Geneva : in a major boost for India and different countries seeking details on suspected black cash stashed in Swiss banks, Switzerland has agreed to automatic exchange of info and mutual administrative assistance in tax matters with overseas authorities.

The development, that virtually pulls down the illustrious secrecy wall surrounding Swiss banks, would result in Switzerland providing all sorts of mutual help – exchange on demand, spontaneous info sharing, tax examinations abroad, and help in tax collection.

Switzerland has been facing intense international pressure to collaborate with overseas authorities to share info regarding accounts in its Swiss banks, that have long been known to be exploited by entities from across the globe, as well as from India, for evading taxes in their native jurisdictions.

Buckling beneath the pressure given by other countries, Switzerland has signed OECD’s multilateral Convention on Mutual body help in Tax Matters. The convention, that has currently been signed by fifty eight
countries, as well as India, provides for sharing of knowledge and mutual cooperation among all its signatories.

Paris-based OECD (Organisation for Economic Cooperation and Development), is {an international|a world|a international} policy-advisory body that has formulates global tax standards to fight tax evasion and concealment of illicit funds.

According to latest official figures released by Swiss national bank, total funds control by Indians in Swiss banks fell to a record low level of regarding Rs. 9,000 crore (1.42 billion Swiss francs) at the top of 2012, from regarding Rs. 14,000 crore (2.18 billion Swiss francs) a year ago.

The overall funds control in Swiss banks by entities from across the world additionally fell from $1.65 trillion to $1.5 trillion throughout 2012.