The focus of the AEOI is the exchange of information on a cross-border basis between tax authorities, and will potentially affect all accounts held by non-residents (i.e. the AEOI will affect accounts held by both individuals and entities, including trusts, foundations and partnerships). Where entities are concerned, it is necessary to determine their classification for the AEOI purposes (being either a Financial Institution, a Non-reporting Financial Institution, a Professionally Managed Investment Entity, a Publicly traded Non-Financial Entity, an Active Non-Financial Entity or Passive Non-Financial Entity), according to strict criteria laid down in the AEOI rules. In some cases, it may be necessary to gather tax information on the Controlling Persons behind the entity.

The AEOI draws upon international anti-money laundering standards, and sets out strict procedures which must be followed by financial institutions in order to gather, and where necessary report, this tax information to partner jurisdictions.

The reporting of information under the AEOI is generally not applicable if you are tax resident in the same country as the Bank (i.e. Switzerland). This does not mean that the Bank does not have an obligation to collect the information, only that the information will not be reported.

As a financial institution, Swissquote Bank Ltd (hereafter referred to as “the Bank” or “we”) is required to gather certain tax information about all of its clients. Where we determine that you are tax resident in a country with which Switzerland has signed an agreement for the AEOI, we will be required to report certain information about your account (see Q11 for further details) to the Swiss Federal Tax Administration (“SFTA”) on an annual basis. The SFTA will then exchange this information with the tax authorities in the jurisdiction(s) where you are tax resident.

This tax information will be exchanged according to a reciprocal agreement between Switzerland and the partner jurisdiction(s). However, you should note that under the AEOI there is no withholding of tax (i.e. the AEOI is purely an information exchange process).

A complete list of jurisdictions that have already implemented the AEOI as well as the ones that have committed to do so, together with information on the dates that they started exchanging or they will start exchanging information, is available in the OECD AEOI portal.

Jurisdictions may have implemented both CRS and CARF or only CRS or CARF (see Q4).

For a list of jurisdictions that Switzerland has signed an agreement with for CRS, please refer to the Swiss State Secretariat for International Financial Matters SIF website.

The list of jurisdictions that Switzerland has signed an agreement with for CARF will be updated as soon as it is published on the Swiss State Secretariat for International Financial Matters SIF website.

The AEOI took / will take effect in Switzerland as of:

• 1 January 2017 with a first reporting in 2018 (in relation to the information of the calendar year 2017) for CRS;
• 1 January 2027 with a first reporting in 2028 (in relation to the information of the calendar year 2027) for CARF.