OECD Talks Tax Transparency In Liechtenstein
Pascal Saint-Amans, the Director of the Organisation for Economic Co-operation and Development’s (OECD’s) Center for Tax Policy and Administration, has visited Liechtenstein to discuss tax matters with Mauro Pedrazzini, Liechtenstein’s Minister of Social Affairs.
Among other things, Saint-Amans’s visit focused on the adoption of automatic information exchange in tax matters and the OECD’s ongoing work on base erosion and profit shifting (BEPS), and also featured discussions on the transformation of Liechtenstein’s financial center.
The Liechtenstein Government said: “The visit and the conversations showed that Liechtenstein is an internationally respected partner and business location. The Liechtenstein strategy of tax compliance is recognized by the OECD and the contribution of Liechtenstein to the work of the OECD on the global forum on transparency and information exchange for tax purposes is appreciated.”
In May 2014, the Liechtenstein Government announced that it would set up a working group to closely monitor and recommend domestic tax policy responses to the OECD’s BEPS project. The Government anticipated that the OECD’s work would have a significant impact on the territory’s economy, which is going through something of a transformation after the adoption of tax information exchange agreements to create a transparent and conducive environment for businesses. The BEPS project, it noted, is likely to have a particular focus on boosting the taxing rights of the country in which a business has a physical presence – its office space, property, and employees – and the location from which value is created.
