“The goal of the reform is taxation of citizens that is as transparent and simple as possible. The income earned on the markets should be taxed only once over the course of the life cycle, and natural and legal persons should be treated equally wherever possible,” the Prime Minister explained.

According to the Liechtenstein government, the reforms will build on existing tax law, and the Liechtenstein tax system will be updated in accordance with the most recent insights of international tax research, taking into account the changed economic and legal environments in Liechtenstein and abroad. In addition to competitiveness and performance, the tax reform will attempt to pay particular attention to constitutional and European conformity.

Noting that tax policy and the tax climate have become more political than ever in Europe, and that national borders are now increasingly porous, Hasler added that:

“Over the last few years and months, many countries within and beyond Europe have carried out tax reforms, including a reduction of their tax rates. This has shown in practice how important a prudent tax policy has become in the competition among business locations."

A working group was commissioned by the government to offer proposals for a revision of Liechtenstein's tax laws in November 2006.

The working group's report was adopted by the government in February 2007 as the 'Future Liechtenstein Tax Roadmap', which contained the essential guidelines and basic ideas for a reform of Liechtenstein tax law.

The FL Tax Roadmap set out the framework for the development of a tax reform concept, but it did not contain any further details. However, the government stipulated that future tax policy must be governed by the principles of "revenue and decision neutrality, competitiveness and performance, conformity with European law, and international compatibility".

While the document acknowledged that this might affect the number, type and rates of taxation in Liechtenstein, the exact nature of the tax reforms and how they will work in practice remains vague.