CURRENT DEVELOPMENTS

Liechtenstein: Liechtenstein signs OECD/European Council Convention on Mutual Administrative Assistance in Tax Matters

On November 22nd, 2013, Liechtenstein signed the Organisation for Economic Cooperation and Development (OECD)/European Council Convention on Mutual Administrative Assistance in Tax Matters which establishes the existing OECD standards on the automatic exchange of information in tax matters on a multilateral level.

The Convention had already been signed by approximately 60 countries, including Switzerland in mid-October. The Convention provides for the exchange of information between the participating countries upon request as well as the spontaneous exchange of information. Notwithstanding this, concrete provisions on the automatic exchange of information require to be first worked out.  The individual countries require to expressly agree upon the option of an automatic exchange of information.

Liechtenstein's Financial Centre Strategy proceeds on the basis that the automatic exchange of information in tax matters will in future be the standard. According to a spokesman for the Government of Liechtenstein, Liechtenstein is strengthening the reputation and integrity of Liechtenstein as a financial centre through signing the Convention.

Banking secrecy in Liechtenstein has been restricted under the new strategy. The Convention will therefore respect national legislation and protect the rights of taxpayers, guaranteeing that the exchanged information must be treated confidentially. According to the Government of Liechtenstein, banking secrecy shall continue to be apply as a legitimate protection of privacy.

top of page 

LCG links: Incorporation | Firmengründung | Регистрация фирм | Schweiz | Liechtenstein | Luxembourg | Offshore