Tough luck, billionaires.
Finally bowing to pressure from the United States and the U.K., Switzerland agrees to work with investigators looking into tax evasion and shore up their own standards, ending a nearly 400 year old tradition of reticence when it comes to all matters financial.
“The privacy of foreign clients not under suspicion will continue to be protected by Swiss bank-client confidentiality,” assured the Swiss Bankers Association. “An automatic exchange of information is excluded.”
Unlike most civilzed nations, Switzerland distinguishes between tax fraud and tax evasion; namely, it doesn't prosecute for the latter.
But by adopting the definition put forward by the 30-nation Organization for Economic Cooperation and Development, it will now cooperate with countries with which it has information-sharing treaties in pursuit of tax evasion.
So don't feel too bad for billionaires. They can move their money to Austria, Hong Kong, Luxembourg, Monaco and Singapore, all of which are considered uncooperative tax havens by the O.E.C.D.
Switzerland, on the other hand, seems to be gone for good.
source: Retro Action, March 13, 2009: The End of Secret Swiss Banking? | TakePart - Inspiration to Action
Finally bowing to pressure from the United States and the U.K., Switzerland agrees to work with investigators looking into tax evasion and shore up their own standards, ending a nearly 400 year old tradition of reticence when it comes to all matters financial.
“The privacy of foreign clients not under suspicion will continue to be protected by Swiss bank-client confidentiality,” assured the Swiss Bankers Association. “An automatic exchange of information is excluded.”
Unlike most civilzed nations, Switzerland distinguishes between tax fraud and tax evasion; namely, it doesn't prosecute for the latter.
But by adopting the definition put forward by the 30-nation Organization for Economic Cooperation and Development, it will now cooperate with countries with which it has information-sharing treaties in pursuit of tax evasion.
So don't feel too bad for billionaires. They can move their money to Austria, Hong Kong, Luxembourg, Monaco and Singapore, all of which are considered uncooperative tax havens by the O.E.C.D.
Switzerland, on the other hand, seems to be gone for good.
source: Retro Action, March 13, 2009: The End of Secret Swiss Banking? | TakePart - Inspiration to Action
