Towards A Global FATCA?: OECD, G20 Unanimously Endorse Global Automatic Information Exchange

On October 29, 2014, through the OECD “Global Forum on Transparency and Exchange of Information for Tax Purposes,” both the OECD and G20 countries endorsed a new Standard for Automatic Exchange of Financial Account Information in Tax Matter. 59 countries are so-called “early adopters” and are committed to undertaking their first exchanges by 2017. 35 other countries (including Canada) have committed to undertaking their first information exchanges by 2018. The U.S. has agreed to participate in automatic information exchanges through its Foreign Account Tax Compliance Act (FATCA), pursuant to its bi-lateral Intergovernmental Agreements.

This global automatic information exchange initiative is based on each jurisdiction’s participation in the OECD’s Multi-lateral Convention on Mutual Administrative Assistance in Tax Matters. The information exchange itself will follow the OECD’s Standard for Automatic Exchange of Financial Account Information in Tax Matters (first