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The global exchange of banking data (AEOI) - the key facts

The global exchange of banking data (AEOI) - the key facts

The global exchange of banking data

Common Reporting Standard (CRS) also known as automatic Exchange of information (AIA) on financial accounts, is an international system for the exchange of information on financial accounts between tax authorities in different countries. This process was initiated to combat tax evasion and increase transparency in the financial sector.

Participating countries

Over 100 countries and jurisdictions have signed up to the AEOI, including most OECD countries, EU member states and many other nations. Some important financial centers such as Switzerland, Luxembourg and the Cayman Islands are also involved.

Countries not involved

The countries that have not implemented the AEOI (Automatic Exchange of Information) are referred to as "non-participating countries". Here is some more in-depth information on these countries:

United States

  • The USA have their own tax laws and regulations, including the FATCA (Foreign Account Tax Compliance Act), which is similar to the AEOI in some respects.
  • They have so far refused to join the AEOI due to their national legislation and potential double taxation problems for American citizens.


  • Although Brazil has made progress in tax reform and improving tax transparency in recent years, it is not yet active with regard to AEOI.
  • Brazil has nevertheless announced that it intends to join the AIA in the future.


  • Russia has its own tax laws and has so far decided against participating in the AEOI.
  • Russia has its own tax information exchange agreements with a number of countries, but is not integrated into the global AEOI.

Data protection

Countries that do not participate in the AEOI are potentially interesting for individuals who want to protect their finances from automatic disclosure for various reasons. However, such countries may also be under increased pressure to join the AEOI in order to improve international tax transparency and the fight against tax evasion and money laundering, but it is unclear when.

Exchanged data

Under the AEOI, information on financial accounts such as account balances, interest, dividends and proceeds from the sale of financial assets is exchanged annually between the participating countries. The data relates to persons domiciled in a country other than the country in which the account is held.

Role of monetary amounts and zero messages

There is no minimum amount limit for data exchange. Both Accounts with high balances as well as those with a zero balance are reported. Financial institutions are obliged to report all reportable accounts to the tax authorities in their country, regardless of the amounts involved.

Procedure of the tax offices

The tax authorities of the participating countries receive the account data from other countries and can compare it with the tax returns of their Citizens compare. In the event of anomalies such as undeclared foreign accounts, they can initiate further investigations and, if necessary, levy back taxes and penalties. The AEOI is intended to enable a more effective fight against tax evasion.

USA: Double standards in tax information exchange?

Here is some more detailed information about the United States and the AEOI (Automatic Exchange of Information):
  • The USA has not yet ratified the AEOI as it already has its own tax information exchange system, the Foreign Account Tax Compliance Act (FATCA).
  • FATCA obliges foreign financial institutions to pass on information about accounts of US taxpayers to the IRS (Internal Revenue Service).
  • Although the USA is not part of the Common Reporting Standard (CRS), but is in FATCA (Foreign Account Tax Compliance Act) bilateral Data exchange agreements. These agreements relate exclusively to private Accounts and are therefore not relevant for US LLCs and Business accounts foreign Citizens. US LLCs are regarded as separate legal entities and not as foreign account holders, which is why they are not affected by these regulations.
  • Critics argue that the US is applying a double standard by demanding information from other countries but not participating in the AEOI itself.
  • Other countries, including EU member states, are urging the US to join the AEOI in order to improve international tax transparency and the fight against tax evasion and money laundering.
  • Despite these controversies, the US government has so far given no indication that it will join the AEOI. It remains to be seen whether this will change in the future, especially in the context of increasing international cooperation to combat tax evasion and money laundering.


The global exchange of banking data, also known as the Automatic Exchange of Information (AEOI), is an important tool for combating tax evasion and increasing transparency in the financial sector. While over 100 countries have joined the AEOI, some major players such as the US remain outside, leading to criticism of a potential double standard. Despite these controversies, international cooperation to combat tax evasion and money laundering remains an important goal for the global community.

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Disclaimer: Please note that the above dates, tax rates and regulations may change over time. Do not make any independent decisions without first consulting an expert for your individual situation. It is in your interest to always receive individual information from an experienced expert who knows your situation.

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