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The Isle of Man has concluded a unique taxation and economic cooperation agreement, which it describes as 'a first', with the the Nordic Council.
The agreement which was signed in Oslo this week by the Manx Treasury Minister, Alan Bell MHK, will cover two main areas:
'Tax information exchange agreements based on the OECD (Organisation for Economic Co-operation and Development) model of exchange of information on request on a case by case basis.'
'Shipping and aircraft taxation agreements ensuring that a relevant business based in the Isle of Man will not be taxed in the Nordic countries so long as it is conducting international trade.'
The Nordic Council comprises five nation States (Norway, Sweden, Finland, Denmark and Iceland) and three autonomous territories (Faeroes Islands, Greenland and Aland). The Council and parallel Nordic Council of Ministers provides a co-operation forum for the parliaments and governments of these countries and territories. It was established following World War II and its first success was the introduction in 1952 of a common labour market, social security, and free movement across borders without passports for the countries' citizens.
The Nordic Council has been viewed over the years by some members of the Celtic League as a template for a similar economic and political grouping for the Celtic countries.
In addition to its present core membership several other countries including Estonia, Latvia, and Lithuania have expressed interest in joining the grouping.
Commenting on the new agreement Treasury Minister Bell said:
'As a responsible nation hosting quality international business, the Isle of Man is pleased to play its part in global efforts to combat tax evasion. These agreements recognise our positive role and also provide a platform for building our business and economic relationships with the Nordic countries.'
'The signing ceremony in Oslo today is particularly significant for the Isle of Man because of the strong historic connections that exist between our countries. The Island's parliament, Tynwald, was founded more than one thousand years ago by Norse Viking settlers and we have maintained a close cultural kinship with our Scandinavian cousins. In 2002 we were delighted to welcome Their Majesties the King and Queen of Norway to the Tynwald Ceremony.'
J B Moffatt Director of Information Celtic League
30/10/07
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