Commitment Letter Commitment Letter Attachment Effective Exchange of Information Transparency

BVI Commitment to the OECD

The OECD (Organisation for Economic Co-operation and Development) supports the list of offshore jurisdictions and takes measures to provide meeting the certain criteria by the legislation of these countries. Countries that do not meet these criteria are included into the list of uncooperative tax havens. If an offshore jurisdiction is placed in the OECD list of uncooperative tax havens there are serious consequences that make substantial difficulties for doing business by a company of this jurisdiction and especially complicate any banking transaction by a company registered in an uncooperative tax haven.

Most offshore jurisdictions make serious efforts to have the legislation meeting the criteria and, in the negotiations with the OECD, take certain commitments to be followed.

These criteria should not be underestimated, when choosing a jurisdiction for International Business Company registration.

The British Virgin Islands was among 35 jurisdictions identified by the OECD in June 2000 as meeting the technical criteria for being a tax haven. As a result of having made the commitment, the British Virgin Islands was not included in the list of uncooperative tax havens. It means that BVI companies are welcomed at most banks and in International Business community as a whole.

The commitment letter with attachments follows.