The European Commission has proposed a new series of rules affecting intermediaries, such as accountants, banks, lawyers and tax advisors, who produce and endorse tax planning tax schemes for their clients.
In terms of this proposal, the intermediaries will be required to report to their local tax authorities, any cross-border arrangement that comprises one or more identified characteristics which might indicate that the arrangement is set-up to avoid paying taxes. The European Commission proposal also comprises instructions for tax administrations to exchange the information reported by intermediaries. The improved transparency have been introduced in response to recent disclosures on detrimental tax practises and the use of offshore companies.
If the proposal amending the Directive 2011/16/EU is approved, Member States will automatically start interchanging information on tax planning schemes, as of January 2019, through a consolidated database to prevent detrimental engagements.
Read more here: //europa.eu/rapid/press-release_IP-17-1663_en.htm