According to the OECD, international efforts to improve transparency on cross boarder financial activity through automatic exchange of information are improving tax compliance and delivering concrete results for governments worldwide.

More than 90 jurisdictions participating in the Automatic Exchange of Information (AEOI) initiative – a global transparency initiative under the OECD’s Common Reporting Standard (CRS) since 2018 have now exchanged information on 47 million offshore accounts, with a total value of around €4.9 trillion. The AEOI is activated through 4,500 bilateral relationships marks the largest exchange of tax information in history.

According to OECD Secretary-General Angel Gurri, a “the transparency initiatives designed and implemented through the G20 have uncovered a deep pool of offshore funds that can now be effectively taxed by authorities worldwide. Continuing analysis of cross-border financial activity is already demonstrating the extent that international standards on automatic exchange of information have strengthened tax compliance, and we expect to see even stronger results moving forward”.