British Virgin Islands

New Documents

HM Treasury’s Office of Financial Sanctions Implementation published a notice providing details on amendments to the sanctions entries for three individuals and one entity designated under the Russia (Sanctions) (EU Exit) Regulations 2019.

HM Treasury’s Office of Financial Sanctions Implementation issued a notice concerning the addition of 42 individuals and 44 entities to the consolidated list pursuant to the Russia (Sanctions) (EU Exit) Regulations 2019.

Enforcement Actions

The British Virgin Islands’ Financial Services Commission fined ILS Fiduciary Ltd. $35,000 for anti-money laundering violations.

The British Virgin Islands’ Financial Services Commission announced that the London, U.K.-based company was fined $30,000 for violating the Anti-Money Laundering Terrorist Financing Code of Practice.

Important Facts

  • The U.S. State Department labels the British Virgin Islands as a major money laundering jurisdiction. The economy of this UK overseas territory depends greatly on tourism and the offshore financial sector. As of June 2020, its commercial banking sector had assets valued at $2.28 billion. Exploitation of its offshore financial services and the unique share structure that does not require a statement of authorized capital pose significant money laundering risks to the jurisdiction. It is a favored destination for incorporating new companies and registering shell companies. Also, its proximity to the U.S. Virgin Islands and the use of the U.S. dollar for its currency add risks for money laundering. The British Virgin Islands is a major target for drug traffickers, who use the area as a gateway to the United States. Know your customer and suspicious transaction report requirements cover banks, money services businesses, insurance companies, investment businesses, insolvency practitioners, trust and company service providers, attorneys, notaries public, accountants, auditors, yacht and auto dealers, real estate agents, dealers in precious stones and metals, dealers in other high-value goods, and non-profit organizations. The British Virgin Islands applies enhanced due diligence procedures to politically exposed person.
-Source: 2021 International Narcotics Control Strategy Report (INCSR)



Technical Effectiveness
Compliant : 18 High :
Largely Compliant : 15 Substantial :
Partially Compliant : 15 Moderate :
Non-Compliant : 1 Low :


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Tax Justice Network i

Rank : 9/133
Score : 71/100