SWISS PARLAMENT AGREES TAX DATA ACCORD WITH EU

The Swiss parliament has approved accords with the European Union and Australia for the automatic exchange of tax information. They are based on international standards and should become operational in 2018.

Following a final debate on Tuesday, the House of Representative followed the Senate in approving two separate agreements despite opposition by the conservative right Swiss People’s Party.

Supporters said Switzerland should become a model for transparent financial centres around the world and combat tax evasion.

Opponents, meanwhile, called for additional conditions to prevent Switzerland from being handicapped against competitors such as Britain, the United States, Hong Kong and Singapore.

They wanted to exclude tax data exchange with several European countries – Greece, Bulgaria, Croatia, Romania and Estonia – for legal reasons.

The proposal was roundly rejected and centre-right Radical Party member Christian Lüscher warned against trying to set exceptions.

“The last country to try to do so is Panama. It is obvious that it did not really succeed and I don’t think there are too many people in our country who would like Switzerland to get the same treatment at an international level like Panama has done recently,” he declared.

Finance Minister Ueli Maurer called on parliament to agree the accords in an effort to create legal security.

He said Switzerland had little choice but to follow suit, but he pledged to implement the accords judiciously.

Using a comparison from the world of football, he added: “It is important who plays best under the new rules. Looking at Switzerland, we can see that we have excellent preconditions. A currency of our own, high political stability as well as a strong and diversified economy.”

The government is preparing similar agreements with Japan, Canada, South Korea as well as Norway, Iceland and the three British islands, Guernsey, Jersey and Man.