PRESS RELEASE New OECD report on automatic information exchange: will developing countries be left out? … [Read more...]
If a person or entity resident in one jurisdiction owns income-generating assets in another jurisdiction, the resident’s tax authorities generally need to know about that asset or income, to assess their tax liabities. So jurisdictions exchange information with each other for tax (and other) purposes under a range of international schemes, agreements and protocols. Many, of course, don’t exchange or even collect that information locally – or they put up obstacles in the way of information exchange.
Historically, the OECD, a club of rich countries that has been mandated by G20 leaders to promote the agenda, has claimed that its very weak “on request” standards for information exchange constitute the “internationally agreed standard” for information exchange. “On request” means that information is only passed over after a clear request is made, specifying the taxpayer concerned and various other bits of information about him or her. In essence, you have to already know what you are looking for before you ask for it.
However, from around 2012 a new consensus started to emerge, strongly supported by the Tax Justice Network and its allies, that the world needs far stronger standards, notably “automatic” information exchange between jurisdiction, on a multilateral basis. Various working examples of automatic information exchange are already up and running: perhaps most notably the EU’s Savings Tax Directive and the U.S. Foreign Account Tax Compliance Act (FATCA.)
This page provides links and news about information exchange. See also our information exchange archive for older stories.
Image credit: Christian Aid, with thanks.
One of the many devious ploys used by the Swiss financial centre to protect its often illicit gains is to insist on 'reciprocity' in the exchange of information. Along the lines of: "If we're going to share information with Nigeria, then they should share the same kind of information with us!" … [Read more...]
From Citizens for Tax Justice: "At its yearly winter meeting, the Republican National Committee is expected to approve a resolution calling for the repeal of the Foreign Account Tax Compliance Act (FATCA), a major law enacted in 2010 (as part of the HIRE Act) to clamp down on offshore tax evasion. … [Read more...]
Swiss banks devise new 'cash' strategies for clients Zee News Swiss Bankers Welcome Formation Of Tax Expert Group Tax-News … [Read more...]
The International Consortium of Investigative Journalists has pulled another humdinger of an investigation, publishing a Who's Who in China's offshore circles. We could highlight any number of things from this excellent report, but we'll choose just two: … [Read more...]
From the Davos OpenForum 2014: "Switzerland is known for its chocolate, watches and banking sector. But today, with traditional banking secrecy gone, the country has to reinvent itself to retain its competitive advantage." Our emphasis added. That's news to us. … [Read more...]
Our attention has been drawn to a fascinating new report (sadly, in German only, an English language summary is here) on Switzerland’s double tax agreements (DTAs) with developing countries. Interestingly, although the report was produced by researchers from the renowned World Trade Institute at … [Read more...]
According to Mediapart the French government is under fire, again, this time over its decision to remove both Bermuda and Jersey from its blacklist of uncooperative tax havens. Senior members of the government, including foreign affairs minister Laurent Fabius, are reported to be opposed to their … [Read more...]