Swiss open books to Irish tax authorities
Switzerland has reportedly opened its books to the Irish tax authorities, allowing investigators to request information on citizens who hold offshore accounts in the country.
According to a report in the Irish Independent paper, the historically secretive Alpine banking centre will begin to hand over information on Irish nationals who hold bank accounts there next year.
An Ireland Switzerland Double Taxation Protocol is to be signed in 2011, which includes the OECD’s article on exchange of information allowing for a country to request information on bank accounts held by its citizens overseas.
Ireland has not announced any form of offshore bank account amnesty of the type undertaken in the UK over the past few years though it said any person found to have undeclared money will be penalised.
The forthcoming deal with Ireland is the latest in a string of such agreements Switzerland has signed with other countries in relation to tax information sharing.
The country has come under significant international pressure over its commitment to banking secrecy – and linked reputation as a haven for tax evaders – since the financial crisis began in 2007.
Some countries have blamed so-called tax havens for exacerbating the crisis, while most states have undertaken measures to collect taxes on undeclared offshore funds as they struggle to cope with budget deficits.