On October 28, at the OECD Headquarters in Paris, the Cook Islands signed the Multilateral Convention on Mutual Administrative Assistance in Tax Matters.
In signing the Convention, Cook Islands has agreed to all forms of administrative assistance in tax matters: exchange of information on request, spontaneous exchange, automatic exchange, tax examinations abroad, simultaneous tax examinations, and assistance in tax collection. The Convention guarantees extensive safeguards for the protection of taxpayers' rights.
The Convention, together with the Multilateral Competent Authority Agreement on Automatic Exchange of Financial Account Information, which the Cook Islands signed in October 2015, will enable the Cook Islands to fulfill its commitment to begin automatically exchanging tax information in 2018.
The Convention can also be used to swiftly implement the transparency measures of the OECD/G20 Base Erosion and Profit Shifting (BEPS) Project, such as the automatic exchange of Country-by-Country reports under Action 13 and the sharing of rulings under Action 5 of the BEPS Project.
By Courtesy of Lowtax.net