Many developing countries have joined the process and more are expected to follow suit in the coming years.
“Automatic exchange of information is a game changer,” OECD
Secretary-General Angel Gurría said. “This system of multilateral exchange created by the OECD
and managed by the Global Forum is providing countries around the world, including many developing countries, with a wealth of new information, empowering their tax
administrations to ensure that offshore accounts are being properly declared.”
“Countries are going to raise much needed revenue, especially critical now in light of the current Covid-19 crisis, while moving closer to a world where there is nowhere left to hide,” he added.
Since the Group of 20 (G20) countries declared an end to bank secrecy in 2009, the international
community has continued to make strides in the fight against offshore tax evasion.
Through the Global Forum — which brings together 161 countries and jurisdictions committed to OECD tax standards — countries have ramped up global co-operation, first through exchange of information on request and via automatic exchange since 2017, implemented through more than 6,000 bilateral relationships signed in 2019.
Wider exchange of information driven by the Global Forum was associated with a 24 per cent ($410 billion) reduction in foreign-owned bank deposits in international
financial centres between 2008 and 2019.
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