Monday 23rd September 2019: Two Senior Officials from the Grenada Inland Revenue Division participated in the OECD Regional Base Erosion and Profit Shifting (BEPS) induction workshop hosted by the Ministry of Finance of St. Vincent and the Grenadines.
The Grenada delegation was among 31 regional representatives inclusive of a Director of the CARICOM Secretariat. Participation by the Grenada delegation at this forum was facilitated by the European Union through the 11th European Development Fund (EDF) Technical Cooperation Facility.
The workshop aimed to address the specific needs of Caribbean Jurisdictions in terms of technical assistance and capacity building support on the BEPS implementation. It also dealt with the implementation of the four BEPS minimum standards; Action 5- Counter harmful tax practices, Action 6- Prevent Treaty abuse, Action13- Country-by-Country Reporting and Action 14- Dispute Resolution.
The participants described the workshop as a very rewarding engagement as it revealed and clarified several areas with respect to the work of the OECD Inclusive Framework on the BEPS and the expectations from member Jurisdictions.
The Grenada Inland Revenue Division will capitalize on opportunities for programme support available for developing economies in addressing BEPS issues in the tourism industry aimed at small Island Developing States (SIDS) and other low income economies to strengthen transfer pricing capacity, address treaty abuse risks and aggressive tax planning arrangements, and limit negative spillovers from preferential tax regimes in the tourism industry.
Since joining the OECD in 2016, Grenada has implemented part of minimum standard action 5. Existing legislation that intimated harmful tax practices has been abolished in line with recommendations from the EU Code of Conduct Group (Business Taxation) and the OECD.
The European Union is pleased to partner with the Government of Grenada in facilitating participation in workshops such as the BEPS workshop, given the immense benefits to be derived by the Government and People of Grenada.