Reports from Washington indicate that the US government may be reconsidering its support of the OECD’s (Organisation for Economic Cooperation and Development) efforts to bring the tax laws of offshore jurisdictions in line with international standards and to prevent (in the OECD's opinion) unfair tax competition. Senior Republicans have for some time now voiced their concern over the OECD initiative, which they consider stifles free market competition by pushing up tax rates and forcing the disclosure of confidential information. Concerned that the initiatives will have a negative long-term impact on US domestic economic and tax interests - the US considers itself a low tax jurisdiction compared to its competitors in Europe – US Treasury Secretary, Paul O’Neill, is said to have privately warned G7 economic officials that the new administration intends reviewing the Clinton administration’s decision to support the OECD initiative.
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