Memorandum of Understanding between FSC and ITA

Summary

This is a Memorandum of Understanding between the BVI International Tax Authority (ITA) and the Financial Services Commission (FSC) establishing a framework for cooperation and information exchange between the two regulators. It covers information sharing about persons or entities licensed, registered or otherwise regulated by the FSC, and persons monitored by the ITA under its statutory powers. The MOU explicitly states it does not create legally binding obligations, does not override BVI law, and creates no enforceable third-party rights.

• Purpose: Establishes a formal basis for cooperation, intelligence sharing and information exchange between the ITA and FSC on compliance matters within their respective remits.
• Governing principles: Requests must be considered seriously and without undue delay; information exchanged is confidential and may only be used for the stated purposes, with third-party disclosure requiring prior written consent.
• Exchange procedures: Information may be shared spontaneously or via a written request using the Request Form at Annex A, which must include the purpose, legislative basis, relevant facts, and confidentiality considerations.
• Points of contact: Each Authority designates a specific contact (the FSC Director, Legal Division; the ITA Director) through whom all communications under the MOU must pass.
• Costs and mutual support: The Authorities may request a contribution to costs for substantial requests and commit to mutual support including training, know-how sharing, technical assistance and joint inspections.
• Commencement and termination: The MOU takes effect on execution, may be amended in writing at any time, and can be terminated by either party on written notification.

The document primarily governs how the FSC and ITA cooperate and share information with each other; it does not itself impose new compliance duties directly on licensees, though regulated entities and their associated persons may be the subject of information requests exchanged between the two regulators.

Key obligations

• The Authorities must confirm receipt of a written information request and indicate whether and when it can be processed.
• In urgent cases where an oral request is made, written confirmation must be provided within 5 business days.
• Information received under the Memorandum must be treated as confidential and not disseminated to third parties or used for purposes other than those stated without prior written consent of the providing Authority.

Applies to

persons or entities authorised, licensed, registered, recognised or otherwise regulated by the Financial Services Commission, persons monitored by the International Tax Authority

Deadlines

• 5 business days: Written confirmation must follow an urgent oral information request within 5 business days.