Facing the emergence of a new operating business model for banks and investment firms
Further to the financial and banking crisis, the fight against the tax shortfalls is become a hot topic for all the governments all around the world. In this respect, new tax regulations are being implemented in rapid succession, i.e. FATCA, OECD compliant double tax treaties, EU directives or Rubik agreements.
Government actively participated in turning the international political intentions into reality for more transparency and tax compliance. Luxembourg is now fully compliant with the new OECD standards, which have set up rules for a well-balanced equilibrium between transparency, compliance and client’s needs for a high level of privacy protection.
Ten years after the adoption of the EU Savings Directive, the Government has also decided on 10 April 2013 to introduce automatic exchange of information on interest income as from 1st January 2015.
Your challenges as a bank and investment firms
Given this irreversible international trend, banks and investments firms have now to face some new challenges:
- Be informed about the latest updates and applicable legislation impacting the bank industry;
- Be assisted for the realisation of a client typology diagnosis;
- Be ready set up new standards for client acceptance;
- Be able to assist your clients in the process of potential regularisation of income;
- Be ready to deal with the heavy operational reporting requirements and the trend toward an increase of bank responsibilities and duties;
- Be ready to adapt your current service offerings.