Switzerland suspends the Automatic Exchange of Information with Russia
On 16 September 2022, the Swiss Federal Council decided to suspend the transmission of data under the Automatic Exchange of Information (AEoI) according to the Common Reporting Standard (CRS) to the Russian Federation – as well as all other tax-related information exchange including Country-by-Country (CbC) reporting, Exchange of Information on Request (EoIR) and the spontaneous exchange of information.
For the CRS AEoI specifically, this means that where a Swiss Reporting Financial Institution (FI) has for the reporting period 2021 submitted information to the Swiss Federal Tax Administration (FTA) on its Russian resident account holders (and/or controlling persons), the FTA will not provide the Russian authorities with such information by the upcoming exchange deadline of 30 September 2022.
It must be noted that all obligations of a Swiss Reporting FI remain otherwise unaffected by the suspension. Swiss Reporting FIs must still, just as before, collect and on an annual basis submit the relevant financial account data of Russian tax residents to the FTA.
If you have any questions about how this affects you and your clients, please do not hesitate to contact us.