US And Switzerland Enhance Tax Information Exchange Agreenent

by Mike Godfrey, Tax-News.com, Washington

28 January 2003

It was announced on Friday that the US Treasury Department and the Swiss Finance Ministry have entered into a Mutual Agreement designed to facilitate greater and more efficient exchange of information on tax matters under the terms of the current US-Swiss Income Tax Convention.

Speaking following the announcement, Acting Treasury Secretary, Kenneth W. Dam stated that:

'I am pleased that this mutual agreement on tax information exchange has been reached with Switzerland, a key financial center. This mutual agreement is a significant step in our efforts to ensure that no safe haven exists anywhere in the world for the funds associated with illicit activities, including tax evasion. I look foward to continuing progress with Switzerland and other financial centers in this important area.'

The Swiss Finance Minister was similarly upbeat on the enhancement of the original agreement between the two countries, suggesting in a letter to Mr Dam last week that:

'This arrangement is important to the administration and enforcement of the tax laws of each of our countries, and complements the substantial cooperation between our two countries to combat criminal activities in other fields such as money laundering and terrorism financing.'

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