The Foreign Account Tax Compliance Act (“FATCA”) is a US law, enacted in 2010 with the aim to combat tax evasion by United States persons (“U.S. persons”) holding investments in offshore accounts. On 16 December 2014, the Minister of Finance of Curacao signed an intergovernmental Agreement with the Minister of Finance of the United States of America (“IGA”) to capacitate the obligations of the FATCA. The IGA however is not sufficient for Curacao to comply with the obligations of the FATCA. Existing legislation, such as the National Ordinance Personal Data (“Ordinance Personal Data”), has to be amended. The IGA provides a legal basis for the existing legislation to be adjusted. In the first part of this publication, we discussed the intended amendment of the Ordinance Personal Data (please click here
). In this second part, practical information with regard to the obligations of the FATCA and IGA will be discussed.
The Foreign Account Tax Compliance Act (“FATCA”) is a US law, enacted in 2010 with the aim to combat tax evasion by United States persons (“U.S. persons”) holding investments in offshore accounts. On 16 December 2014, the Minister of Finance of Curacao signed an intergovernmental Agreement with the Minister of Finance of the United States of America (“IGA”) to capacitate the obligations of the FATCA. The IGA however is not sufficient for Curacao to comply with the obligations of the FATCA. Existing legislation, such as the National Ordinance Protection Personal Data (“Ordinance Personal Data”), has to be amended. The IGA provides a legal basis for the existing legislation to be adjusted*. In this first part of this article we will discuss the intended amendment of the Ordinance Personal Data.
The Central Bank of Curaçao and Sint Maarten (the “Central Bank”) recently has shared a point of view with respect to the interpretation of the National Ordinance on the Supervision of Investment Institutions and Administrators (“NOSIIA”).
The first Aruban Day of the Supervisory Board, which took place on 22 January 2015, was a successful launch edition. This annual seminar has been organized by VanEps Kunneman VanDoorne on Curacao for a number of years now, and the firm also introduced the concept on Bonaire recently. The documentation can be downloaded below:
“Rise, fellow-countrymen, rise. The soil of Suriname is calling you. Wherever our ancestors came from. We should build our country*.” This quote from the Surinamese national anthem is legally supported by the Act of 21 January 2014, establishing the status of Persons of Surinamese Descent and the Rights and Obligations arising from that Status (“PSA Act”). The PSA Act, also referred to as the “Diaspora Act” – due to the fact that people who used to be citizens of Suriname left Suriname because of various historical circumstances to settle elsewhere – allows people of Surinamese descent to live and work in Suriname without a visa or work permit under the conditions laid down in the PSA Act.
The World Bank very recently brought its report 2015 on how easy or difficult it is for a local entrepreneur to open and run a business in Surinam when complying with relevant regulations. The report measures Surinam regulations affecting 11 areas in the life cycle of a business:
Every two years, TNS NIPO researches the bottlenecks experienced by entrepreneurs in the Netherlands. This research was done for the last time in 2013. The top 15 of the largest bottlenecks includes the numerous rules and administrative burdens in the 6th position. According to the research, entrepreneurs are very much affected by all rules and have the feeling that the government does not make it any easier for them. What about Bonaire, and what obstacles do the entrepreneurs encounter in this ‘public body?
In a recent St. Maarten case, the Court of Appeal has confirmed that citizens of the United States can live and work on the island of St. Maarten without requiring a work permit. This right is derived from the American-Dutch Friendship Treaty of 1956 (which is also applicable to St. Maarten and the other former Dutch Antilles) and allows American citizens the same rights and benefits accorded to Dutch citizens.
In this article
, dated July 2013, we reported on increased activities between Curacao and Suriname, which was evidenced, for instance, by negotiations between the two countries on two treaties in the making. One of the treaties deals with the Reciprocal Recognition and Enforcement of Judgment and Authentic Acts (notarial deeds) in Civil Matters, while the other treaty under negotiation is a tax treaty, which sees on avoiding double taxation and the prevention of tax evasion on income and capital. So far, these treaties have not come into existence.
In this follow-up article, we discuss a third treaty, being the Treaty on the Reciprocal Protection of Investments between the Kingdom of The Netherlands and the Republic of Suriname, which is already in force and was entered into on 31 March 2005.
On 20 November, VanEps Kunneman VanDoorne organized the annual Day of the Supervisory Board in Curacao. Over 50 participants attended presentations of four speakers:
- Frank Kunneman – Quid pro quo: the wondrous ways of the (badly?) paid supervisor
- Kimberley de l’Isle – The legal position of the supervisor
- Robbert Kroon – Towards an effective board
- Wendell Meriaan – De fiscale aspecten van de honorering van de toezichthouder
The presentations can be downloaded here
(in Dutch). The presentations were followed by an animated Q&A- and discussion round, of which an extract can be downloaded here