Panama Attorneys Advise Offshore Hedge Fund

Panama Attorneys Advise European investors forming Private Investment Fund
 

Attorneys Lombardi Aguilar Group advised a group of European investors to file before the Panama securities regulators a notice of compliance with private investment fund provisions.

Panama City, Panama ---- Attorneys Lombardi Aguilar Group (http://www.laglex.com/) advised a group of European investors to file before the National Securities Commission (http://www.conaval.gob.pa/ - CONAVAL) of Panama a notice of compliance with private investment fund provisions. CONAVAL is the local securities regulator.

A private investmend fund is a type of financial investment company which generally exempt from most securities regulations and laws and are included under the label of "hedge funds". As a form of transparency for investors, Panama's Law Decree 1 of 1998 allows private investment funds to file their prospectus, background information about their managers and other corporate documents before the local CONAVAL regulator, as long as the company charter provides that: (1) the number of owners of quotas or investors is limited to a maximum of fifty (50) and any offers may be made only through private communications; (2) securities can only be offered to qualified purchases and with minimum investment amounts of USD100,000. The filing does not amount to a registration with the Commission and these funds are not subject to the supervision or scrutiny by the Commission.

The fund is an open-ended private investment fund based in and managed from the Republic of Panama. The main purpose of the Fund is to invest in privately-issued shares of international asset management companies and other similar companies (distributors and/or managers of funds, securities brokers, etc.) outside of Panama. According to corporate documents, the company has a capital is of 30 million euros. Its board of directors has Swiss members and two partners of Lombardi Aguilar Group serve as external directors.  A limited liability partnership called LAG Asset Management, S. de R.L., served as special purpose entity for the subscriber purpose in the incorporation process.
 

Following the local Panama securities laws, the Fund is professionally-managed by another company incorporated in the Republic of Panama which has in place proper risk management, monitoring and internal control procedures. Such risk management process enables the management company to monitor and measure, at any time, the exposure of the investment positions and their contribution to the overall risk profile of the fund portfolio. The Panamanian regulators will require the Management Company to certify in each annual report of the Fund that the procedures and controls for monitoring the management and risk of the Fund are still in place as defined in the Prospectus filed with the Commission.

Current regulations allow the fund to:

a. maintain liquidity in different currencies;
b. issue fully-covered currency options;

c. place deposits with a bank licensed in a foreign jurisdiction;

d. invest in money market instruments or debt securities such as government or international bonds, U.S. Treasury bills, bank certificates of deposit, banker acceptances, floating rate notes, commercial papers, asset-backed securities and repurchase agreements;
e. enter into deliverable or non-deliverable currency forward contracts;
f. invest in privately-issued shares of international asset management companies and other similar companies (distributors and/or managers of funds, securities brokers, etc.).

Dr. Jorge Lombardi, a partner at Lombardi Aguilar Group commented that "we were recommended by colleagues in Switzerland to create and manage this fund, because of previous succesful experience". The legal expertise of the firm and its ability to provide counsel in several languages of the investors was crucial to its selection for this assignment. "My full knowledge of the Italian language was very useful as well as a tool to have a better and fluent communication with the clients", said Lombardi. "The beneficiaries of the fund are in Europe and our correspondents are in Lugano, Switzerland, and after a series of conversations they were convinced that Panama was the place to create it, and that our firm provided the security, confidentiality and confidence they needed". Lombardi is a graduate of Universidad Santa Maria la Antigua (LLB) and University of Paris (3eme cycle, DED).

About Lombardi Aguilar Group
Lombardi Aguilar Group is comprised of Lombardi Aguilar & Garcia and other professionals. The Group was created as an alternative for clients worldwide who seek fast, innovative and effective solutions to their legal problems. The firm currently provides services to individual and corporate clients in Panama as well in the Americas, Europe and Asia. Its partners maintain a commitment with professional ethics and social responsibility by participating in the board of directors of groups such as the Panama Bar Association, the Alliance Francaise, the German and the American Chambers of Commerce (AMCHAM) of Panama, and the Association of Chinese-Panamanian Professionals (APROCHIPA).

The firm centers its law practice in private client services and asset protection (Private Interest Foundations, Trusts), business structures (Offshore Corporations), tax planning, real estate and e-commerce. It also advices in areas of Law such as Corporate, Commercial, Intellectual Property, Maritime, Tax, and Immigration Law as well as related litigation that may arise.

For more information, contact +507 340-6444, e-mail info (at) laglex.com, or see: Lombardi Aguilar Group http://www.laglex.com/

Keywords: Panama, offshore, hedge funds, private investment companies
http://www.prlog.org/10815190

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July 15-21 Panama Immigration Moratorium Fair

The Panama Immigration Service is having on July 15 to 18 a fair at Atlapa. Illegal aliens being in Panama more than 2 years and not having applied for any visa category may apply for a 2-year special permit. The catch:
- Applicants must pay all fines for overstaying their original tourist visa at $50 a month
- Benefits of the amnesty for "Restricted nationalities" (Chinese, Cubans and others deemed "security risks" by the local government) are subject to approval by the "public force".

The requirements are listed in:
http://www.docstoc.com/docs/47048765/Moratoria-de-Migracion-en-Panama-2010

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http://mensual.prensa.com/mensual/contenido/2010/07/07/hoy/panorama/2255412.asp
Realizarán jornada para legalizar a extranjeros
Rafael Luna Noguera
rluna @prensa.com

El Servicio Nacional de Migración efectuará entre el jueves 15 y el domingo 18 de julio un proceso extraordinario de legalización, con miras a regularizar la situación migratoria de unos 25 mil extranjeros.

La jornada se realizará entre las 6:00 a.m. y las 12:00 de medianoche en el Centro de Convenciones Atlapa, y podrán aplicar los extranjeros que tengan dos años o más de vivir en el país y no hayan empezado los trámites de legalización.

Migración informó que los extranjeros deberán presentar el pasaporte con los sellos que den constancia de su ingreso, y en caso de no tener pasaporte acudir con un testigo que, a su vez, deberá presentar el carné de residente o su cédula.

Tras cumplir con los trámites, y luego de que Migración apruebe cada caso por separado, se les expedirá a los extranjeros un permiso de permanencia provisional, válido por dos años.

Los casos de los ciudadanos chinos, indios, árabes, cubanos, haitianos y peruanos deberán ser aprobados por la fuerza pública.

Los extranjeros que estén en situación ilegal y no la regularicen en estas jornadas, tendrán un plazo máximo de cuatro meses para hacerlo o, de lo contrario, si son detenidos, serán deportados.

En Atlapa eran extensas las colas de extranjeros. LA PRENSA/Jihan Rodríguez

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The immigration moratorium has been extended to July 21.

Pensionado faces 3 years in prison for failure to report offshore account

A 75-year old US citizen faces a 5-year prison sentence for failure to report an offshore account at UBS Switzerland held under the name of a Panamanian corporation with nominee directors. The alleged tax loss to the U.S. was about $60,000.

If only he had hired a lawyer to file the TD F 90-22.1 FBAR form....

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Ex-UBS Client Zaltsberg Admits Hiding $2.6 Million
July 01, 2010, 12:44 PM EDT
By David Voreacos

July 1 (Bloomberg) -- A former UBS AG client who played soccer on the Soviet national team pleaded guilty to failing to tell U.S. tax authorities about $2.6 million held in an offshore account.

Leonid Zaltsberg, 75, admitted that he didn't declare to the Internal Revenue Service a nominee Panamanian account set up with the help of a UBS banker and a Swiss lawyer he didn't identify in federal court in Newark, New Jersey.

"Did you seek advice from UBS employees on how to keep your foreign bank account hidden from the IRS?" U.S. District Judge Stanley Chesler asked Zaltsberg, who answered in the affirmative.
...

Soviet Athlete

Zaltsberg was a member of the Soviet Union's national soccer team in the 1960s and played in the World Cup, according to his daughter, Larisa Beyder, who attended the hearing. He came to the U.S. from Ukraine in 1989 and settled in Milltown, New Jersey, said his attorney, James DiPietro. Zaltsberg, who became a U.S. citizen, was a metals trader from 1990 to 2004, DiPietro said.

Zaltsberg, who is now an adviser to the Ukrainian national soccer team, suffers from bladder and prostate cancer, as well as depression, DiPietro said. He's also had open-heart surgery and four stents inserted, his daughter said.

Zaltsberg, speaking through an interpreter, admitted that he set up a UBS account in 1993, and that he set up the Panamanian corporation, Belton Capital Corp., in 2000. Zaltsberg said he created Belton to hide his assets from the IRS.

In pleading guilty to filing a false tax return in 2003, Zaltsberg also admitted that he failed to file Reports of Foreign Bank and Financial Accounts, or FBARs, from 2000 to 2007. He will pay $1.3 million, or a 50 percent FBAR on the highest amount of his account, DiPietro said. The tax loss to the U.S., the lawyer said, was about $60,000.

The case is United States of America v. Leonid Zaltsberg, U.S. District Court, District of New Jersey (Newark). http://www.justice.gov/usao/nj/press/press/files/pdffiles/Zaltsberg,%20Leonid%20Information.pdf

--Editors: John Pickering

Full text in http://www.businessweek.com/news/2010-07-01/ex-ubs-client-zaltsberg-admits-hiding-2-6-million.html

More From Businessweek

• Switzerland Threatens Tax Cheats Using "Wrappers" (Update3)
• HSBC Clients With Asian Accounts Said to Face Probe
• Switzerland Threatens Tax Cheats Using "Wrappers" (Update3)
• Surgeon Avoids Prison for Plotting to Hide HSBC Cash (Update1)
• Banker Who Blew Whistle on Secrecy Over Tax Cheats Seeks Pardon

International Business Opportunities

International remittance company for sale
An electronic payment company and an expert in secure, real-time electronic transactions, the company has a license from the Ministry of Commerce of Panama to handle large numbers of small remittances in Panama and internationally, as well as bank accounts approved at Panama banks. Money sent home by migrants in remittances - of US$300 million yearly - constitutes the second largest financial inflow to many developing countries, exceeding international aid. The company also provides stored value card and credit card solutions to businesses, government, consumers and financial institutions with security, efficiency, and competitiveness, while reducing their costs.
Assets include US$50,000 in Panama bank required by law to maintain the remittance license.
Investment requirement: US$150,000
More information about remittances in
http://en.wikipedia.org/wiki/Remittance
http://remittancesgateway.org/
http://blogs.worldbank.org/peoplemove/


1998 BVI ready-made shelf company
A 12-year old British Virgin Islands International Business Company with nominee directors and nominee shareholders is for sale. Price includes payment of reactivation fees.
A seasoned BVI company offers...
1. Credibility with Financial Institutions ­ as a result of its age, a BVI company can establish relationships easier with major financial institutions such as banks, brokers, and credit card companies to secure more favorable terms for your operations.
2. Credibility with Clients ­ by leveraging the credibility of a vintage BVI company, you will position yourself as the owner of a successful business vehicle.
3. Credibility with Partners and Competitors ­ the pedigree, age and descent of a seasoned BVI company create 'a micro climate' for its operations inspiring respect and admiration from both business partners and competitors.
Investment requirement: US$20,000
More information about BVI companies in http://www.bvifsc.vg/


High-yield private placements
Placements available to high end, accredited investors supported by a combination of high yield and short term investments. These private placements yield substantially higher returns than
bank certificates of deposit, most corporate bonds and mortgages. The company has a flawless payment history and stability without the inconsistency of the mortgage markets, bonds backed by real estate or hedge funds. Short term instruments (two years or less) provide guaranteed yields of 10% - 12% per annum
Rates of Return: One Year = 10% per annum (Two Payments of 5%).
Two Years = 10.25 % per annum (Four Payments of 5.125%). Semi-Annual Distributions.
These are unregistered, uninsured securities and are appropriate for sophisticated, accredited investors only who meet qualification standards and minimum net worth requirement. This Information is not an Offering or a Solicitation to Buy or Invest under any Securities Act.
Minimum Investment: $150,000 (USD) or equivalent, in any major currency.


Small Caribbean bank for sale
Ideal for acquisition, significant shareholding, joint venture by a family office or Trading Group wishing to monitor control of their funds or by another bank. The Bank itself is run by a small number of staff with good contacts built over a period of time.
Acquisition price for 100% of the Bank is $3.5 million.


Merchant Accounts for Credit Card Processing
Merchant Accounts by banks in Belize, Cyprus and Germany, offer Credit Card Merchant Processing to foreign companies. Companies should consider Electronic Commerce as an "added value" to its particular means of making business, since it will receive unlimited advantages from a market that opens the doors to a world with endless possibilities and, what is better, to potential customers.
The electronic commerce offers our customers the advantage of selling their products and services through Internet, using the most advanced technology allowing the globalisation of their company.
Subject to full due diligence and compliance with know-your-customer rules.
Minimum Investment: $20,000
More information about merchant accounts in http://en.wikipedia.org/wiki/Merchant_account

For further information about these opportunities, email serious inquiries to info@ uspanamatrade.org

The information listed was provided by the promoters of each investment opportunity. Whilst every effort has been made to ensure that the information contained herein is correct, we accept no responsibility, legal or otherwise, for any errors or omissions. This material is provided for general information purposes only and does not constitute investment or other professional advice. We accept no responsibility for any loss which may arise from reliance on this information and we make no warranty, express or implied, regarding the availability of any product or service in any country. This information should not form the basis of any decision as to a particular course of action; nor should it be relied on as investment advice.

The information contained herein is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation or which would result in requiring any registration requirement within such jurisdiction or country. It is the responsibility of such persons or entities to ascertain the terms of, and comply with, any local taxes, laws or regulations.

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More information available by email to mailto:aaguilar%20@%20nysbar.com or Skype

投資簽證新條例

投資簽證新條例
初到巴拿馬的人大多數都渴望取得永久居留, 漸
而入籍。 根據2008年第三條法令, 被喩為永久居民
的人是透過經濟和投資動機、特殊政策、人口統計
分佈和其他附屬類而入境巴拿馬, 及按國家採納之
特殊政策而有意願於本國安居置業的外國人。
在取得永久居留權之前必須先申請為期兩年的臨
時居留。臨時或永久居留都必須通過律師來申請。
根據簽證或許可證所擬定的條件, 申請書應包含以
下文件：
1. 經巴拿馬裔公証員鑑證過的護照影印本。
2. 附有批語或經鑑實過在原籍國家或居住
國家無犯罪紀錄之證明書, 又或者由申請
人之原籍國家駐巴拿馬大使館發出無犯
罪紀錄證明書. 此證明書需附加經公證過
的個人申誓表 (declaración jurada) 。
3. 由巴拿馬裔醫生核發之衛生證書, 證書必
須於遞交申請表前三個月有效。
4. 於國家財政局繳付$250元之移民費權利
申請, 另外須於國家移民事務局繳付$800
元作為遣返回國費用之保證金。
5. 個人申誓表 (declaración jurada), 可於
http://www.migracion.gob.pa 的網址內
下載。
移民事務局必須在六十天之內給予臨時居留或永
久居留申請者一個答覆。 如移民事務局發現申請人
所遞交之文件不全或有錯誤之處, 從通知的那一刻
算起, 給予申請人十五個工作日讓其補件和改正。從
2009年起, 若移民事務局於六十天的期限內未能給
申請人一個答覆, 將理解為申請人已通過審核。
資本投資者簽證類別
自本文截稿為止, 尚在修定最底投資金額法條。
根據法案, 將核發以下的永久居留簽証或經濟簽
証：
❖❖ 資本投資者許可證
❖❖ 個人財務許可證
❖❖ 領養老金者或退休者許可證
❖❖ 已退休之領年金者許可證
所謂投資者是那些應用外來個人資金投資的人
士, 除了被法律限制只有國民可從事之活動的例子
以外, 外來資金投資者可投資於生態、商業、工廠等
活動,或者投資於巴拿馬註冊之公司。 投資許可證
可於下列附屬類目取得：
❖❖ 以造林投資資格獲取許可證： 投資八萬元
於重新造林活動, 種植由國家環保局批核之森
林種類。
❖❖ 以開設大規模公司的資格獲取許可證： 投
資十六萬元只能獲許一個移民申請為自然人或
法人(每家公司只許有一個申請者), 如企圖違
法或侵法將導致被拒絕申請或者遣返回國之
後果。 同時必須遞交有關文件和收入或申請
者之外匯資金的銀行報表, 以及直接投資和必
須支付之最低社會資金來向移民局證明資金來
源。申請這種許可證的外國人必須是最低股份
投資顯示的唯一持有者。
公司可以是工廠或批發性質的又或者是
服務性質的, 只能是 “A”或工廠類別, 不是
“B” 零售業的就可。 同時必須達到以下要
求：
1. 至少雇用五個巴拿馬裔的全職員工, 薪水不
能底於法定數目. 書寫清楚每位職員的工作
崗位以及職責。
2. 按法申報繳納職員的社會保險金 (長生會)。
其他經濟動機簽證
❖❖ 以個人財政資格獲許可證： 這是為那些有
足夠的錢財來支付於巴拿馬停留時間之費用的
移民和其家人而核發。 為此, 必須證明有開至
少三年不動, 且有存額三十萬元的巴拿馬銀行
定存帳戶, 又或者證明有三十萬元的不動產, 也
可以證明前兩者加起來的總額有三十萬元。
❖❖ 以領養老金者或退休者資格獲許可證： 這
是為那些一個月最少可以領取一千元退休金的
退休人仕而核發。
❖❖ 以退休領息者(食利者)資格獲許可證：這是
為了那些入境巴拿馬而又已經從活躍生活退出
來的人士而核發。 該人士必須證明每月至少有
兩千元入息收入, 此收入的來源必須是因為在
巴拿馬國家銀行開了五年定期存款而獲得的純
粹月息。
特殊政治簽證
❖❖ 投資者也可通過於特殊法律保護地區之內
投資而獲取永久居留簽證。
❖❖ 於巴拿馬-太平洋特別經濟地區投資二十五
萬元開設公司的移民者可獲許可證。.
❖❖ 於出口加工區投資二十五萬元開設促銷廠或
工廠, 或者在其地區開設其他性質的公司之移
民可獲許可證。
❖❖ 投資客戶服務中心之移民可獲許可證。
❖❖ 投資十五萬於電影業之移民可獲許可證。
值得慎重強調的是有關的最底投資金額隨時
都有變動或上漲的可能性。
儘管這些簽證種類要求補充手續以及公司文
件必須遞交齊全, 然而這卻代表著一個更加安穩
的機會使新移民取得永久居留。
本文作者Álvaro Aguilar Alfú是中巴職業
協會會長及Lombardi Aguilar Group法律
事務所合夥人兼律師。 www.laglex.com
作者是 Alvaro Agular Alfu, 是Lombardi
Aguilar Group 法律事務所合夥人兼律
師 www.laglex.com

Alvaro Aguilar Alfú, Presidente de
la Asociación de Profesionales Chino
Panameño (APROCHIPA),
y abogado socio de la firma
Lombardi Aguilar Group
www.laglex.com

http://www.dbcstudio.com/pdf/oct-dic08web.pdf

Is the Colon Free Trade Zone for you?

The Colon Free Zone was formed in 1948 with 10 companies in 38 hectares, after a 1946 feasibility study was made by U.S. free trade zone consultant Thomas E. Lyons.

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COLON FREE ZONE MULTIMODAL LOGISTICS CENTER OF THE AMERICAS

About a year ago, the Management of the Colon Free Zone, together with the Inter-Oceanic Region Authority, the Directorate of Civil Aeronautics and the Maritime Authority of Panama, started an ambitious project to turn the Colon Free Zone into the largest Multimodal Logistics Center of the Americas. This project includes the development of multimodal transportation and logistics services for Free Zone in the Coco Solito, France Field and Telfers areas, covering the use of the adjacent cargo transportation centers such as the maritime ports of Manzanillo Internacional Terminal, Colon Ports Terminal, Colon Container Terminal, Panama Ports, the Panama Railroad and the Enrique A. Jimenez Airport at France Field.

Background

At the beginning of the year 2000, representatives of each one of the entities involved in the project’s development gathered together in a meeting and approved the establishment of a technical commission to design and draw up the conceptual planning and development scheme of the areas making up the multimodal center. Apart from agreeing that there should be a conceptual plan for the reverted areas, the port, airport and railroad systems, and an integral segregated zone promoting the development of a logistics center for trade, services, transportation and industry, the project’s vision was defined, as well as the actual borders of the expansion area.

The Reasons behind the Project

The project was carried out, considering several factors that directly affected the efficiency of the center and consequently the internationalization of the production, the technological and regional economic changes. The search for an optimization of the efficiency in the means of transportation and the new modalities of world trade, are important to maintain the quality of the business undertaken in the Colon Free Zone.

The transfer of merchandise from our territory to the rest of the Americas and the rest of the world, together with strengths like our geographical position, the dollar as legal currency, the financial and insurance center, forces us to maximize all our other resources of the reverted areas, ports, highways, railroads and airports to ensure a site with excellent cargo services generated from this trade center.

The conjunction of all those indicated strengths make all users and customers of the Colon Free Zone to keep up the highest international competitive levels, reducing production, distribution, marketing and logistics costs in general and especially transportation efficiency. As a consequence, the reliability of delivery terms and the frequency of the services provided would also improve, so that this sector in the free trade, industry, transport, services and logistics zone would become the largest in the Hemisphere.

This would be an effort in enlarging and improving the currently existing facilities and infrastructure in the Colon Free Zone, by the private as well as the public sector in order to achieve a common benefit.

Other Reasons

The Colon Free Zone expansion and Multimodal Logistics Center Project is not only linked to transportation, but it is rather more of a strategy to improve the goods and services supply chain as well as looking to achieve an optimal competitive level towards the latest modalities and requirement of world trade, making the real difference between temporary users and permanent and satisfied customers.

Benefits Of The Multimodal Logistics Center

• Development of multimodal transport for world trade.

• Establishment of a customs storage and distribution center.

• Installation of guard houses to check merchandise entering and leaving the Multimodal Center.

• Establishment of Hi-Tech industries and, light manufacturing companies, taking advantage of a part of the reverted areas.

• E-Commerce development opportunities.

• Private investment for more than US $700 millions dollars.

• Enhanced competitiveness upon becoming a logistical center for trade, service, industry and transport and its consequent positioning in every sphere world-wide.

• Development of a new model strengthening international trade activities.

• Improvement of public services and utilities.

• Increase tourism.

• Increase in national and foreign investment in the Colon region area.

• Generation of thousands of jobs.

REQUIREMENTS TO OPERATE IN THE COLON FREE ZONE

General Rules and Regulations

Pursuant to Law-Decree 18 of 1948, corporations operating in the Colon Free Zone must comply with the following requirements:

• No minimum investment capital requirement

• No business license required

• The following documentary evidence is required:

Articles of Incorporation, Bank and Commercial references.

• Employ at least five (5) local workers

• Re-Export at least 60% of the imported merchandise

• Pay rent in the first five days of every month.

Management will collect a surcharge at an annual rate of 10% on late payments. If the client is more than two months behinds, the Operating code, it will not be possible for the company or corporation to operate in the Colon Free Zone.

• Report the commercial movements of all the merchandise entering and leaving the Free Zone, on the approved forms at the time of the operation.

Tax Benefits

• 0% Tax on Export Profits

• 0% Duties and Quotas on Imports and Exports

• 0% Billing Duties

• Very Competitive Costs

• Immigration visas for executives

Importer Advantages

• To be able purchase IN A SINGLE PLACE an excellent range of products

• With Credit Facilities

• With dispatching in less than 24 hours

Exporter Advantages

To have access from one site in the Heart of the Americas to consumers in:

• The American Hemisphere

• Europe

• Asia

• Africa

• Australia

• Ship Chandlering Services

WAYS TO SET UP OPERATIONS IN THE COLON FREE ZONE
Lease Agreement Operating Costs: A, C, D and E	Urbanized Areas France Field $0.35 m2 Colon $0.50 m2 Non-Urbanized Areas $0.20 m2 (The customer assumes the cost of urbanization. None available)
Building Lease Agreement Operating Costs of a property in the Free Zone: A, C, D and E Operating Costs of a private property: A, B, C, D and E	Free Zone Property Colon: $2.40 France Field $1.75 Coco Solo $1.65 Private Property Rent agreed upon between the parties, authorized by the General Manager’s Office based on resolution Nº 04-92 dated 25 March 1992. Operating Permit
Representation Agreement Operating Costs: A, C, D and E.	Percentage (For storage, handling, etc) Agreed upon between the parties
Public Warehouse Operating Costs: Only A and E	0.5% of the merchandise’s F.O.B. value (Freight on board)

OPERATING COSTS

A. Operating code (Annual) $200.00
Given to a Company in order to be able to make commercial transactions in the Free Zone

B. OPERATING LICENSE (Annual) $1,200.00
Given to a Company after its establishment in the Free Zone has been approved and all legal paperwork has been done.

C. RENT (Monthly)
Cost per square meter multiplied by the number of square meters, (depending on the area)

D. GARBAGE COLLECTION (Monthly)
Minimum $ 30.00
Maximum $ 120.00

E. SECURITY (Monthly $ 30.00)

Source: Colon Free Zone

For more information, contact www.laglex.com

Changes in Consular Business Appointments at the US Embassy in Panama

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Cambios al procedimiento de visas de negocio para los EEUU

Jeudi 20 mai 2010 9h55

Due to the processing requirements of the new DS-160 non-immigrant visa application, the Embassy will no longer have walk-in appointments available for business travelers. If you have a routine trip to the United States planned for business, please fill out the DS-160 application, submit it electronically, and contact Banco General to schedule an appointment. Additional details on scheduling a non-immigrant visa appointment can be found on our website: http://panama.usembassy.gov/non-immigrant_visas.html. We strive to keep the wait for all appointments at a week or below.

If you have an urgent need for business travel, please send us an e-mail with the word "Business" in the subject line. In addition, the e-mail should include your full name, the planned date of travel, a short description of the purpose of the trip, and why it is urgent and last-minute in nature. Please note these emergency visas appointments are typically reserved for life and death situations.

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Debido a los requisitos para procesar el nuevo formulario DS-160 para visas de No inmigrante, la Embajada de los Estados Unidos, ya no recibirá personas entrando para visas de negocios. Si usted tiene un viaje de rutina para negocios a los Estados Unidos, por favor llenar el formulario DS-160 y mandarlo electrónicamente y contacte al Banco General para una cita. Para más información detallada acerca de una cita para visa de No inmigrante, visite nuestra página de red: http://panama.usembassy.gov/non-inmmigrantvisas.html. Procuramos mantener la espera para una cita por lo menos una semana.

Si usted tiene una emergencia para un viaje de negocios, por favor mandar un correo electrónico con la palabra "Business" en la línea de Tema. Para añadir, el correo electrónico debería incluir su nombre completo, el día que tiene planeado para viajar, una breve descripción del porque de su viaje, y porque es urgente, y por que la última hora. Por favor tome en cuenta que estas citas de emergencia son normalmente para situaciones de vida o muerte.

WRS | Exploring 'the Liechtenstein solution' to banking secrecy

Monday, 15 February, 2010
WRS Exploring 'the Lichtenstein solution' to banking secrecy

Finance Minister Hans-Rudolf Merz met with his counterparts from German-speaking countries at an informal summit in Luxembourg last night. He reportedly told leaders from Austria, Germany, Luxembourg and Lichtenstein that despite the pressure over banking secrecy, Switzerland wouldn’t accept total information exchange with foreign tax authorities. But the Sunday papers say Bern is nevertheless weighing its options to ease pressure over banking secrecy. And Switzerland could find inspiration in our tiny neighbor to the east: Lichtenstein. WRS’s Mark Butcher spoke with our reporter Jordan Davis, who’s been following the story: --> -->

Superintendent receiving comments on new bank application

The Superintendent of Banks of Panama has opened a period of 30 days for comments to the banking and trustee licenses applications filed by UNI B & T HOLDINGS, INC. for UNI BANK & TRUST, INC. The directors of UNI B & T HOLDINGS, INC. are:

JOSEPH SALTERIO
HERMAN BERN
MAYER MIRO YOHOROS
MOUSSA ATTIE
DAVID BTESH NAHMAD
IMAD ISSA
MORDECHAI ASHKENAZI
MOISES AZRAK AZRAK
DANIEL LEVY AZIZIAN
SION COHEN

In accordance with the provisions of Executive Order No.16 of October 3, 1984, objections to the Trust and Banking License applications must be submitted to the Superintendency of Banks within thirty (30) days after the last publication of this notice in a newspaper of national circulation. Objections must be RECEIVED before APRIL 20 at:

Superintendencia de Bancos

Avenida Samuel Lewis, Torre HSBC - Pisos 1, 2, 8, 9, 17, 18
Apartado 0832-2397

WTC, Panamá, Rep. de Panamá
superbancos @ superbancos.gob.pa

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Banco Nacional de Panama budgets US$21 million for new core banking system

Panama has no central bank to issue currency but it does have a government-owned bank called Banco Nacional de Panama which acts as clearinghouse for checks and provides dollar bills to the rest of the banking system. It has the largest amount of assets but incredibly enough the bank has no e-banking facility. These and other information technology shortcomings are the reason why a new 433-page RFP has been issued for a the installation and set up of core banking system ("SUMINISTRO DE LICENCIAS, INSTALACION, ADECUACIÓN, MIGRACIÓN Y PUESTA EN MARCHA DE UN SISTEMA INTEGRADO DE GESTIÓN BANCARIA (CORE BANKING), INTERFASES CON OTROS SISTEMAS, REPORTES Y ÁTOMOS PARA LA SUPERINTENDENCIA DE BANCOS Y OTRAS REGULACIONES, A SER UTILIZADOS EN EL BANCO NACIONAL DE PANAMÁ, BANCO DE DESARROLLO AGROPECUARIO Y BANCO HIPOTECARIO NACIONAL"). A reference price of US$21,000,000 has been set with US$15.6 million for the Banco Nacional branches and the rest for the Banco de Desarrollo Agropecuario and Hipotecario Nacional lending institutions.

21 companies have shown interest so far. The deadline for formal offers from qualified companies is April 29, 2010, noon. The full terms are listed in the Panamacompra government procurement website.

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21 companies interested in Banco Nacional procurement of computer systems
http://www.prensa.com/hoy/negocios/2156793.asp

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Banco Nacional de Panama looks for a new core banking system

30 March 2010
IBS Journal - News Banco Nacional de Panama has published an RFP for a core banking system. This is not the first time the bank has done so. Just over a year ago was the last time it initiated a selection process for a replacement core, but that effort ended unsatisfactorily, with no system able to meet the exceptionally high standards demanded by the bank – so high that only one vendor, Indra, even made a bid (IBS, End of year review 2009).
Vendors may be forgiven for approaching this particular selection process with trepidation, but the feeling appears to be that the bank desperately needs to settle on a replacement this time. ‘We really believe that this time the bank will choose a core system, since its technology situation is in bad shape’, says one source involved in the process. ‘The core is so outdated that the bank can’t open new branches or offer new services.’ The bank has not responded to IBS’s approaches.
Labels: Core Banking Systems, Problem Projects

Costa Rica provides option for online gaming

Just like in 2008 and 2009, the CR Legislature met in late 2009 to vote on a law to regulate gaming and impose special taxes. No English translations exist of the bill, which is available here in Spanish http://twitdoc.com/c/r5xg5y

The workers of sportbook companies who employ thousands inside CR have a website http://www.empleadosapuestascr.com/ and Facebook page where they posted a call to sensible regulation of gaming which translation we quote below. "Sportsbooks" are call-centers in Costa Rica which hire thousands of Costa Ricans who take in calls for users of betting companies (not necessarily casinos or online gaming).

This legislation would affect mostly brick-and-mortar casinos, where Presidential candidates have made their concern about their relationship with sex tourism. The election in February of Laura Chinchilla has made restrictive regulation of casinos more likely although she has expressed her wishes of not endangering true tourism.

Online gaming have less of a negative effect since they have no physical location. As of now, Costa Rica companies are chartered to conduct online gaming through websites outside of Costa Rica. According to gamingzion.com, "Online gambling in Costa Rica is completely legal. It is so legal, in fact, that the country is home to more than 200 internet gambling organizations. These groups run websites that are licensed and hosted out of Costa Rica, but the sites target players all around the globe. Unlike some other of the world's internet gambling hotspots however, Costa Rica's online gambling scene is quite lacking in government oversight. Licenses are quite easy to obtain, and regulation is basically non-existent".

This makes Costa Rica an option when compared to high licensing fees in Malta, Panama or Belize. However, shortcomings in the Costa Rica banking system means that bets placed through credit cards (such as U.S.-based Visa) may be routed through processors in places such as Cyprus and Israel. The existence of legal restrictions in the Costa Rica itself, U.S. and other countries mean that online gaming websites must install appropriate filters to exclude users from those jurisdictions.

Costa Rica companies are subject to payment of income tax on their local income. This means that companies which conduct online gaming from foreign websites are not required to pay Costa Rica income tax, but still have to pay the Education and Culture Stamp Tax ( Ley del timbre de educación y cultura, N° 5923 de 18 de agosto de 1976) and pay a resident agent fee for filing form D-110 of said tax based on the net capital of the company.

Costa Rica companies can be Corporations or Limited Liability Companies. Their formation can take around 2 months (unlike 1-3 days in Panama) and shareholder meetings must be written every year into hard-bound ledgers. Nominees may be appointed as directors or shareholders.

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A few of our coworkers at several bet processing centers have requested us to post our pledge in English as they wish to support us and join our fight. Their jobs are also at risk but they understand that, in reality, the majority of the jobs in danger are from Costa Rican citizens.

Dear Colleagues,

We urge the Congressmen and Government of Costa Rica to make a detailed review of the Regulation Law for Gambling and Casinos.

As employees of the SportsBooks we propose:

• Creating a law that would regulate the sportsbooks in a different way than land based Casinos.
• Reasonable fees or operating licenses rather than miscalculated taxes.
• Consider the Laws of other countries like Panama and Antigua as a base to make a new local rule.

The approval of this Bill, in its current 17, 551 way, will irreversibly cause the exit of the sportsbooks from Costa Rica and, therefore, the lost of thousands of jobs.

Learn more, Participate, and comment on www.empleadosapuestascr.com

We need your support!

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Costa Rica's President-Elect is a Good Bet for Online Gambling
Tuesday, February 23rd, 2010
Costa Rica is a country where gamblers of all denominations can feel right at home. Gambling is explicitly legal and proves to be a booming business within the country. The small nation is home to 30 large casinos and hundreds of other gambling establishments.

Costa Rican gambling law permits just about every form of gambling. Though the gambling industry seemed to be bounding on without limits, the government has started putting more energy into regulating it over the past few years.

Through gambling, the government has a great opportunity to raise revenue and through different regulations they can adjust their intake. Up until this point, the industry's only concern was whether or not the government will raise its taxes on gambling.

A new president, Laura Chinchilla, has been elected in Costa Rica, but has a few months before she will take office. President-Elect Chinchilla is the first woman to be elected president. Land-based casino operators are not happy with the President-Elect due to her open dislike of gambling facilities due to their unfortunate relationship with prostitution. Land-based casino can expect stricter rulings and regulations from this point on, through the new government.

Online gambling sites in Costa Rica, however, have nothing to worry about. President-Elect Chinchilla is highly supportive of the online gambling industry and all of the business that it brings to the nation.

Online Casinos in Costa Rica are obviously much cleaner than their land-based counterparts when it comes to prostitution due to the lack of a physical location. Many online gambling havens are based in Costa Rica and are accessed from all over the world. Brick and mortar casinos also cater to an international scene being that new laws require casinos to be attached to large hotels.
Source: Top10CostaRica.com

European Tax Savings Directive raises income tax by 2010

2011 will be the year when banking centers throughout the EU and its Accession Zone, as well as British Crown Territories, will tax bank accounts of EU citizens at full rates. Foundations and corporations of non-EU territories like Panama may be be exempt of this taxation under certain circumstances.

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Taxation of savings income

The European Union is pursuing its ultimate goal of enabling interest on savings received in one Member State by individuals who are resident for tax purposes in another Member State to be made subject to effective taxation in accordance with the laws of the latter Member State.

ACT

Council Directive 2003/48/EC of 3 June 2003 on taxation of savings income in the form of interest payments.

SUMMARY

Aim of the Directive

The aim of the Directive is to enable savings income, in the form of interest payments made in one Member State to "beneficial owners" * who are individual residents for tax purposes in another Member State, to be made subject to effective taxation in accordance with the laws of the latter Member State. The automatic exchange of information between Member States concerning interest payments * is the means chosen to achieve effective taxation of these "interest payments" in the Member State where the beneficial owner is resident for tax purposes. Member States must therefore take the necessary measures to ensure that the tasks necessary for the implementation of this Directive - cooperation and exchange of banking information - are carried out by paying agents established within their territory, irrespective of the place of establishment of the debtor of the debt claim producing the interest.

Scope of application

The scope of this Directive is limited to taxation of savings income in the form of interest payments on debt claims, to the exclusion of the issues relating to the taxation of pension and insurance benefits. At territorial level, the Directive applies to interest paid by a "paying agent" * established within the territory to which the Treaty applies.

The general system: exchange of information

• Information reporting by the paying agent

Where the beneficial owner is resident in a Member State other than that in which the paying agent is established, the Directive stipulates that the latter must report to the competent authority of its Member State of establishment a minimum amount of information, such as the identity and residence of the beneficial owner, the name and address of the paying agent, the account number of the beneficial owner or, where there is none, identification of the debt claim giving rise to the interest, and information concerning the interest payment.

Moreover, the minimum amount of information concerning interest payment to be reported by the paying agent must distinguish between the specific categories of interest listed in the Directive. However, Member States may restrict the minimum amount of information to the total amount of interest or income and to the total amount of the proceeds from sale, redemption or refund.

• Automatic exchange of information

Under the Directive, the competent authority of the Member State of the paying agent must communicate - at least once a year, within six months following the end of the tax year of the Member State of the paying agent - the information referred to above to the competent authority of the Member State of residence of the beneficial owner.

Transitional provisions: withholding tax (Belgium, Luxembourg and Austria)

During a transitional period, Belgium, Luxembourg and Austria are not required to exchange the information on savings income covered by this Directive if they apply a withholding tax to this income. These three Member States may apply the transitional system until the Swiss Confederation, the Principality of Andorra, the Principality of Liechtenstein, the Principality of Monaco and the Republic of San Marino ensure effective and complete exchange of information upon request concerning payment of interest, and until the Council agrees unanimously that the United States of America is committed to exchange of information upon request as defined in the OECD Model Agreement. The Directive entitles these three Member States to receive information from the other Member States. During the period of transition, Belgium, Luxembourg or Austria may opt for the introduction of an automatic exchange of information, and in this case countries having exercised this option will no longer apply withholding tax and the corresponding tax revenue sharing. Belgium thus announced that it had decided to apply information exchange as per the ‘Savings’ Directive as from 1 January 2010.

As regards the withholding tax system, the Directive lays down that where the beneficial owner is resident in a Member State other than that in which the paying agent is established, Belgium, Luxembourg and Austria shall levy a withholding tax at a rate of 15% during the first three years of the transitional period, 20% for the subsequent three years and 35% thereafter.

As regards revenue sharing, the Directive lays down that Member States levying withholding tax shall retain 25% of their revenue and transfer 75% of the revenue to the Member State of residence of the beneficial owner of the interest.

As regards double taxation, the Directive lays down that the Member State of residence for tax purposes of the beneficial owner is to ensure the elimination of any double taxation that might result from the imposition of the withholding tax.

Lastly, the Directive does not preclude Member States from levying other types of withholding tax than that referred to above in accordance with their national laws or double-taxation conventions.

Context

As part of the "tax package" aimed at combating harmful tax competition, the European Community (EC) decided to draw up a legislative instrument to overcome existing distortions in the effective taxation of savings income in the form of interest payments.

Savings income in the form of interest payments from debt claims constitutes taxable income for residents of all EU Member States. However, owing to the free movement of capital (Articles 56 to 60 of the Treaty) and the absence of any coordination of national systems for taxing savings income in the form of interest payments, and in particular the treatment of interest received by non-residents, residents of Member States are often able to avoid any form of taxation in their Member State of residence on interest they receive in another Member State. The resulting distortions in the movement of capital between Member States are incompatible with the internal market. Moreover, this situation encourages the evasion of tax on savings income and increases tax pressure on income from less mobile sources such as that derived from work, which adversely affects labour costs and therefore, indirectly, job creation.

This Directive builds on the consensus reached at the Feira European Council of 19 and 20 June 2000 and the subsequent Ecofin Council meetings of 26 and 27 November 2000, 13 December 2001 and 21 January 2003. The consensus lies in the setting up of an automatic exchange of information system between all Member States except for Belgium, Luxembourg and Austria, which will be given a transitional period during which, instead of providing information to the other Member States, they must apply a withholding tax to the savings income covered by this Directive.

Key terms used in the act

Beneficial owner means any individual who receives an interest payment or any individual for whom an interest payment is secured, unless he provides evidence that it was not received or secured for his own benefit. Paying agent means any economic operator who pays interest to or secures the payment of interest for the immediate benefit of the beneficial owner, whether the operator is the debtor of the debt claim which produces the interest or the operator charged by the debtor or the beneficial owner with paying interest or securing the payment of interest. In specific cases set out in Article 4 of the Directive, any entity established in a Member State to which interest is paid or for which interest is secured for the benefit of the beneficial owner is also considered a paying agent upon such payment or securing of such payment. Interest payment means: interest paid or credited to an account, relating to debt claims of every kind, whether or not secured by mortgage and whether or not carrying a right to participate in the debtor’s profits, and, in particular, income from government securities and income from bonds or debentures, including premiums and prizes attaching to such securities, bonds or debentures; penalty charges for late payments are not regarded as interest payments; interest accrued or capitalised at the sale, refund or redemption of the debt claims referred to above; income deriving from interest payments either directly or through certain entities set out limitatively, distributed by undertakings for collective investment in transferable securities (UCITS) authorised in accordance with Directive 85/611/EEC or certain undertakings for collective investment; income realised upon the sale, refund or redemption of shares or units in UCITS, if they invest directly or indirectly, via other undertakings for collective investment or entities, more than 40% of their assets in debt claims.

REFERENCES

Act	Entry into force	Deadline for transposition in the Member States	Official Journal
Directive 2003/48/EC [adoption: consultation CNS/2001/0164]	Initially on 1.1.2005, postponed to 1.7.2005	Date of transposition: 1.1.2004 Date of application: 1.7.2005	OJ L 157 of 26.6.2003

Amending act(s)	Entry into force	Deadline for transposition in the Member States	Official Journal
Directive 2004/66/EC	1.5.2004	1.5.2004	OJ L 168 of 1.5.2004
Directive 2006/98/EC	1.1.2007	1.1.2007	OJ L 363 of 20.12.2006

RELATED ACTS

Proposal for a Council Directive of 13 November 2008 amending Directive 2003/48/EC on taxation of savings income in the form of interest payments [COM(2008) 727 final – Not published in the Official Journal].
This Proposal for a Directive aims at offsetting the shortcomings in the current directive, with a view to taxing savings income more effectively and eliminating the undesirable distortions of competition.

In this perspective, the main amendments proposed concern the following points:

• the definition of the beneficial owner: a proposal for a ‘look-through’ approach to cover interest payments made to legal persons or arrangements held by individuals (the current directive only covers interest payments made for the immediate benefit of individuals);
• the identification of beneficial owners: the recording of the date and place of birth of the beneficial owner in all cases and in addition the tax identification number of the beneficial owner when this number appears on documents presented for identification purposes is proposed;
• the definition of the notion of paying agent: clarification of the notion of ‘paying agent on receipt’ and the introduction of a ‘positive’ definition of intermediary structures established in Member States and bound to act as ‘paying agents on reception’;
• the definition of interest payment, in order to cover financial instruments that are equivalent to those which are explicitly covered: structured products that are equivalent in substance to debt commodities and some insurance products that are directly comparable to undertakings for collective investment since their performance is linked to debt claims or equivalent income;
• the extension of the scope to all undertakings for collective investment in transferable securities (UCITS);
• the communication of information by paying agents;
• the introduction of a comitology procedure so as to quickly decide implementation measures related to the Directive.

European Parliament Legislative Resolution adopted on 24 April 2009.
In its Resolution, Parliament approves the Commission’s Proposal and proposes a series of amendments (29) which, in Parliament’s opinion, would make the new law more effective.

Opinion of the Economic and Social Committee: The Opinion of the Economic and Social Committee was adopted on 13 May 2009. The Committee notes its full agreement with the Commission’s Proposal. It expresses some reserves with regard to some administrative and legal complications resulting from these new provisions.
European Parliament Consultation Procédure (CNS/2008/0215).

Council Decision2005/357/EC of 22 December 2004 on the conclusion of the Agreement between the European Community and the Republic of San Marino providing for measures equivalent to those laid down in CouncilDirective2003/48/EC on taxationof savings income in the form of interest payments [Official Journal L 114 of 4.5.2005].

Council Decision 2005/356/CE of 22 December 2004 on the conclusion of the Agreement between the European Community and the Principality of Andorra providing for measures equivalent to those laid down in Council Directive 2003/48/EC on taxation of savings income in the form of interest payments [Official Journal L 114 of 4.5.2005].

Council Decision 2005/353/EC of 22 December 2004 on the conclusion of the Agreement between the European Community and the Principality of Liechtenstein providing for measures equivalent to those laid down in Council Directive 2003/48/EC on taxation of savings income in the form of interest payments [Official Journal L 112 of 3.5.2005].

Council Decision2005/347/EC of 22 December 2004 on the conclusion of the Agreement between the European Community and the Principality of Monaco providing for measures equivalent to those laid down in Directive 2003/48/EC on taxation of savings income in the form of interest payments [Official Journal L 110 of 30.4.2005].

Council Decision2005/35/EC of 7 December 2004 on the signing of the Agreement between the European Community and the Principalityof Monaco providing for measures equivalent to those laid down in Council Directive 2003/48/EC on taxation of savings income in the form of interest payments and the approval and signing of the accompanying Memorandum of Understanding [Official Journal L 19 of 21 January 2005].
The agreement is aimed at permitting the effective taxation of savings income in the form of interest payments through the adoption of measures equivalent to those applied within the European Community, as laid down in Council Directive 2003/48/EC. These include a withholding tax on savings interest paid to residents of EU Member States, a mechanism that allows revenue-sharing with the Member State of residence of the recipient of the interest, voluntary disclosure of information regarding interest payments if the taxpayer so agrees and the exchange of information on request in cases of tax fraud or the like. The agreement also contains a review clause allowing its terms to be adapted in line with international developments.

CouncilDecision2004/903/EC of 29 November2004 on the signing of the Agreement between the European Community and the Republic of San Marino providing for measures equivalent to those laid down in Council Directive 2003/48/EC on taxation of savings income in the form of interest payments and the approval and signing of the accompanying Memorandum of Understanding [Official Journal L 381 of 28 December 2004].
Purpose: to ensure that the Republic of San Marino adopts measures equivalent to those to be applied within the European Community to permit effective taxation of savings income in the form of interest payments. The measures involve withholding tax at a predetermined rate with revenue sharing, a voluntary procedure for the beneficiary based on the optional supply of information to his or her tax authority in place of withholding of tax at source by the paying agent, a mechanism for information exchange on request in the event of tax fraud or equivalent offences concerning interest, and a revision clause enabling the parties to consult each other every three years or at the request of one of the parties in order to improve the technical operation of the agreement and allow for international change in this domain.

Council Decision2004/897/EC of 29 November 2004 on the signing of the Agreement between the European Community and the Principality of Liechtenstein providing for measures equivalent to those laiddown in Council Directive 2003/48/EC on taxation of savings income in the form of interest payments and the approval and signing of the accompanying Memorandum of Understanding [Official Journal L 379 of 24 December 2004].

CouncilDecision2004/828/EC of 2 November 2004 on the signing of the Agreement between the European Community and the Principality of Andorra providing for measures equivalent to those laid down in Council Directive 2003/48/EC on taxation of savings income in the form of interest paymentsand the approval and signing of the accompanying Memorandum of Understanding [Official Journal L 359 of 4 December 2004].
The agreements are aimed at permitting the effective taxation of savings income in the form of interest payments through the adoption of measures equivalent to those applied within the European Community, as laid down in Council Directive 2003/48/EC. These include

• a withholding tax on savings-interest paid to residents of EU Member States;
• a mechanism that allows revenue-sharing with the Member State of residence of the recipient of the interest;
• a procedure allowing taxpayers to avoid withholding tax if they expressly authorise their paying agent established in the Liechtenstein to communicate the payment of interest to the competent authorities of that State in order to allow the information to be transmitted to the State of residence (‘voluntary disclosure’), or if they present a certificate stating that the State of Residence has been informed of the investment on Andorran territory.
• the exchange of information on request in cases of tax fraud or the like. The agreements also contain a review clause allowing their terms to be adapted in line with international developments.

CouncilDecision2004/912/EC of 25 October 2004 on the conclusion of the Agreement in the form of an Exchange of Letters between the European Community and the Swiss Confederation on the date of application of the Agreement between the European Community and the Swiss Confederation providing for measures equivalent to those laid down in Council Directive 2003/48/EC of 3 June 2003 on taxation of savings income in the form of interest payments [Official Journal L 385 of 29 December 2004].

Council Decision2004/911/EC of 2 June 2004 on the signing and conclusion of the Agreement between the EuropeanCommunity and the Swiss Confederation providing for measures equivalent to those laid down in Council Directive 2003/48/EC on taxation of savings income in the form of interest payments and the accompanying Memorandum of Understanding [Official Journal L 385 of 29 December 2004].
These Decisions aim to secure the adoption, by Switzerland, of measures equivalent to those to be applied within the Community to ensure effective taxation of savings income in the form of interest payments; and to enable Switzerland to benefit from the common system of taxation applicable in the case of parent companies and subsidiaries (Directive 90/435/EEC) and to interest and royalty payments made between associated companies (Directive 2003/49/EC). This draft Agreement is accompanied by an ancillary Memorandum of Understanding (MoU) between Switzerland, the European Community and its Member States. This MoU inter alia commits Switzerland and the Member States to enter into bilateral negotiations with a view to including in their respective double taxation conventions provisions on exchange of information on request for cases falling within the concept of "tax fraud or the like" with respect to items of income not subject to the Agreement but covered by their respective conventions, and with a view to defining individual categories of cases falling under "the like" in accordance with the procedure of taxation applied by those countries. The MoU also confirms that, during the transitional period provided for in Council Directive 2003/48/EC, the European Community will enter into discussions with other important financial centres with a view to promoting the adoption by those jurisdictions of measures equivalent to those to be applied by the Community. Finally, the MoU provides that the agreed measures will be implemented in good faith and that the parties will not act unilaterally to undermine this arrangement without due cause.

CouncilDecision2004/587/EC of 19 July 2004 on the date of application of Directive 2003/48/EC on taxation of savings income in the form of interest payments [Official Journal L 257 of 4.8.2004].
This Decision postpones the date of entry into force of Directive 2003/48/EC to 1 July 2005.

Decision of the Representatives of the Governments of the Member States meeting within the Council of 27November 2001 concerning the taxation of savings in Caribbean dependent or associated territories [Official Journal L 314 of 30.112001].
Ten important territories dependent upon or associated to Member States (Jersey, Guernsey, the Isle of Man and the Caribbean dependent or associated territories) have, since 1July 2005, applied measures which are identical to those provided for in the Directive - the automatic exchange of information or, during the period of transition laid down by the Directive, the deduction of a withholding tax under the same conditions as those laid down for Belgium, Luxembourg or Austria.

http://europa.eu/legislation_summaries/taxation/l31050_en.htm