In addition to this new DTA, Guernsey has had a longstanding DTA with the UK and has signed DTAs with Malta, in 2012, and earlier this year with the Isle of Man, Jersey, Qatar and Singapore.
The DTA with Hong Kong was signed for Guernsey by the chief minister, Peter Harwood.
Harwood said: “The signing of this DTA, combined with the visit of the Chinese Ambassador to the UK to Guernsey this week, recognises the importance attached to Guernsey’s business relationship with the Far East. The agreement is expected to bring significant commercial benefits to our finance sector, resolving issues relating to potential double taxation, and leading to greater opportunities for new business.”
In a statement, Guernsey said it has worked closely with its counterparts in China and Hong Kong since 2006, particularly since the establishment of a Guernsey Finance office in Shanghai at the end of 2007. Guernsey signed a Tax Information Exchange Agreement (TIEA) with China in 2010.
In 2011, Guernsey businesses were approved to list on the Hong Kong Stock Exchange.
Today, a number of Guernsey-based firms have offices in Hong Kong, including law firms Mourant Ozannes and Ogier, fund administrator International Administration Group and fiduciary services providers Louvre, Nerine and Newhaven.
