Professional Documents
Culture Documents
KEY CONCEPTS OF
EXCHANGE OF
INFORMATION
EOI Seminar Jakarta: November 2012
1
Role of international exchange of information
2
Different Mechanisms for EOI and Tax Cooperation
Bilateral
Treaties
OECD Model Article 26
UN Model Article 26
Multilateral cont
3
Different Mechanisms for EOI and
Tax Cooperation
Multilateral Convention
Convention on Mutual Administrative Assistance in Tax Matters
Regional Agreements : examples
Europe
EU Mutual Assistance Directive
Nordic Convention on Mutual Administrative Assistance in Tax
Matters
South Asia
SAARC Limited Multilateral Agreement on Avoidance of
Double Taxation
Bangladesh, Bhutan, Maldives, Nepal, Pakistan, Sri Lanka and India
4
Different Mechanisms for EOI and
Tax Cooperation
Other Working Agreements between competent
authorities
Examples:
OECD Model Memorandum of Understanding on
Automatic Exchange of Information for Tax Purposes
5
Different Mechanisms for EOI and Tax
Cooperation
Other cont.
Mutual Legal Assistance Treaties (criminal
only)
Domestic Laws (generally criminal only)
6
Article 26 OECD Model Tax Convention
7
Effective Exchange of Information
8
Overview of Exchange of Information
Legal Instrument
Country A (bilateral or multilateral) Country B
9
Confidentiality
10
Persons covered
Requests are not restricted to residents of the treaty
partners
Ex: A trust has three trustees. Trustees A and B live in
Country Y. Trustee C lives in Country Z.
Trustees A and B were involved in a transaction but
declined to provide, to the tax authorities of Country Y,
information concerning the transaction, on the basis that
the necessary documents are held by Trustee C, who is
refusing to provide them with copies.
The competent authority of Country Y can ask the
competent authority of Country Z to obtain copies of the
relevant documentation from Trustee C.
Taxes covered
Information Exchange
Exchange of information on request (Specific)
Spontaneous exchange of information
Automatic (or routine) exchange of information
Industry-wide exchange of information
Simultaneous tax examinations
Tax examinations abroad
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