The funds industry must ensure it is not subsumed by the
evolution of the base erosion and profit shifting (BEPS)
initiative.
Tax experts Tony Mancini of KPMG Channel Islands and Abhijay
Jain of PwC's Deals Tax Team in London, both stressed the
importance of the sector being vigilant as to how the BEPS
negotiations unfolded. Both were sitting as panellists at the
recent Guernsey Funds Forum in London.
"I agree absolutely that BEPS is not intended for the
investment management sector, but the problem we have is that we
could be collateral damage. There's a steamroller that if it
carries on we could just get squashed," said Mr Mancini.
Mr Mancini said industry bodies such as the BVCA and AIMA were
providing a degree of pushback to ensure that exemptions for the
funds industry were guaranteed, but BEPS still had a long way to
evolve. He said a danger was that most of the people involved in
formulating the BEPS principles did not necessarily appreciate
