The Belgian Court of Audit has concluded in its report on the Cayman tax addressed to the Federal Parliament that major problems pertaining to the application of this complex legislation and the conducting of controls have still remained despite the new reinforced Cayman tax 2.0. The tax administration has been facing difficulties in identifying the founders and beneficiaries of foreign legal constructions due to a lack of information and the use of nominees and intermediate companies. The problems with the controls include poor data quality and cumbersome procedures. Besides, the revenue from the Cayman tax cannot be accurately quantified and is likely to be significantly lower than the budgeted amounts. The Court has recommended adapting the legislation on some points, improving access to data, centralising any relevant knowledge, following up and evaluating the controls more thoroughly and assessing the Cayman tax as a whole.
