Liechtenstein Moves to OECD White List

November 12, 2009 International Tax CooperationTaxation in Liechtenstein  No comments

Liechtenstein has completed the necessary tax information agreements to be moved to the Organization for Economic Co-operation Development’s (OECD) “White List” of countries.

It was reveled on November 11th by Klaus Tschütscher, Liechtenstein Prime Minister, that the nation will be considered as adequately complying with the G20’s and OECD’s efforts to combat international tax evasion. By signing Tax Information Exchange Agreements (TIEA) with Belgium and Netherlands, Liechtenstein has brought their total agreement number to the required minimum of twelve to be judged as having substantially implemented the internationally agreed standard in exchange of fiscal information. The status change also circumvents possible sanctions or actions from G20 nations, directed at jurisdictions they deem to be uncooperative in taxation matters.

Commenting on the event, the Prime Minister said, “I think this is a good standpoint for the future, though of course it’s an intermediate step,” he continued on to say “We are working in open markets, in a globalized world, so tax evasion should be marginalized”. Klaus Tschütscher also pronounced that the removal of the country’s “grey list” status is a “milestone”. Displaying his backing to these words, Liechtenstein is already in negotiation with more countries for similar tax information agreements and has joined Global Forum in Transparency and Exchange of Information.

Angel Gurría, OECD Secretary-General, praising the country on its efforts said, “I would like to commend Liechtenstein for its swift implementation of the OECD standard on exchange of information. After its acceptance of the standard on 12 March 2009, Liechtenstein has within a few months turned into reality its commitment to fully cooperate in tax matters. I would like to congratulate Prime Minister Klaus Tschütscher for his leadership and continued efforts in this process”.

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