2024-04-28 23:06:42
The purpose of the agreement is to provide a standardized and efficient mechanism to facilitate the process of automatic exchange of information in accordance with the Standard for Automatic Exchange of Financial Information in Tax Matters jointly developed by the Organization for Economic Co-operation and Development (OECD) and the G20 countries. The introduction of this standard will provide an opportunity to improve the tax legislation and the fight against tax evasion. This is reported by the RA NA.
This was stated by Ashot Muradyan, Deputy Chairman of the RA SRC, presenting the draft law “On Ratifying the Multilateral Agreement of Competent Authorities on Automatic Exchange of Information on Financial Accounts” signed on October 14, 2014 at the regular session of the National Assembly on September 13.
According to the keynote speaker, the legal basis of the agreement is the multilateral convention “On Mutual Administrative Assistance in Tax Matters”, which was ratified by the Republic of Armenia in 2019.
According to his assurance, by the agreement, the Republic of Armenia, on the basis of reciprocity, undertakes to ensure the automatic exchange of the information presented in Article 2 of the agreement by the competent authorities, in the scheme of the unified reporting standard, with an expanding marking language.
Accordingly, confidentiality rules and other safeguards will apply to all information exchanged, including provisions limiting the use of information exchanged to the extent required to provide the necessary level of personal data protection.
It was noted that it would ensure that competent authorities develop one or more methods of data transfer, including encryption standards, to maximize standardization and minimize complexity and cost.
According to the SRC vice-president, the secretariat of the coordinating body will be immediately informed about any violation of the obligation of confidentiality or non-fulfillment of guarantees and any sanction applied as a result and the actions taken to eliminate the consequences, etc.
Related reporter, Deputy Chairman of the NA Standing Committee on Economic Affairs Babken Tunyan presented the positive conclusion of the Head Committee and called on his colleagues to vote in favor.
The Parliament adopted the draft law.