Uk Swiss Rubik Agreement
The transfer tax agreement between Switzerland and the United Kingdom entered into force on 1 January 2013. It enabled the regularisation of assets held by UK taxpayers in Switzerland and the taxation of income from these assets on the basis of the Federal Council`s financial integrity strategy. Under this agreement, UK taxpayers were given the option of either paying directly into their accounts and transmitting them anonymously to the UK authorities, or opting for self-declaration. However, with the introduction of the automatic exchange of information between Switzerland and the EU from 1 January 2017, which concerns the 28 Member States and Gibraltar, this model loses all its raison d`être. Details of the transfer basis of the Swiss agreement can be found in the 2013 Finance Act. Article XVIII of the Protocol granted the United Kingdom the right to include in the United Kingdom Agreement any advantageous modification to the operation of the formula for calculating the single payment agreed between Switzerland and Germany for the past. Bern, 14.11.2016 – The transfer tax agreement between Switzerland and the United Kingdom will be denounced on 1 January 2017. The agreement between Switzerland and the EU on the automatic exchange of information in tax matters will enter into force on that day. On 14 November 2016, Switzerland and the United Kingdom signed an agreement to this effect in London in order to ensure a smooth transition between the two models.
For more information, see the Uk`s Agreement on the Automatic Exchange of Information. This publication is available from www.gov.uk/government/publications/uk-swiss-confederation-taxation-co-operation-agreement/uk-swiss-confederation-taxation-co-operation-agreement On 20 March 2012, the United Kingdom and Switzerland signed a protocol to the tax convention. The full cancellation agreement is available on the main page UK-Swiss Confederation: Taxation Co-operation Agreement. The initial agreement is also available. The tax cooperation agreement between the United Kingdom and the Swiss Confederation ended on 31 December 2016. It entered into force on 1 January 2013. Switzerland has also concluded a withholding tax agreement with Austria, which will be denounced by the transition to the automatic exchange of information standard with the EU. The two countries signed an agreement to this effect on 11 November 2016.
An agreement to denounce the UK Tax Cooperation Agreement was signed on 14 November 2016 by HM Revenue and Customs Permanent Secretary and Executive Chair Edward Troup and Swiss Ambassador to the UK Dominik Furgler. This protocol clarified the relationship between the agreement and the EU Austerity Agreement (ETA) with Switzerland – if a person concerned has suffered a withholding tax under the EUSA, an additional 13% « tax payment » must be made to obtain tax clearance in accordance with the terms of the agreement. This achieved the same effect as the 48% withholding tax levied in accordance with the original contractual conditions. The cancellation contract regulates in particular the terms of transfer of the last tax amounts and transmission of the last self-declarations to the British tax authorities. The provisions of the withholding tax agreement continue to apply to all facts and rights acquired during its period of application. The United Kingdom and Switzerland have signed the Organisation for Economic Co-operation and Development`s Common Reporting Standard: a comprehensive agreement on the annual and automatic exchange of financial account data. Switzerland collects data to send to HMRC through UK taxpayers. HMRC will use this information to take action against those who try to evade payment of what they owe by hiding their money abroad. The original tax treaty between Great Britain and Switzerland was signed on 6 October 2011 by Treasury David Gauke and Swiss Finance Minister Eveline Widmer-Schlumpf.
The cooperation agreement between Great Britain and Switzerland entered into force on 1 January 2013. This is not a possibility of disclosure as such….