Andorra today has signed the Multilateral Competent Authority Agreement, marking a crucial step forward in its commitment to implement automatic exchange of financial account information in time to exchange in 2018, reports OECD.
The Multilateral Competent Authority Agreement lays the foundation for the international operational framework for automatic exchange, seen as the pre-eminent instrument for facilitating its rapid implementation. Andorra is the 75th jurisdiction to sign the Agreement.
Andorra signed the Agreement during a meeting of experts on automatic exchange of information convened by the Global Forum on Transparency and Exchange of Information for Tax Purposes in New Delhi, India.
Participants in the Global Forum meeting discussed progress toward implementation of the new global standard on automatic exchange of information, as well as how to ensure it is implemented effectively. Many jurisdictions are now updating domestic legislation to ensure that financial institutions report information on financial assets held by non-residents. Financial information will be collected from 1 January 2016 in around 50 jurisdictions, for automatic exchange between authorities in 2017.
The Global Forum has established a real-time monitoring process to track delivery of commitments made and to identify areas where support is needed. It has also begun assessing confidentiality standards and data safeguards in all committed jurisdictions.