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The USA requires all Bermudians, US citizens working in Bermuda or elsewhere abroad and others who have any stocks and shares or real estate or any financial interest in the USA to file US Tax returns, the only country in the world to to so. Written in part to celebrate Bermuda's 400th anniversary in 2009.

It has been held to be as reasonable for the convention to be held in Bermuda as it is for the convention to be held within the North American area.The USA has the world's most complex web of national, state and local taxes and some staggering Federal corporation taxes, highest in the world in Federal taxes and consequent reduction of profits, anti-trust bureaucracy and more.Thus thousands of US-based corporations (companies), including all the Fortune 500 and individuals have made a point of deliberately avoiding such taxes by incorporating in Bermuda, legally accumulating their profits in their Bermuda entities and ensuring these profits are not repatriated back to the USA to be taxed.Now, thanks to a new agreement between Bermuda and the US signed in April 2008, passengers and crew aboard private aircraft will also be pre-cleared in Bermuda.This supplements the establishment of the first Bermuda-USA pre-clearance agreement in 1974.

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