New Slovak-US agreement to combat tax evasion

Slovakia is set to sign an agreement with the United States on mutual exchange of financial information related to taxes as part of FATCA (Foreign Account Tax Compliance Act). The Government signed the proposal on Wednesday. The purpose is to map incomes of Americans abroad and thus prevent tax evasion by obligating banks and other financial institutions active outside of the United States to provide information about accounts owned by Americans. Based on FATCA, the Slovak Republic will report requested information at regular intervals to relevant US authorities. Similar data on Slovak tax residents will be acquired from US also by Slovakia stated the Finance Ministry which hopes that by embracing the treaty Slovakia will declare its active participation in the struggle against tax fraud and tax evasion.