The European Union (EU) and France have drafted an agreement on the application of savings tax legislation to the collectivity of Saint-Barthelme.
The island of Saint-Barthélemy ceased to be a region of the EU with effect from January 1, 2012. Instead the island gained the status of overseas country or territory. When this change took place France undertook to conclude the agreements necessary to ensure that the EU’s interests were preserved.
This agreement is underlines the resolve of France and the EU to ensure continuity and consistency in the fight against tax fraud and tax evasion. EU instruments such as the savings tax legislation can only work effectively if they leave unresolved issues which can be used in artificial tax avoidance or tax evasion.
