Swiss Bank Secrecy Tax Row Rolls On

Swiss Bank Secrecy Tax Row Rolls On

Taxpayers with undeclared income and assets in Switzerland have reached the point of no return with HM Revenue & Customs.

From January 1, 2013, they must either pass the full details of their finances to HMRC or pay over a share of the cash in their bank account plus withholding tax.

Exchequer Secretary David Gauke said: “The days when hiding money in Switzerland in order to evade tax are over. Burying your head in the sand is no longer an option. The only realistic strategy is to talk to HMRC, as quickly as possible.”

To help taxpayers make the financial decision, HMRC has published an online guide here –  www.hmrc.gov.uk/taxtreaties/swiss-dis-factsheet.pdf

Jennie Granger, HMRC Director General, Enforcement and Compliance, said: “Swiss banks or accountants are writing to people affected by the agreement. Some may be asking customers to close their accounts. If this happens, UK residents must ensure that any outstanding tax liabilities are paid. Anyone in these circumstances is strongly advised to contact HMRC as soon as possible.”

Swiss banks secrecy pledge

Meanwhile, the Swiss Bankers Association (SBA) has finally caved in to foreign governments over banking secrecy.

SBA president Patrick Odier declared Switzerland pledges not accept ‘one cent of black money’ in the future.

He went on to explain that the tax agreements negotiated with Germany, the UK, and Austria “offer a unique historical opportunity to draw a final stroke under the past and to manage the bilateral tax disputes fairly and definitively”.

Odier was speaking in response to criticism from opposition politicians in Germany who are claiming that reaching an agreement over tax was so slow with the Swiss authorities that wealthy investors had time to transfer their assets out of Switzerland before any action was taken.

Singapore tax treaty

The SBA had monitored this and confirmed only 0.4% of assets held by German taxpayers had left Switzerland in the past year – however without knowing how much the total assets held by Germans are wealth, the figure is somewhat meaningless.

The German Bundesrat votes on signing the treaty later this month.

Swiss banks have hinted that the main destination for outflowing assets is Singapore, which has just announced negotiations have started with the US Treasury over a reciprocal FATCA treaty giving details of US taxpayers financial affairs in the city state in return for data from the US regarding accounts held by Singapore taxpayers.

The move by Singapore is interpreted as a possible strengthening of tax ties with the US, UK and Europe.

Rate this post

Swiss Bank Secrecy Tax Row Rolls On

Get Advice

When it comes to your financial future, receiving the correct advice is of paramount importance. Please click here to connect with an independent financial advisor for expert, whole of the market advice today.
  • jack loach

    Swiss Bank
    Accounts. 2014.

    Is your monies safe
    in these accounts —- definitely NOT.

    Would you get your
    money back if every body decided to withdraw all their accounts –
    NO WAY.

    Economic Experts
    say that there would only enough money to repay 50% of their clients.

    Are you going to be
    in the 50% — that loose your money.– Get it out NOW.

    2012 — – June.
    — Published in Anglo INFO .Geneva.— USA Trust Fund Investors were
    sent false and fraudulent documents by Pictet Bank.Switzerland. in
    order to collect large fees. ( Like MADOFF) —Even after the SEC in
    the USA uncovered the fraud Pictet continued to charge fees and drain
    whatever was left in these accounts. Estimated that $90,000,000
    million lost in this Pictet Ponzi scheme.

    2012 – – – July.
    — De – Spiegel. — states – Pictet Bank uses a letterbox
    company in

    Panama
    and a tax loophole involving investments in London to gain

    German
    millionaires as clients.

    2012
    – – – August —- German Opposition Leader accuses Swiss Banks of
    “organised crime.”

    All
    the fines that crooked Swiss banks have incurred in the last few
    years exceeds £15.Billion.

    It
    is also calculated that the secrecy ” agreements” with
    regards to tax evation by their clients will cost the banks another
    £45 Billion.

    The
    banks are panicking — the are quickly restructuring their banks
    —- from partnerships —

    to
    ” LIMITED COMPANIES.” —– this will probably mean that
    in the future — they could

    pay
    you only 10% of your monies ” if you are one of the lucky ones”
    —- and it be legal.