and we will be seeking to build upon the momentum we gained from this visit to Washington, DC with follow-up visits."
The Cayman Islands’ delegation included Hon. Samuel Bulgin, Attorney General; Mr. George McCarthy, Chairman of the Cayman Islands Monetary Authority; Mr. Dan Scott, Regional Managing Partner, Ernst & Young; Mr. Samuel Rose, Deputy Chief Officer- Financial Services, & Mr. Richard Parchment, Senior Political Assistant, as well as representatives from Sidley Austin LLP.
For more information, please contact the Financial Services Secretariat at (345) 945-5819 or via email at firstname.lastname@example.org.