Government has told the Organisation for Economic Cooperation and Development (OECD) that it will continue advancing key reforms so that Barbados can more effectively exchange tax information on request.
This includes “the implementation of measures to enhance the availability and accessibility of beneficial ownership information, and to further improve the effectiveness of its exchange of information framework”.
The promise of improvement came as Barbados’ Enhanced Monitoring Report on the Implementation of the Standard on Transparency and Exchange of Information on Request (EOIR) 2025 recommended that the jurisdiction take action in several areas.
Barbados is among OECD Global Forum members who are part of “an enhanced monitoring process to efficiently and effectively monitor jurisdictions’ compliance with the EIOR standard on an ongoing basis”, the report published on December 2 reminded.
The OECD wants Barbados to submit the next self-assessment in 2028 under the second round of enhanced monitoring process.
Assessed the actions
On EOIR, Barbados has been rated “largely compliant” overall following peer reviews but had ten recommendations to improve in relation to elements A.1 (availability of ownership and identity information), A.2 (availability of accounting information), A.3 (availability of banking information), B.1 (access to information), and C.5 (effective exchange of information).
The new OECD report assessed the actions taken by Barbados to address the recommendations issued in its Supplementary EOIR Peer Review Report, and the peer input received for the monitoring period 2023 to 2024.
The latest conclusion is that eight recommendations are “in the process of being addressed”, and two recommendations “have not been addressed”.
“Barbados reaffirms its unwavering commitment to the Global Forum on Transparency and Exchange of Information for Tax Purposes and fully supports the objectives of the Enhanced Monitoring process,” local authorities stated in their response in the report.
“The jurisdiction remains actively engaged in strengthening its legal and regulatory framework and ensuring the consistent and effective implementation of the Exchange of Information on Request standard.
“This reflects Barbados’ dedication to the cooperative and collaborative approach to international tax matters that has become a hallmark of engagement with global partners.”
Government added: “In preparation for the next reporting cycle, Barbados will continue to advance key reforms, including the implementation of measures to enhance the availability and accessibility of beneficial ownership information, and to further improve the effectiveness of its exchange of information framework.
“These efforts underscore Barbados’ resolve to uphold the highest standards of transparency and international cooperation in tax matters.”
Barbados has been a member of the OECD Global Forum since 2009 and last month the island hosted the Global Forum’s 21st Automatic Exchange of Information Peer Review Group Meeting.
The EOIR standard requires the island to provide other countries with “all
information that is foreseeably relevant for the administration of their domestic direct tax laws or for their fight against tax fraud”.
Under element A.1, the OECD said that Barbados has made progress to improve the availability of accurate and up-to-date beneficial ownership information; the implementation of supervisory and enforcement measures to ensure compliance with identity, legal and beneficial ownership filing and record keeping obligations; expansion of supervision and enforcement actions to cover smaller companies and general partnerships; and the availability of legal and beneficial ownership information on inactive companies.
Regarding element A.2, the report said Barbados had progress in ensuring adequate oversight over entities’ compliance with accounting record keeping obligations; and on the availability of accounting information on inactive companies; but noted that no progress was reported on the application of sanctions to ensure availability of accounting information.
Beneficial ownership information
For element A.4, the OECD publication Barbados has taken preliminary steps to address the recommendation the lack of specified frequency to update beneficial ownership information, “but no material progress has been reported. It is urged to make substantive progress before the next self-assessment”.
Barbados was found to have made progress on the application of compulsory access powers and imposition of sanctions, which is part of element B.1.
The OECD also said that Barbados had made progress on implementing improvement for element C.5.
Over the 2023 to 2024 monitoring period, Barbados “received 23 requests and sent one request”, mainly from Canada, Colombia and the United Kingdom. Barbados reported providing full and final responses in 83 per cent of all the received requests and indicated 17 per cent as pending requests.
“Out of the five members that provided peer input, three indicated having EOIR exchanges with Barbados during the monitoring period. They reported general satisfaction in respect of their EOIR experience with Barbados,” the report noted.
“However, one peer indicated concerns about missing information and the lack of a status update. There is a pre-existing recommendation on the issue of systematic provision of status updates, and in light of the peer input, Barbados is recommended to ensure status updates are systematically provided where required.” (SC)
