For more information on these topics, please contact Michael Silv and Ellis Reemer. Bern, 14.01.2019 – The tax information agreement between Switzerland and Brazil came into force on 4 January 2019. The provisions of the agreement apply from 1 January 2020. From the point of view of the party requesting the information, the request must be as concrete as possible. From the point of view of the party providing the information, they must indicate and notify all the procedures necessary to comply with the request, such as. B the date and place of the collection of information. There is a clear difference between the level of tax information to which the two competent authorities are entitled. In general, the U.S. government is asking the Brazilian government for a much more detailed information list than the other way around. Related businesses and branches that are not participating financial institutions should be considered effective beneficiaries under the expiry of the transitional rule for limited foreign financial institutions and limited branches, under relevant U.S. treasury regulations, as actual beneficiaries of the IGA and considered to be compliant or tax-exempt. , provided that: (a) each of these branches or related entities is identified separately as a non-participating financial institution; (b) each of them identifies its U.S. accounts and provides the necessary information; and (c) this related entity or branch does not explicitly request the U.S.

accounts of persons who are not established in the jurisdiction in which that branch or related entity is established, or of accounts that are not established in the jurisdiction in which that branch or related entity is established, and that branch or related entity is not used by the financial institution or any other related entity in Brazil. to circumvent obligations under the IGA or in accordance with Section 1471 of the Member States` Internal Revenue Code. With the publication of Decree 8.506, the Brazilian government is legally required to obtain and exchange information on the identification of the American person who is an account holder and for a non-American person. Entity controlled by an American person, the identification of both. This information includes the corresponding account number and the identification of the declaring Brazilian financial institution.