Luxembourg and Switzerland agree to OECD guidelines
Re-negotiating tax treaties could take years
Switzerland and Luxembourg have agreed to co-operate with OECD standards on
the exchange of information with other countries on individual tax matters.
Both countries have notoriously strict banking secrecy laws which prevent the
disclosure of information to foreign authorities conducting investigations into
the affairs of individuals.
The agreement will not affect taxpayers who reside in either of these
countries, rather they allow overseas authorities to gain information on matters
concerning their citizens.
Switzerland and Luxembourg will offer information and assistance to overseas
authorities by signing double taxation treaties with other OECD member states.
These treaties need to be negotiated one by one, and it could take years before
they are all in place.