UK New Disclosure Opportunity to End March 2010

July 10, 2009 Offshore BankingTax HavensTaxation in UK  No comments

The HM Revenue & Customs (HMRC) has begun a New Disclosure Opportunity (NDO) initiative to run through until 2010, in the hopes of reclaiming any taxes owed by offshore bank account holders.

New Disclosure Opportunity notifications will be sent out to the clients of numerous UK banks and financial institutions by the HMRC in a scheme to entice offshore account holders into disclosing any unpaid tax obligations. In July 2007 a similar Offshore Disclosure Facility (ODF) was run by the HMRC and netted over £450 million in previously unpaid taxes.

Clients of Barclays, Lloyds, HSBC, HBOS or RBS, who received notification from the previous ODF, will face a penalty of 20% of their tax liability...

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Tax Data Deal for Germany and Liechtenstein

July 10, 2009 Tax HavensTaxation in EUTaxation in GermanyTaxation in Liechtenstein  No comments

Germany and Liechtenstein struck up a Tax Information Exchange Agreement (TIEA) on the 10th of July.

In an effort to amend the rift between the two countries, caused by a dispute over Liechtenstein’s bank secrecy laws, the TIEA has finally been agreed upon to promote bilateral co-operation on tax matters through an exchange of information. The signed agreement complies with current guidelines developed by the OECD Global Forum Working Group on Effective Exchange of Information, and is set to be enacted during the 2010 tax year, subject to a governmental ratification.

Liechtenstein Prime Minister Klaus Tschuetscher described the TIEA as a response to international attention to current financial practises in his country and regarded this agreement as “an important step in our relationship...

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