The European Savings Tax Directive (STD) is one of three elements of the EU Tax Package. The other two measures are the EU Directive on interest and royalties and the Code of Conduct for Business Taxation. This article is only concerned with the STD.

The Turks & Caicos Islands (TCI) is a British overseas territory and a zero-tax jurisdiction. Its law is a mix of English common law, some UK statutes which have been extended to TCI, and local ordinances. The usual TCI corporate vehicle for international business is the exempted company limited by shares, commonly known as an IBC, and the law discussed in this chapter relates to IBCs.

This Q&A gives an overview of key recent developments affecting doing business in Turks and Caicos Islands as well as an introduction to the legal system; foreign investment, including restrictions, currency regulations and incentives; and business vehicles and their relevant restrictions and liabilities.

The Turks and Caicos Islands (TCI) economy has stabilised significantly and there has been a return to economic growth. Public finances have improved and business confidence has risen significantly. Tourism and resort developers have returned to the TCI marketplace and a number of large-scale tourism-related construction projects are expected to start in 2014.