Italy and Switzerland on the way to the conclusion mutual tax agreement

Expert’s opinion

On the site of Switzerland’s authorities there are a lot of different, interesting and sometimes useful information.

If you spend some time on that site you can find the following information:

In 2010, Switzerland got 432 million Swiss francs from taxation of interest income on deposits of resident EU. And in 2011 - this figure was already 507 million Swiss francs! And 380 million Swiss francs of this sum will be (in accordance with EU directives and international agreements with the EU countries) are listed in the budgets of the respective countries.

Despite the pressure of US and EU on Swiss banking secrecy, residents of EU still prefer banking system of Confederation and increasingly put their earned money in the coffers of Swiss cantons.

The authorities of Italy, who took since 2005 tough position to an agreement with Switzerland, start to understand that it will be more profitable now to agree with Switzerland about tax information exchange and to receive income from the money that flow from Italy to Switzerland.

At the same time, the Swiss Federal Government has identified three main objectives in the negotiations with the EU:

1.     Preservation and development of Switzerland as an attractive location for business.

2.    International recognition of the Swiss tax system.

3.     Protecting income of cantons and communes.

The third position, but not the most important point - gives us a clear view that Switzerland will be the last, who will defend banking secrecy and their clients, makes profit to the country.

On the basis: www.admin.ch

Yaroslav Lomakin ( Managing Partner of Honest & Bright Company Ltd .)