Posts tagged Switzerland
Exemptions to Bank Secrecy in Switzerland
Swiss banking secrecy is a serious matter. Banking laws in Switzerland mean that information about customers cannot be shared with Swiss and foreign governments, including tax authorities and other Swiss authorities such as law enforcement. At the same time, all accounts continue to remain linked to individuals and complete anonymity does not exist. Swiss bank secrecy was first codified with the Swiss Banking Act of 1934 and is outlined in the Federal Act on Banks and Savings.
While bank secrecy is upheld by government and financial institutions in Switzerland, it can be circumvented in special circumstances. For example, in a criminal investigation a prosecutor or judge may lift the legal restriction on naming account holders. This would allow law enforcement officials or other authorities to access relevant personal information. Information is usually obtained through a judge’s subpoena issued by a Swiss court. Although information on banking clients may be shared, it is often only shared with authorities in cases of serious criminal acts. These may include involvement in terrorism related activities or tax fraud. Information is general not shared with authorities for tax evasion or the failure to report of taxable income, although foreign governments and other international organisations have recently put pressure on the Swiss government to address the issue of tax evasion.
Protecting Assets in Swiss Banks
There are a range of financial products offered by banks in Switzerland to manage assets with Swiss banking secrecy. Making sense of these options is often a daunting task, especially for an investor who is unfamiliar with Swiss banking laws. While some products may be similar to your home country, legal and contractual structures might differ significantly. It is important to purchase a financial product that considers your goals. It is also crucial to only buy a product when you fully understand the option being offered by a bank. An experienced Swiss banking lawyer such as Caputo & Partners can provide the advice you need when choosing a financial product for your assets.
The goal of protecting your assets is to help you avoid losing money. A Swiss banking lawyer provides insight into the best way of protecting assets within the country’s financial system. A qualified lawyer can also help you determine whether decisions or recommendations made by financial institutions are the right ones, and whether banks are meeting their legal obligations. Caputo & Partner lawyers will ensure all financial products have been completed ‘by the book’ and catch any errors that you might know to look for when reviewing contracts. Our strong and effective relationships with financial institutions in Switzerland also ensure that our lawyers get the answers you need when purchasing products from Swiss banks.
