Barbados Reaffirms Unwavering Commitment to OECD Tax Transparency Standards

Commitment to Global Tax Transparency

Barbados has recently reaffirmed its unwavering commitment to the Global Forum on Transparency and Exchange of Information for Tax Purposes. This declaration comes in response to the Organisation for Economic Co-operation and Development's (OECD) Enhanced Monitoring Report on the Implementation of the Standard on Transparency and Exchange of Information on Request (EOIR) 2025, which was published around December 2, 2025. Local authorities stated, '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.'

The island nation has been an active member of the Global Forum since 2009 and recently hosted the 21st Automatic Exchange of Information Peer Review Group Meeting, signaling its dedication to international cooperation in tax matters.

Addressing OECD Recommendations

The 2025 OECD report assessed Barbados's progress in addressing recommendations from its previous Supplementary EOIR Peer Review Report, covering the monitoring period of 2023 to 2024. While Barbados holds an overall rating of 'largely compliant' in the OECD peer review process for EOIR, the report highlighted areas requiring further attention.

Specifically, the report indicated that eight recommendations are 'in the process of being addressed,' while two recommendations 'have not been addressed.' Key areas for improvement include ensuring that beneficial ownership information is consistently available and up-to-date, maintaining proper accounting records by companies, enhancing access to banking information when necessary, and improving the overall effectiveness of information exchange.

Progress and Future Outlook

Despite the outstanding recommendations, Barbados has demonstrated progress in certain areas. The nation has advanced in the application of compulsory access powers and the imposition of sanctions (element B.1), and has made improvements in the effective exchange of information (element C.5). Minister in the Ministry of Finance, Ryan Straughn, emphasized the importance of these commitments for unlocking investment and fostering economic growth, noting that extensive reforms have been undertaken to meet global requirements and strengthen governance.

Looking ahead, Barbados is preparing for its next self-assessment in 2028, which will be part of the second round of the enhanced monitoring process. Planned reforms include improving access to beneficial ownership information, strengthening the supervision of companies, and enhancing information sharing with other countries.

Historical Context of Compliance Efforts

Barbados's engagement with international tax standards has evolved over time. In April 2020, its overall rating was downgraded from 'Largely Compliant' to 'Partially Compliant' due to challenges in the practical implementation of rules, particularly concerning beneficial ownership information. This led to its inclusion on the EU's list of non-cooperative jurisdictions for tax purposes in October 2020, a decision the Barbadian government strenuously objected to, stating that identified deficiencies had already been addressed. The country also signed the OECD's Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (MLI) in January 2017, further solidifying its commitment to international tax rules.