Swiss government has decided to begin negotiations with European Union, the US and selected other countries on the automatic exchange of data on Swiss bank accounts held by foreigners.
In a statement, the Swiss cabinet said it had "adopted definitive negotiation mandates for introducing the new global standard for the automatic exchange of information in tax matters with partner states.
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"Negotiations with partner states should commence shortly," it added.
"The first exchange of information could take place in 2018, subject to parliament and possibly voters approving the necessary laws and agreements in good time," it said.
However, the government did not name the non-EU countries with which it will negotiate on automatic exchanging data.
Under automatic information exchange, if an individual opens a bank account in a foreign country, the tax authority in the person’s country of origin will automatically be informed.
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By GlobalDataThe decision is the latest step in a political procedure to lift banking secrecy rules for taxpayers from outside Switzerland and prevent the country being blacklisted by the Organisation for Economic Co-operation and Development (OECD).
Switzerland is the world’s biggest offshore financial center with more than $2 trillion in assets under management.
