exchange agreements tagged posts

FATCA Delayed by Six Months

July 15, 2013 International Tax CooperationTaxation in USA

U.S. Department of the TreasuryWASHINGTON D.C. – Banks and financial institutions around the world have been given a welcome reprieve, as the USA delays enacting new withholding on international payments.

In a statement issued at the end of last week the US Department of the Treasury announced that financial institutions based outside of the USA have been given six more months to complete all the procedures necessary to comply with the US Foreign Account Tax Compliance Act (FATCA).

The FATCA system is intended to stamp out the occurrence of tax evasion and the hiding of incomes by US taxpayers, requiring all foreign financial institutions to disclose information about their US clients, or collect a 30 percent withholding on any transactions passing through in the interest of an American taxpayer or in connection to any ...

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Switzerland Proposes Data Sharing Framework

July 8, 2013 Taxation in SwitzerlandTaxation in USA

Swiss BanksBERN – Banks in Switzerland may soon have a system of sharing data during tax investigations by the USA, thanks to a new framework being proposed by the government.

On June 3rd the Federal Council of Switzerland unveiled new protocols for solving information sharing disputes between financial institutions in Switzerland and the tax authorities in the USA, without compromising the country’s infamous bank-secrecy rules and still staying “…within the scope of existing law and particularly data protection and employment law provisions”.

The Council stated that Swiss banks may apply to the national government for permission to provide US tax authorities with limited information about clients’ bank accounts, but the passed information may not contain the name or particulars of the customer, ...

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EU to Increase Tax Information Shared

June 13, 2013 Taxation in EU

BelgiumBRUSSELS – The European Commission is calling for a revision of current tax information exchange agreements in order to increase the amount of taxpayer data which is automatically shared between tax authorities in the EU.

On June 12th the European Commission (EC) unveiled a new proposal to expand the scope of all the information exchange agreements currently signed between EU member states in order to create “…the most comprehensive system of automatic information exchange in the world.”

If the provisions set out in the proposal are accepted and implemented, each European country will be required to automatically share all information about national taxpayers’ “…dividends, capital gains, all other forms of financial income and account balances.”

The new rules would be implemented ...

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Switzerland Says No to Tax Information Exchange

April 15, 2013 Taxation in Switzerland

Bern, SwitzerlandBERN – Switzerland will not change its tack on tax information exchange agreements, and international pressure is unlikely to force the government to alter its view on the issue.

The government of Switzerlnad does not see any immediate need to change the country’s current position regarding disclosing to overseas tax authorities the details of foreign individuals with accounts in Swiss banks, and the country will not enter into tax information exchange agreements with the EU in the near future, according to opinion of the President of Switzerland Ueli Murer as provided in an interview on April 14th.

The President explained Switzerland’s position on information exchanges, saying that banking confidentiality should be viewed as seriously as medical confidentiality, and “…the state must abso...

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Five EU Countries Strike Up Tax Information Agreement

April 10, 2013 International Tax CooperationTaxation in EU

EuroLONDON – The escalating fight against international tax aevasion has staken another step forward as five EU countries announce a new program which seeks to ease the process of sharing taxpayer data across boarders and between various international tax authorities.

In a letter dated April 9th and addressed to the European Commissioner for Taxation Algirdas Semeta the ministers of finance of the UK, Germany, Italy, Spain and France jointly revealed that the five countries have finally agreed to implement a “pilot multilateral exchange facility” aimed at easing the process of sharing information about taxpayers resident or operating in any of these five countries, as a mutual effort to cut down on the occurrence of tax evasion.

According to the information provided in the letter, the fram...

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