The Isle of Man is the first jurisdiction to agree to an automatic exchange of information with the UK.
The agreement which comes into play September 2016, will see information prepared by third parties being automatically shared between the UK and Isle of Man. The agreement which is based on the US FATCA, is the first involving two countries outside of the US.
The deal was announced after South Africa became the latest country to sign a pilot seeing similar information exchange. The pilot was launched by the UK, France, Germany, Italy and Spain at the G5 summit in Spring.
The Chancellor warned for anyone attempting to hide their money offshore our message is clear: our resolve is stronger than ever, the net is closing in and the world is becoming a smaller place to evade paying the taxes which are owed.
A Isle of Man disclosure facility recently launched is set to encourage those with undisclosed income from the Isle of Man coming forward, and benefiting from lower penalties. Unlike the Liechtenstein disclosure, it will not give immunity from criminal prosecution and therefore for some Liechtenstein maybe a better route.