Credit Suisse Saved From Investigation

September 20, 2011 Offshore BankingTaxation in GermanyTaxation in Switzerland

Tax Settlement by Credit SuisseSwiss bankers are breathing a sigh of relief as the banking giant Credit Suisse reaches a multimillion dollar settlement with German tax authorities.

In a statement made by representatives of Credit Suisse on September 19th in Dusseldorf, the bank announced that a solution has been reached to the ongoing animosity with German tax authorities. The disputes centered on accusations that Credit Suisse staff knowingly aided German taxpayers in evading their tax obligations in Germany through the use of Credit Suisse bank accounts.

The deal will see Credit Suisse pay EUR 150 million to German tax authorities to end their investigations. German authorities have agreed that they will also stop investigations and prosecution of individual employees of Credit Suisse. As part of the agreement, the bank will not make any admission of responsibility for tax evasion by German taxpayers who used Credit Suisse accounts to hide their funds.

According to the bank’s statement, the deal with German tax authorities avoids a complex and prolonged legal dispute, and provides customers and investors with assurances of legal certainty.

Credit Suisse has been under investigation by German authorizes since last year, when tax officials launched a probe into 1100 Credit Suisse clients who were suspected by German authorities in tax evasion. The bank is currently facing the prospects of investigations for similar charges by tax authorities of the USA.

Photo by mondays child