Banking secrecy – made of glass for tax reasons?

Banking & Finance

Mag. Stephan Schmalzl, ILO Newsletter vom 9. Dezember 2016

Over the decades Austria has remained faithful to its banking secrecy by being a late adopter, if at all, of international standards for exchanging information regarding bank accounts.

While Austrian law already provided for a piercing of banking secrecy in judicial criminal proceedings and proceedings before tax prosecution authorities, other attempts to reduce banking secrecy (also with respect to anti-money laundering measures) remained largely unsuccessful. However, the recent amendments to the legal framework have put an end to this and led to a material softening of banking secrecy in Austria.