I don't think
there is much hope on global banking transparency. Too many countries,
like Germany, have a justified fear for letting their governments -- not
to mention other governments -- know the details about their balances
and transfers.
It would help if you made comments.
Dwight Hines
OECD – Paris, 21 July 2014
OECD releases full version of global standard for automatic exchange of information
Taking
an important step towards greater transparency and putting an end to
banking secrecy in tax matters, the OECD today released the
full version of a new global standard for the exchange of information
between jurisdictions.
The
Standard for Automatic Exchange of Financial Account Information in Tax Matters calls
on governments to obtain detailed account information from their
financial institutions and exchange that information automatically
with other jurisdictions on an annual basis. The Standard, developed at
the OECD under a mandate from the G20, was endorsed by G20 Finance
Ministers in February 2014, and approved by the OECD Council.
The
Standard provides for annual automatic exchange between governments of
financial account information,
including balances, interest, dividends, and sales proceeds from
financial assets, reported to governments by financial institutions and
covering accounts held by individuals and entities, including trusts and
foundations. The new consolidated version includes
commentary and guidance for implementation by governments and financial
institutions, detailed model agreements, as well as standards for harmonized technical and information technology solutions, notably a
standard format and requirements for secure transmission
of data.
“The
G20 mandated the OECD to work with G20 and OECD countries and
stakeholders toward the development
of an ambitious information exchange model that would help governments
fight tax fraud and tax evasion,” said OECD Secretary-General Angel
Gurría. “Today’s launch moves us closer to a world in which tax cheats
have nowhere left to hide.”
The
OECD will formally present the Standard to G20 Finance Ministers at
their next meeting in Cairns, Australia,
on 20-21 September. “Our message will be clear and simple: the
automatic exchange of information standard is ready for implementation,”
Mr Gurria said.
More
than 65 countries and jurisdictions (see list below) have already
publicly committed to implementation, while more than 40 have committed
to a specific and ambitious timetable leading to the
first automatic information exchanges in 2017. This includes a group of
OECD and non-OECD countries which have adhered to the
OECD Declaration on Automatic Exchange of Information in Tax Matters as well as a group of
early adopters.
More jurisdictions are expected to commit to implement the Standard in the run up to the late-October meeting of the
Global Forum Transparency and Exchange of Information for Tax Purposes
on which brings together more than 120 countries and jurisdictions, to
be held in Berlin and hosted by the German Ministry of Finance.
At this occasion a signing ceremony is expected to be held for a new
multilateral agreement that activates automatic exchange once
legislation and other conditions are in place. Assistance will be
available to support less developed countries, so they benefit
from this move towards a more transparent tax environment, and
international organizations are ready to co-operate to support these
countries.
Even
before the Standard has become operational, the drive toward greater
transparency and better exchange of information is having a
tangible effect on taxpayer behavior. OECD analysis of voluntary
disclosure programs since 2009 shows that more than half a million
taxpayers have voluntarily disclosed income and wealth hidden from their
tax authorities. Countries have identified more
than EUR 37 billion from voluntary disclosure programs which OECD
encourages countries to consider.
The
OECD invites public comments on how the framework for voluntary
disclosure could be further improved and what particular features might
encourage even more taxpayers to
come forward and take advantage of such programmes. Comments should be
sent to
WP10@oecd.org no later than 12 September 2014.
For further information on the Standard for Automatic Exchange of Financial Account Information in Tax Matters, go to:
Journalist queries on the new standard should be directed to
Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration (CTPA),
Achim Pross, Head of the CTPA International Co-operation and Tax Administration Division, or
Lawrence Speer, OECD Media Office (+33 1 4524 9700).
_______________
Countries and jurisdictions publicly committed to implementation of Automatic Exchange of Information:
Andorra, Anguilla, Argentina, Australia,
Austria, Belgium, Bermuda, Brazil, British Virgin Islands, Bulgaria,
Canada, Cayman Islands, Chile, People’s Republic of China, Colombia,
Costa Rica, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Faroe
Islands, Finland, France, Germany, Gibraltar, Greece, Guernsey, Hungary,
Iceland, India, Indonesia, Ireland, Isle of Man, Israel, Italy, Japan,
Jersey, Korea, Latvia, Liechtenstein, Lithuania,
Luxembourg, Malaysia, Malta, Mexico, Montserrat, Netherlands, New
Zealand, Norway, Poland, Portugal, Romania, Russian Federation, Saudi
Arabia, Singapore, Slovak Republic, Slovenia, South Africa, Spain,
Sweden, Switzerland, Turkey, Turks & Caicos Islands,
United Kingdom, and United States, and the European Union.
|
Louise Fietz
Media Coordinator
Public Affairs and Communications Directorate, Media Division
|
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