OVIEDO, Spain (AFX) - The EU and Switzerland will start talks immediately on the taxation of non-residents' savings, EU internal market and tax commissioner Frits Bolkestein said.
At the conclusion of the EU informal finance council, Bolkestein said he had told ministers that the discussions will begin at the level of officials on how Switzerland will apply "equivalent measures" to those in the EU's strategy against tax evasion by non-residents.
Most EU countries are to exchange information about non-residents' savings, but Austria, Belgium and Luxembourg will apply a withholding tax for a seven-year transitional period.
The formal talks with Switzerland will start as soon as EU governments give the European Commission a negotiating mandate, Bolkestein said.
"I am quite optimistic about getting agreement with the Swiss government, and in the wake of that with the other four," he said.
The four countries are Andorra, Liechtenstein, Monaco and San Merino.
He said he will visit the US in May to try to work out similar arrangements.
Bolkestein said he hopes to reach agreement with the six by June.
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