Investing for Survival
In April Europe became the latest privacy battleground when five EU countries jointly announced an agreement on tax-information exchange.
Similar to the 2010 U.S. Foreign Account Tax Compliance Act (FATCA), the agreement between
, France , Germany , the Italy and UK is being viewed as
the basis for a bigger, EU-wide agreement. Spain
Under FATCA, the U.S. Treasury Department is signing intergovernmental agreements with countries worldwide and claims to be negotiating with 75 at time of writing. Since its introduction FATCA has been viewed as a model for other nations eager to track down the foreign accounts of their citizens.
and Austria were the only two
countries in the Luxembourg Union that refused to disclose the identity of
bank account holders to fellow member states. Both have now agreed that
beginning in 2015 they will comply with an EU directive on the automatic
exchange of bank depositor information.