Taxation agreement signed

Changes to 'double taxation' agreements between the Isle of Man and the United Kingdom have been formally signed, at a ceremony in Douglas.

Chief Minister Tony Brown and a senior politician from the UK put their signatures to a document designed to strengthen tax co-operation between the jurisdictions.

Graham Bell reports (audio file attached - copy of script below):

Among other things, provisions have been added to the double taxation agreement, dating from 1955, on the taxation of income from pensions. A mutual agreement procedure has also been put in place.

It means many pensions paid from the United Kingdom to people living on the Island will be taxed in the Isle of Man only.

At the same time, new rights will enable taxpayers to ask one government to intervene to resolve problems arising from the application of the agreement.

An agreement to facilitate the exchange of information relating to taxes between the Isle of Man and the United Kingdom has also been signed.