Channel Islands Funds Quarterly Update: Q2 2020

1 Developments in the Channel Islands

1.1 Mandatory Disclosure Rules

As reported in a previous briefing (Channel Islands Funds Quarterly Update: Q4 2019), the Government of Jersey has been consulting with stakeholders on the introduction of Mandatory Disclosure Rules (MDR). Draft regulations (the Taxation (Implementation) (International Tax Compliance) (Mandatory Disclosure Rules for CRS Avoidance Arrangements and Opaque Offshore Structures) (Jersey) Regulations 202-) were lodged au Greffe on 31 December 2019 and were approved at a first reading by the States on 16 June 2020. The draft regulations closely follow the MDR regime published by the OECD, which is the international standard for MDR. The intention is that these draft regulations will be supplemented by guidance to be published by the Comptroller of Revenue, which will assist industry in making the important "reasonable to conclude" decision when considering whether or not to report specific arrangements