The spontaneous exchange of information – Part 4: With whom are these information exchanged?

As of January 1, 2017, the legal frameworks came into effect that enable spontaneous information exchange. Findea explains in a four-part series what this means exactly. In a first and second part, it was explained what this is about and what information is exchanged.  The third part explained the timeframe of applicability. The final part will show with whom the information is exchanged.

Legal Basis

‍The spontaneous information exchange has its origin in the mutual assistance agreement. Thus, the spontaneous information exchange basically occurs with all countries that have signed this agreement. This constitutes a minimum standard of the OECD. This minimum standard is recognized by both OECD and G-20 countries. Thus, Switzerland's most important economic partners are included. (List of OECD countries and G20 countries)

‍Tax Rulings

‍A tax ruling that is forwarded through the spontaneous information exchange is not made available to all involved countries. It is only provided to those countries that are affected or could be affected. For this purpose, the OECD minimum standard and the respective national laws for each category of tax rulings (see Part 2) determine the recipient countries. In any case, this includes the country of residence of the parent company and the country of residence of the direct parent company. If it relates to a tax ruling regarding a preferential arrangement, the countries of residence of affiliated companies (with a participation rate of at least 25%) that are subject to the preferential treatment are also included. However, the countries of residence of an independent third party are excluded from the spontaneous information exchange.‍

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