Swiss Banking isn’t quite so secret anymore. The Swiss Federal Council announced last week that “Switzerland intends to adopt the OECD standard on administrative assistance in tax matters in accordance with Art. 26 of the OECD Model Tax Convention.” This will allow the “exchange of information with other countries in individual cases where a specific and justified request has been made.” Not only that: the Swiss also will “withdraw the corresponding reservation to the OECD Model Tax Convention and to enter into negotiations on revising double taxation agreements.” For all that, “Swiss banking secrecy remains intact” somehow, according the council.
It wasn’t the U.S. made them do it; the OECD reportedly put Switzerland on a bad banking behavior black list that was to be revealed over the weekend at the G20 meeting. A place on that list could’ve earned the Swiss sanctions.