Government Responds to UK 2017 Budget Debate

The Government notes the statement made yesterday in the House of Commons by the Rt Hon Jeremy Corbyn MP, Leader of Her Majesty's Opposition, and also the Chancellor of the Exchequer's proposals to attach the UK corporate income tax rates to digital revenue generated in the UK and currently paid into 'low tax jurisdiction[s]'.

Bermuda has no place on any 'black list', and indeed has recently, for example, had its status as a 'white listed' jurisdiction by the Government of France.

Bermuda is a recognized leader in international tax compliance and tax transparency with 114 tax treaty partners, and, as an early implementer of the Common Reporting Standard, is the first UK Overseas Territory to adopt country-by-country (CbC) reporting.

The Premier and Minister of Finance, the Hon. David Burt JP, MP, said: "There appear to be one or two misconceptions about the role of Bermuda and some other territories in the wider UK economic portfolio. As many know, since 2015 the automatic reporting regime means HM Revenue and Customs is informed real time of relevant corporate matters on the island."

"Secondly, we welcome the Chancellor's proposals to capture value on digital and other income originating in the UK, including presumably, on entities who currently have income allocated to Bermuda. We of course receive no income on these matters either."