Switzerland and Russia
have signed a revised double taxation agreement (DTA) that
formalises the exchange of tax information and taxes on income and
capital.

The Swiss and Russian
governments agreed to introduce the zero rate for interest payments
and eliminate the residual tax on dividend payments to pension
funds and the central banks of both countries.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

However, so-called
‘fishing expeditions’, where authorities ask for access to a large
number of client accounts, will not be permissible under the
revised agreement.

The agreement is
significant since Switzerland has been one of the key offshore
markets for Russian HNW, although exact estimates on the amount of
Russian wealth kept in Switzerland are difficult to
obtain.

 

Changes to
information exchange

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Swiss and Russian
authorities will only be able to request an exchange of tax
information once the normal procedures to obtain the information
under domestic law have been exhausted.

When making a tax
information request under the agreement, the requesting state must
provide all the information below:

 

  • the identity of the person under
    examination or investigation;
  • the period of time for which the
    information is requested;
  • a statement of the information sought
    including the form in which the requesting state wishes to receive
    the information from the requested state;
  • the tax purpose for which the information
    is sought;
  • the name and address of any person
    believed to be in possession of the requested
    information.

 

Switzerland has signed
more than 30 such agreements and DTAs have been renegotiated since
it agreed to comply with the Organisation for Economic Co-operation
and Development (OECD) standard on tax information exchange in
2009.