Premier: ‘Strengthening Regulatory Regime’
In advance of the OECD Global Forum taking place in Bermuda later this month, Premier and Finance Minister Paula Cox on Friday [May 20] tabled a special bill to further strengthen Bermuda’s regulatory environment.
The legislation is designed to further strengthen our regulatory laws and ensure that we meet the highest possible international standards.
“I am pleased to have tabled the Specified Business Legislation Amendment Act 2011 in the House of Assembly,” the Premier told Parliament.
“This legislation is extremely important in that it will strike the correct balance between the internationally agreed standard as set out by the Organisation of Economic Cooperation and Development (OECD) which ensures tax consistency and transparency, while maintaining Bermuda’s unique and successful business model.”
The Bill was drafted following an initial Phase 1 Assessment which was performed by OECD assessors in February of 2010.
During this assessment, a review of Bermuda’s legislative and regulatory framework was undertaken, in order to ascertain whether it could support an efficient and effective exchange of information network for tax purposes.
Bermuda was one of only two jurisdictions to receive the determination of “elements met” on all criteria necessary for effective exchange of information.
However, some inconsistencies where identified in Bermuda’s legislation and regulatory framework, and a set of recommendations were issued by the OECD.
As a result Ministry of Finance officials underwent a detailed consultation process with Bermuda’s industry stakeholders with a view to implement the recommendations without impacting Bermuda’s comparative advantage in the development and provision of financial services to the global community.
In summary, this legislation will establish uniform guidelines for maintaining information and records for all of Bermuda’s financial sectors as outlined in Bermuda’s Peer Review Assessment Report.
“I look forward to the passage of this important legislation in the House which will clearly demonstrate Bermuda’s ongoing commitment to internationally agreed standards,” the Premier said. “This enactment will also allow Bermuda to file its 12 month update to illustrate our progress since the Phase 1 report was adopted in September 2010 and to prepare for our Phase 2 assessment scheduled for the second half of 2012.”
