Indians, including fraudsters, over the years, have stashed a lot of money in the Swiss bank with the government having less to no information about the same. Nevertheless, the trend seems to change as the Switzerland government has now shared information about bank accounts of Indians, as reported by PTI.
In an unprecedented win, India is among the 75 countries to receive any such confidential information from the bank for the first time. This same heightens the government’s plan to punish black money holders and bring the same back into the country.
The development comes under the Federal Tax Administration (FTA) framework of Automatic Exchange of Information (AEOI) which stresses that information about active bank accounts, and those closed in 2018, must be shared. The deal to share this information had been signed back in 2016.
Under the same, Switzerland reportedly agreed to share identification details, account numbers, credit balance and details of the financial income of Indians who have a Swiss bank account. The next batch of information will be shared in September 2020, an official of FTA told the agency.
“Switzerland applies the international transparency standards and therefore actively supports India in its fight against tax fraud and evasion,” Switzerland’s Federal Department of Finance (FDF) said last month.
Moreover, to thwart possibilities of misuse of data, Switzerland has forged secrecy norms that countries need to follow.