India to automatically receive information on Swiss bank accounts from September 2019

AAP released alleged Swiss bank account details of former state CM and Congress leader Amarinder Singh and his family on Monday

By: Express Web Desk | New Delhi | Updated: November 22, 2016 6:52 pm
black money, swiss bank, swiss bank account, swiss bank details, swiss bank account details, narendra modi, demonetisation, AAP Photo for representational purpose. (AP Photo/Rajesh Kumar Singh, File)

In a major impetus in its fight against black money, India will now automatically receive information on Swiss bank accounts of its citizens from September 2019. The country has been trying to control the problem of corruption and black money by adopting different measures. Recently, Prime Minister Narendra Modi announced demonetisation of Rs 500 and Rs 1,000 notes to clamp down on black money hoarders and terror financing.

Alleged use of Swiss bank account by politicians and business tycoons has been an election issue since the ‘Anna andolan’ in 2013. The protests and growing sentiment against black money and corruption in the country led to fall of 10-year-long Congress rule and a clear majority to BJP in 2014 General Elections. Meanwhile, the issue of Swiss bank accounts and black money is also being raised ahead of Punjab assembly elections as the Aam Aadmi Party released alleged Swiss bank account details of former state CM and Congress leader Amarinder Singh and his family on Monday.

While Switzerland has conformed to the global standards on automatic exchange of information with the signing of the declaration, India, on its part, has promised to safeguard the
confidentiality of the data.

“It will now be possible for India to receive from September, 2019 onwards, the financial information of accounts held by Indian residents in Switzerland for 2018 and subsequent years, on an automatic basis,” said a Finance Ministry statement.

Describing the signing of declaration as a ‘big step’, Revenue Secretary Hasmukh Adhia tweeted: “The income tax department will be able to obtain information from accounts of all Indians stashed in Switzerland from 2018 onwards.”

The Swiss Federal Department of Finance said in a statement that the signing of the joint declaration with India confirms Switzerland’s international commitment to implementing the automatic exchange of Information (AEOI) standard.

“Switzerland is thus strengthening its network of AEOI partner states. India meets in particular the high demands in terms of adherence to the principle of speciality and the safeguarding of confidentiality for the data delivered, which are prerequisites for the introduction of the AEOI,” it said.

Switzerland, which has always been at the centre of the debate on black money allegedly stashed by Indians abroad, used to be known for very strong secrecy walls till a few years ago around its banking practices.

A huge global pressure has resulted in Switzerland relenting on the tough secrecy clauses its local laws gave to the banks. Several information requests on details about Indians who had accounts in Swiss banks are still pending.

Tuesday’s declaration, however, does not talk about exchange of information based on stolen data or pending requests from India.

Following the government’s demonetisation of high value currency notes earlier this month as a crack down on domestic black money, some opposition parties have been demanding that the government take action to bring back the unaccounted Indian money stashed abroad, particularly in Swiss banks.

With inputs from PTI

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  1. A
    Abhinav Gour
    Nov 22, 2016 at 11:28 pm
    Why there were no sanctions against this country for accepting black money n supporting the corrupt a bit surprising whats the UN doing about this
    1. E
      Nov 22, 2016 at 8:09 pm
      Now everyone knows .lt;br/gt;So no one can blame that only bjp knew .lt;br/gt;What happened to the secrecy this time lt;br/gt;Oh I forgot in Swiss bank only the richest of the rich have account . How can we take there black money . They are the most important people of this nation .
      1. K
        Nov 22, 2016 at 4:19 pm
        INDICS cannot even get information for its public sector banks, example Malaya's account. In fact Malaya escaped in one of the RAWJET accompanied by Arun Jaitley himself!
        1. S
          Shafted mohammed
          Nov 22, 2016 at 2:44 pm
          Only stupid people keep their money in Swiss banks and the his and other top industrialists and congress leaders have their money in carribean banks and unless that money is exposed the war against black money is not relevant. Get the money from Central America and carribean banks and India would be in very strong finencial position.
          1. A
            Ankur Kumar
            Nov 22, 2016 at 1:39 pm
            2018 and subsequent years, dude then what is the point??
            1. A
              Nov 22, 2016 at 5:00 pm
              In the meantime Modi's pals (the various anis and the diamond mafia of surat) will underinvoice their exports and overinvoice their imports and siphon off the money to numbered accounts in tax havens abroad.
              1. A
                Nov 22, 2016 at 3:57 pm
                What about previous year accounts?lt;br/gt;What is issue to disclose the names in national interest?lt;br/gt;lt;br/gt;or is it that the account holders have moved the money from Swiss to other banks?lt;br/gt;Govt should bring a rule, that all politicians and Govt employees have to declare how many accounts they have and where too.
                1. A
                  Nov 22, 2016 at 2:52 pm
                  So Jumla for 2019 elections is ready! BTW Swiss banks are no longer safe haven for black money. All the black money is in Bitcoins and virtual;br/gt;lt;br/gt;When will the politicians stop fooling public in the name of black money?
                  1. D
                    Nov 22, 2016 at 3:21 pm
                    Only Modi has guts to negotiate..He is giving 100% of his time to country...
                    1. A
                      ASHOK KUMAR
                      Nov 22, 2016 at 4:25 pm
                      The up to date information on Indian account holders in Swiss Banks is available with Modi. Watch Anand Sharma's speech in Rajya Sabha on You Tube.
                      1. A
                        ASHOK KUMAR
                        Nov 22, 2016 at 4:23 pm
                        What a coincidence that from September, 2019, Modi will be sitting in opposition.Whosoever may come to power should not forget the services of Modi.
                        1. R
                          Nov 23, 2016 at 12:31 am
                          Mr. Modi you have no idea what's it like marrying a daughter! Do you?
                          1. R
                            Rajiv Dua
                            Nov 22, 2016 at 4:07 pm
                            After Feky completes his term. Good excuse not to bring balck money back.
                            1. G
                              Gopalan Nair
                              Nov 22, 2016 at 1:41 pm
                              Fine! We should be thankful to Swiss authorities for their high standards and ethics etc etc. In the meantime what happens till 2018? All a/c holders are given enough time to take out their money from those accounts and put it elsewhere. These lofty statements and declarations are not worth the Swiss cheese. What prevented them from ping on the a/c. details all along? Wanted to give sufficient time to their bankers and the a/c holders?
                              1. g
                                Nov 22, 2016 at 2:50 pm
                                Why cannot Arwind kejriwal go to Swiss and sit in dharna there?
                                1. H
                                  Nov 22, 2016 at 6:54 pm
                                  Very childish comment.
                                  1. N
                                    Nov 22, 2016 at 2:45 pm
                                    boss..the swiss banks do not conform to Indian rules and;br/gt;Our govt has no jurisdiction on these banks. Moreover the banks do not want their customers to sue them, if they do not give the customers enough time to follow the changed rules. lt;br/gt;lt;br/gt;The reason people open account in swiss banks is because even swiss authorities cannot compel those banks to reveal customer details. This will change now onwards, where the banks are legally obliged to divulge;br/gt;lt;br/gt;Its like asking ISI where dawood is ...if you understand what I;br/gt;lt;br/gt;It is not like sipping tea and typing comments. pls apply thought before typing.
                                    1. R
                                      Nov 22, 2016 at 3:38 pm
                                      As per the declaration /agreement Swiss bank details for accounts of year 2018 and onwards will, start coming from September 2019. No information regarding Indian persons who have their accounts since long and have deposits till now will, come ,for which govt had made promise.The dates agreed in declaration clearly indicate that all political parties are conniving with each other to protect the interest of all those indians ,whosoever he may be ,,who have accounts in Swiss banks It clearly means thàt the present govt cannot do anything in this regard upto the end of its term in June 2019.The declaration /agreement is an eye wash and is made to make fool of people of our Country .
                                      1. M
                                        Mahender Goriganti
                                        Nov 22, 2016 at 8:44 pm
                                        Next step is to target other such organisation in small island nations like Bermuda, canary, Virgin sllands etc.
                                        1. K
                                          Nov 22, 2016 at 4:28 pm
                                          Setting the starting date to 2019 gives more than enough time for all of the politically connected and the economically powerful to clear out all their accounts from Switzerland. Fantastic! It is difficult to believe this was not one of the main determinant in setting this date, if not THE main determinant.
                                          1. P
                                            P.De Menezes
                                            Nov 22, 2016 at 10:38 pm
                                            But why wait till 2019 ? why cant they give that information now?
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