Switzerland

DoJ Files Action to Collect Multiple 50 Percent Civil FBAR Penalties in U.S.A. vs. Zwerner

"On June 11, 2013, the U.S. government filed a Complaint to collect multiple civil FBAR penalties in the amount of $3,488,609.33 against Carl R. Zwerner of Coral Gables, Florida for his alleged failure to timely report his financial interest in a foreign bank account. According to the Complaint, from 2004 through 2007, Mr. Zwerner, a U.S. citizen, had a financial interest in an account at ABN AMRO Bank in Switzerland (hereinafter, 'the Swiss bank account') and that the balance of the Swiss bank account from 2004-2007 was at all times greater than $10,000 and that, as such, on or before June 30, 2005, 2006, 2007, and 2008, Mr. Zwerner was required to file an FBAR." Continue reading →

Continue ReadingDoJ Files Action to Collect Multiple 50 Percent Civil FBAR Penalties in U.S.A. vs. Zwerner

Swiss parliament throws out ‘Lex USA’ tax proposal

"Rejecting US threats, the National Council tossed 'Lex USA'. The big question now is if the US will follow through with its threats of destroying 18 banks, and how many innocent people will be harmed in the process. My best guess is that the US needs to use Switzerland as a scapegoat to scare the world into joining FATCA, since FATCA would otherwise fail. The general view in Switzerland seems to be that if some banks did wrong, then they should be held responsible for their actions without the government being involved, while those in favor of Lex USA generally feared the American blackmail." Continue reading →

Continue ReadingSwiss parliament throws out ‘Lex USA’ tax proposal

Switzerland seeks US response over alleged CIA bank spying

"The Swiss government on Tuesday revealed that it has asked the United States to explain an alleged CIA blackmail operation to spy on Switzerland's banks, exposed by whistleblower Edward Snowden. The Swiss foreign ministry told AFP that it was aware of media reports about the issue and that it had sent the US embassy in the capital Berne a diplomatic note seeking 'clarification'. The ministry also confirmed that Snowden was accredited as a diplomatic attache at the US permanent mission to the United Nations in Geneva from March 2007 to February 2009." Continue reading →

Continue ReadingSwitzerland seeks US response over alleged CIA bank spying

How the CIA Maneuvered to Get Secret Information From a Swiss Banker

"He described as formative an incident in which he claimed CIA operatives were attempting to recruit a Swiss banker to obtain secret banking information. Snowden said they achieved this by purposely getting the banker drunk and encouraging him to drive home in his car. When the banker was arrested for drunk driving, the undercover agent seeking to befriend him offered to help, and a bond was formed that led to successful recruitment. 'Much of what I saw in Geneva really disillusioned me about how my government functions and what its impact is in the world,' he says. 'I realised that I was part of something that was doing far more harm than good.'" Continue reading →

Continue ReadingHow the CIA Maneuvered to Get Secret Information From a Swiss Banker

Has Switzerland Really Caved to US Pressure?

"It is important to note that whilst Swiss bank secrecy is already being counted out by mainstream media across the board, the fact is that in Switzerland the resistance to losses of privacy and other fundamental rights based on demands by foreign nations is growing. More and more Swiss, in government and the Swiss Parliament too, are fed up with the pressures emanating from neighboring states and the US, all based on those countries' dismal fiscal situations and overly zealous hunt for tax revenue. Against this backdrop, an initiative was just launched by some Swiss right-wing political parties that would make bank secrecy a constitutional right." Continue reading →

Continue ReadingHas Switzerland Really Caved to US Pressure?

Swiss government agrees to settle tax evasion dispute with US

"The Swiss federal government has accepted a United States demand to settle a dispute over the alleged complicity of Swiss banks in tax evasion by Americans that will reportedly cost the banks billions of francs. Swiss media have reported that the overall figure could hit 10 billion francs ($10.3 billion). 'If a bank has done a lot of business involving undeclared American funds, it will be a big problem for it,' Finance Minister Eveline Widmer-Schlumpf said. She indicated that the Swiss government had been presented with a take it or leave it offer by Washington. 'It was a unilateral offer, one that we couldn't negotiate,' she said." Continue reading →

Continue ReadingSwiss government agrees to settle tax evasion dispute with US

Julius Bär bank clients now targeted in US tax probe

"American clients of private bank Julius Bär were told recently that they are the focus of a US tax evasion probe, a Zurich-based daily reported on Tuesday. US tax authorities had requested administrative assistance from their Swiss counterparts to investigate a number of US citizens suspected of having undeclared funds at the Zurich-based bank. The United States has launched investigations into the dealings of around a dozen Swiss banks, including Julius Bär, prompting Switzerland to try to reach an overarching settlement with Washington to provide legal closure for its financial sector." Continue reading →

Continue ReadingJulius Bär bank clients now targeted in US tax probe

Austria Turns Rat Fink

"Europe moved closer to ending banking secrecy on Wednesday after Austria dropped objections to sharing data on foreign depositors and the EU focused on negotiating a similar agreement with Switzerland. 'It's a bad day for tax cheats,' Austrian Chancellor Werner Faymann told reporters at a meeting of EU leaders to discuss fighting tax fraud. 'We will act jointly and I believe we will manage the exchange of data by the end of the year.' Luxembourg and Austria had not wanted to reveal the names of account holders to other countries and instead allow banks to withhold tax, but under pressure from their European partners both have now agreed to." Continue reading →

Continue ReadingAustria Turns Rat Fink

Swiss banks face massive fines over Americans’ untaxed bank accounts

"Swiss banks holding US citizens’ funds that are not declared to American tax authorities are set to have to pay a massive fine, under a deal between Switzerland and Washington, a newspaper reported Wednesday. The Swiss daily Neue Zuercher Zeitung, quoting sources familiar with the talks, said that the fine could reach 40 percent of the funds in question. Swiss media have reported that under a compromise hammered out by negotiators, the 300 banks in Switzerland would be classed according to their level of alleged complicity in tax evasion. The dozen banks seen as the main perpetrators would reportedly be forced to make a case-by-case deal with the United States." Continue reading →

Continue ReadingSwiss banks face massive fines over Americans’ untaxed bank accounts

Switzerland reintroduces immigration quotas after sudden influx of Europeans

"Switzerland will begin restricting residence permits to citizens from 17 European Union countries, including the UK, on June 1st. The measure, approved by the federal government and announced by the immigration department on Wednesday, was triggered by a safeguard clause in the freedom of movement agreement signed by the Swiss with the EU. The clause allows for the Swiss to restrict immigrants from the EU unilaterally until May 31st, 2014. It can be enacted if the number of residence and short stay permits issued to EU workers exceeds by at least 10 percent the average number of annual permits issued in the previous three years." Continue reading →

Continue ReadingSwitzerland reintroduces immigration quotas after sudden influx of Europeans