India to get Swiss bank details of all Indians from September 2019, Indian tax authorities will get the information under the Automatic Exchange of Information (AEOI) framework.
India’s fight against suspected black money stored in Swiss banks will get a major boost this September.
- Account numbers, credit balance and all kinds of financial income for each Indian client of every Swiss financial institution will be shared by Switzerland.
- The identity details would be name, address, date of birth and tax identification number.
- Account information of the financial institution will include the account number, name and address.
- According to Switzerland’s Federal Department of Finance (FDF), the first set in September would be followed by further despatches on a yearly basis.
- This would be in addition to details already being shared by Switzerland with India for nearly 100 Indian entities, including individuals and enterprises.
- The Indian government already submitted prima facie evidence of their financial wrongdoings, under a bilateral pact for administrative assistance on tax matters.
- MOS for External Affairs V Muraleedhran also confirmed the AEOI framework in Lok Sabha.
- Switzerland agreed to share the details with India after months-long process, including framing of new laws and their passage in their Parliament.
- It is feared many Indians might have closed their accounts after a global crackdown on black money led to Switzerland buckling under pressure to open its banking sector for scrutiny.
- In its latest status report on the AEOI implementation, Switzerland’s State Secretariat for International Finance (SIF) said India shared information with 58 partner countries during 2018 and it has “reasonable” confidentiality and data security laws.
- It found no “well-founded negative feedback” from other countries, individuals or companies to indicate that India has any relevant shortcomings in these laws.
By: Abhinav Ranjan, Business Writer, DKODING Media