The EU and Monaco initial tax information exchange agreement

The EU Commission and Monaco on February 22 initialed an agreement that would require automatic exchange bank account information on each other’s residents, the EU Commission has announced. The purpose of the agreement is to combat tax avoidance and evasion.

Under the agreement, beginning 2018, the countries will exchange information such as names, addresses, and bank account balances. Information for the exchange would begin to be collected January 1, 2017.

Further steps must be taken by both the EU and Monaco for the agreement to enter into force.

The EU Commission said that formal signing of the agreement is expected by the summer; The EU Council must first authorize the Commission’s proposal.