The Bahamas Ministry of Finance has released guidance on Mutual Agreement Procedures (MAP) with Japan as per the tax information exchange agreement between the two nations.
The guidance details the scope of MAP, eligibility for requesting MAP, the initiation process, the handling of MAP requests, and the implementation of agreements.
MAP allows the Competent Authorities to resolve differences or difficulties regarding the interpretation or application of the Convention on a mutual-agreed basis.
This mechanism seeks to ensure the proper application and interpretation of a tax treaty so that taxpayers entitled to the benefits of the treaty are not subject to taxation by either jurisdiction which is not in accordance with the terms of the treaty.
