Tax and Customs Administration to share information automatically to fight against international tax evasion

Finance minister Jeroen Dijsselbloem signed a declaration today with 50 other countries, committing the signatories to exchange tax-information automatically.

The Netherlands will receive information from these countries on possible Dutch taxpayers, and will provide them with information on possible foreign taxpayers. For that purpose, Dutch financial institutions will report information to the Tax and Customs Administration, just as they do for the purpose of the United States’ Foreign Account Tax Compliance Act (FATCA). The Tax and Customs Administration will then automatically pass on this information to the countries that have undertaken to comply with the Common Reporting Standard (CRS). Today 48 countries signed the declaration to commit themselves to sharing information under the CRS as from September 2017. Three countries have also expressed their intention to share information under the CRS as from September 2018.

'The Netherlands is leading the way in the fight against international tax evasion,' said Mr Dijsselbloem. 'The CRS represents a major step forward at global level.'

The declaration was signed on the basis of the Convention on Mutual Administrative Assistance in Tax Matters. The obligation to report to the Tax and Customs Administration under the CRS will be enshrined in national legislation.

As of September 2017, the Dutch Tax and Customs Administration will exchange financial information under the CRS with tax administrations in the first group of countries to sign the declaration. The information exchanged will concern 2016. From 1 January 2016, Dutch financial institutions must identify their customers under the CRS, and check where they are resident and where they may be liable to pay income tax. Both individuals and businesses must be identified and, if necessary, reported on.