Achieves Largely – By Deslyn A Joseph
Achieves Largely Compliant Status
Antigua and Barbuda has successfully navigated its way toward international tax transparency, moving from a position of deficiency to earning a coveted “Largely Compliant” rating from the Global Forum. This milestone marks the culmination of an intensive multi-agency effort to overhaul the nation’s tax governance framework after being designated as a non-cooperative jurisdiction by the European Union in 2023.
The journey toward reform began after the European Union added the country to its tax “blacklist” due to significant gaps in the exchange of tax information and a previous rating of only “partially compliant.” According to Ralph Warner, Commissioner of the Inland Revenue Department (IRD), the 2023 report highlighted critical legal and operational weaknesses that necessitated immediate, concrete action. In response, the government committed to a rigorous timeline, pledging to implement legislative and administrative changes by July 2024 to address every deficiency identified.
The initial success of these reforms allowed the twin-island nation to demonstrate its commitment to international standards, leading the Global Forum to grant a request for a supplementary review in the summer of 2024. This progress resulted in an intermediate victory as the country was moved from the “blacklist” to the “grey list”.
“The ultimate objective remained the total removal from all such lists, a goal that required the country to secure a largely compliant designation,” he stated.
To achieve this, the IRD spearheaded a year-long collaborative effort involving a wide array of high-level stakeholders. This coalition included the Office of National Drug and Money Laundering Control Policy, the Financial Services Regulatory Commission, the Central Bank, the Intellectual Property and Commerce Office, and the Attorney General’s Office. Together, these entities worked to plug regulatory holes and ensure the nation’s financial system met global expectations across all sectors.
“The Global Forum’s evaluation involved disaggregating the national financial system into ten distinct elements. Each category was rigorously assessed and assigned a rating of Compliant, Partially Compliant, or Non-Compliant. Through these sustained inter-agency efforts, Antigua and Barbuda was able to demonstrate significant effectiveness, ultimately securing ratings that were either Compliant or Largely Compliant across the board,” Warner explained.
This positive result signals a new era of transparency and international cooperation for the nation’s financial landscape.
