Automatic Exchange Of Information Agreement Between Switzerland And The Eu

If you are not a journalist, please send your request to the public information service. “Today`s agreement shows that EU Member States and Switzerland are not only politically committed to fair competition in tax matters. We also share the goal of improving international tax compliance based on reciprocal automatic exchange of information on the accounts of financial institutions,” said Mr. Reirs. The EU and Switzerland must now conclude the agreement in time for it to enter into force on 1 January 2017. Switzerland is committed to implementing the global standard for the automatic exchange of information (AIA). As a result, Swiss foreigners are faced with greater tax transparency. A hundred countries have already committed to implementing the AIA standard. The aim of the new regulations that Switzerland has helped to put in place is to prevent cross-border tax evasion. The Organisation for Economic Co-operation and Development (OECD) adopted the Global AA Standard in 2014. The AIA should be introduced in Switzerland from 2017 so that the first data can be exchanged in 2018 with selected jurisdictions.

The table below provides a summary of the current status of these updated agreements. This page is regularly updated when other jurisdictions activate their bilateral trading relationships. As part of the hearing launched today by the Federal Council, interested parties and the cantons have until 17 September 2015 to decide on the AIA agreement with the EU. Subsequently, the Federal Council submits the agreement to Parliament for approval at the same time as a message. The first group of countries (early adopters) will start exchanging data from 2017. Switzerland, which will start in 2018, is part of the second group. As regards the implementation of the AIA, there are in principle two models: either national bilateral agreements are concluded to define their implementation, or the Multilateral Agreement on Supervisory Authorities (MCAA) is applied. This is based on the Convention on Mutual Assistance in Tax Matters, signed by the Council of Europe and the OECD. The MCAA aims to ensure that its signatories implement the AIA bilaterally (see chart) So far, Switzerland has signed declarations based on the MCAA with Australia, Jersey, Guernsey, the Isle of Man, Iceland, Norway, Japan, Canada and South Korea (Model 2). The Swiss Parliament has already approved the introduction of the AIA with Australia. Agreements with the other Länder will be submitted to the Federal Assembly for approval before the end of the year. On 27 May 2015, the European Union and Switzerland signed an agreement on the automatic exchange of financial account information, which aims to improve international tax compliance.

In order to improve market access, preliminary preliminary discussions were held with the EU on the feasibility and possible form of a sectoral agreement on financial services. The continuation of these discussions will depend on the future development of general relations with the EU, in particular the issue of the free movement of persons. With regard to the ongoing procedure for the recognition of the equivalence of Swiss regulation and supervision (Solvency II, CCPs), the European Commission has announced a positive result in the near future. For two countries to be able to implement the AIA standard, they must have an intergovernmental agreement. To this end, the OECD makes available a model convention, the Competent Authority Agreement (CAA) (from page 21). . . .

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