§ Mr. Chris SmithTo ask the Chancellor of the Exchequer if he will indicate how far discussions proceeded on the preparation of a new tax treaty with the Netherlands Antilles before the decision was taken not to undertake a new treaty; what were the terms of such a revised treaty which were agreed prior to the abandonment of negotiations; and if he will make a statement.
§ Mr. LilleyDiscussions at official level about a new double taxation convention between the United Kingdom and the Netherlands Antilles commenced in May 1987. These discussions and subsequent talks were the subject of Inland Revenue press releases dated 1 July 1987, 24 June 1988, 16 March 1989 and 19 October 1989. The Government considered the position reached in these 481W discussions and decided that in all the circumstances a satisfactory basis for a new convention did not exist. This was announced on 19 October 1989. The terms of the draft text which formed the basis for discussions between the United Kingdom and the Netherlands Antilles remain confidential. There are no immediate plans to hold further discussions.