The revelation followed an interview by the newspaper with Algirdas emeta, the EU’s tax commissioner.
As International Adviser reported, the UK and German governments both signed deals this year, under which they agreed to impose one-off deductions of between 19% and 34% on Swiss account-holders to settle past liabilities, and a withholding tax on investment income.
The deal was hailed a “breakthrough” by HMRC, while commercial law firm McGrigors called it “the biggest single blow struck by the UK Government against tax evasion for a generation”.
However, concerns have grown that, by allowing continued anonymity to those account-holders who pay the charges, the UK and German governments are undermining efforts by the European Commission (EC) to agree an automatic information exchange with the Swiss authorities.
According to the Financial Times, emeta said he was happy for Berlin and London to maintain accords with Bern, but only if the parts overlapping with EU law were removed. As a result, George Osborne, the chancellor of the exchequer, has been told he must renegotiate the terms of the deal.
In its leader today, the FT praised the EC for its tough stance on the agreements, adding that “austerity at home must be matched by firmness against tax evaders at large”.
