The EU and Monaco have today initialled a new tax
transparency agreement marking another major step forward in the fight
against tax evasion.
The agreement provides that Monaco and EU Member States will
automatically exchange information on the financial accounts of one
another's residents from 2018. The information will start being
collected from 1 January 2017. The formal signature of the new agreement
is to take place before summer, as soon as the Council has authorised
the Commission's proposal.
The agreement reflects the Principality’s political will to move towards greater tax transparency.
Pierre Moscovici, Commissioner for Economic and Financial Affairs, Taxation and Customs, believes that:...
‘This
agreement marks the beginning of a new era between Monaco and the EU.
We both aim to combat fraud for the benefit of honest taxpayers. This
agreement is a step forward in achieving our aim in an efficient and
fair manner'.
Jean Castellini, Minister for Finance and Economy of Monaco, said:‘The
initialling of this agreement constitutes a further example of the
policy implemented by Monaco to combat international tax avoidance and
evasion, as part of its commitment to conclude agreements which respect
international standards developed by both the European Union and the
OECD Global Forum, in terms of the exchange of information'.
Under
the new agreement, Member States will receive the names, addresses, tax
identification numbers and dates of birth of their residents with
accounts in Monaco, as well as certain other financial information,
including account balances. The procedure envisaged complies with the
new OECD and G20 global standard on automatic exchange of information.
Stepping up information exchange will enable the tax authorities to
better tackle fraudsters, at the same time acting as a deterrent for
those who are tempted to hide income and assets abroad. The EU signed
similar agreements in 2015 with Switzerland (IP/15/5043), San Marino (IP/15/6275), Liechtenstein (IP/15/5929) and, this year, with Andorra (IP/16/288).