The Swiss Federal Council has approved the amended Ordinance on the International Automatic Exchange of Information in Tax Matters (AEOIO) and decided to bring it into force with effect from 1 January 2021, together with the amendments to the Federal Act on the International Automatic Exchange of Information in Tax Matters (AEOIA).
The Global Forum on Transparency and Exchange of Information for Tax Purposes (Global Forum) regularly assesses domestic implementation of the standard for the international automatic exchange of information in tax matters (AEOI standard). As part of the assessment procedure, the Global Forum presented Switzerland with recommendations, which the country will in principle implement by the end of 2020.
Switzerland's parliament had already approved the amendments to the AEIOA on 19 June 2020. These involve the repeal of the exemption clause for condominium associations and an adjustment of the applicable due diligence requirements. In addition, amounts will be stated in US dollars and a document retention obligation will be introduced for reporting Swiss financial institutions.
With its decision of 11 November 2020, the Federal Council is aligning the AEOIO with the amended AEOIA. The amendments to the AEOIA and AEOIO will enter into force on 1 January 2021.