The New Tax Deal Between Germany And Switzerland Hopes To Net Berlin $13 Billion Next Year

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Photo: AP Images

BERLIN (AP) — Germany says Switzerland has accepted tougher terms in a new bilateral tax evasion treaty that is expected to bring Berlin’s state coffers some €10 billion ($13 billion) next year.Germany’s Finance Ministry said Wednesday the revised treaty was signed Thursday by officials from both countries in Switzerland.

The deal allows Germans with undeclared assets in Switzerland to escape punishment by making a one-time payment of 21 to 41 per cent — higher than the 19 to 34 per cent range initially planned.

It also grants German authorities wider possibilities to seek information on German nationals’ accounts in Switzerland based only on suspicions.

The initial agreement had to be renegotiated after Parliament’s upper house, representing Germany’s 16 states, asked for tougher conditions on tax evaders.

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