Liechtenstein: International Cooperation With The UK

LDF and DTA – a guarantee for a successful future?

On 7 February 2012, Liechtenstein and the UK initialled a Double Taxation Agreement (DTA) in Vaduz and also extended operation of the sole disclosure programme currently in place, the Liechtenstein Disclosure Facility (LDF), by a further year up to 2016. As a result, the two countries have expanded and perfected cooperation in the area of taxation by adding another major element and, at the same time, reinforcing the status of the LDF.

The agreement between the two governments signed in August 2009 (Memorandum of Understanding [MoU]) and the Tax Information Exchange Agreement (TIEA) that, apart from two exceptions, will enter into force on 1 April 2015 will make it possible for Liechtenstein's financial intermediaries to maintain business relationships with individuals subject to UK law and enter into such relationships with new clients if they know that these clients have become compliant with respect to all