Liechtenstein close to cooperation deal with EU on tax evasion

The Alpine principality of Liechtenstein says it is close to sealing an agreement with the European Union (EU) on the exchange of information regarding tax offences. A deal would be welcomed in many EU capitals, which suspect that the tiny country’s banks are home to untaxed earnings of some of their wealthiest citizens. Britain’s HM Revenue & Customs recently paid for illicitly recovered data on bank accounts held by British citizens in Liechtenstein, saying it wanted to recover at least UK£100 million unpaid taxes. As a member of the EU-linked European Economic Area, Liechtenstein has to implement many EU laws, including financial legislation. Its prime minister Otmar Hasler said: “With this cooperation agreement, measures against unlawful conduct will be provided meeting European standards.”