BVI Adopts OECD's Common Reporting Standard For Financial Institutions

The integrity of tax systems around the world has been challenged for years, stymied by undetected, illegal evasion tactics. In an attempt to detect and deter such actions, in 2013 the Organisation for Economic Co-operation and Development, the OECD, in conjunction with G20 countries and others, endorsed a new global standard known as the CRS, or Common Reporting Standard. This endorsement signaled the beginning of a systemic transformation in the effort to curb the loss of tax revenues. Under the CRS, cooperating countries will automatically exchange financial information regarding bank accounts, transactions, and financial flows from local institutions on a periodic basis, enabling law enforcement and tax authorities to follow up on any leads they may have.