Switzerland removed from OECD tax haven list
26 Sep 2009
Switzerland was removed from the Organization for Economic Cooperation and Development's (OECD) ''gray list'' of tax havens yesterday after it signed a tax agreement with Qatar and the US this week to share information on tax evaders.
The Paris-based OECD said in a statement, ''This will mark the 12th agreement conforming to the OECD standard and will mean that Switzerland joins the category of jurisdictions that have substantially implemented the internationally agreed tax standard."
Under pressure from the Group of 20 nations, especially the US, Germany and France, Switzerland was placed on the ''gray list'' by the OECD in April for not implementing the internationally agreed tax standard of sharing information on other countries tax evaders who held accounts in Swiss banks.
Since then, the Alpine nation has been renegotiating its agreements with other countries and begun cooperating with some countries pertaining to tax evasion.
In order to come out of the ''gray list,'' Switzerland had to sign double-taxation treaties with 12 countries. It had earlier signed agreements with Finland, UK, Austria, France, Mexico, Faeroe Islands, Luxembourg, Norway, Spain, Denmark, US and on Thursday with Qatar.
By doing so, it has paved the way for foreign tax authorities to demand information from Switzerland on their citizens holding clandestine Swiss bank accounts.
