CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Banks In Germany Could Face Anti-Tax Evasion Sanctions

Banks In Germany Could Face Anti-Tax Evasion Sanctions

by Ulrika Lomas, Tax-News.com, Brussels

15 April 2014


Germany's upper house of parliament (Bundesrat) has adopted a bill modifying the nation's Banking Act to allow for sanctions to be imposed on banking institutions suspected of systematically assisting clients to evade tax.

The draft legislation will strengthen the Federal Financial Supervisory Authority's (BaFin's) enforcement powers, equipping the body with a range of deterrents, including the threat of branch closure and the revocation of an institution's banking license. BaFin is currently only authorized to launch criminal proceedings against bank employees for their role in aiding and abetting tax evasion.

The Bundesrat approved the same bill on June 7, 2013. However, the lower house (Bundestag) was not able to vote on the text before the end of the legislative period due to the September elections. The German federal states of North Rhine-Westphalia, Lower Saxony, and Baden-Würrtemberg nevertheless decided to re-launch the parliamentary approval process last month and re-submitted the bill to the Bundesrat on April 11.

The bill will once again pass to the Bundestag.

TAGS: compliance | Finance | tax | tax compliance | Belgium | tax avoidance | enforcement | legislation | withholding tax | Germany | Compliance | Banking | Tax | Tax Evasion

To see today's news, click here.

 















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »