UK suspends tax cooperation with Russia

“As we look to put Vladimir Putin’s regime under decisive economic pressure, it would not be right to continue to exchange tax information with Russia and Belarus., said Lucy Frazer QC MP…reports Asian Lite News

The UK government has announced it is suspending the exchange and sharing of tax information with Russia and Belarus as part of continued efforts to inflict economic pain on President Putin’s regime.

The UK exchanges tax information with Russia under the Convention on Mutual Administrative Assistance in Tax Matters and Russia and Belarus under bilateral Double Tax Agreements.

This tax information is exchanged as part of global collaboration to address tax compliance risks, however, the latest decision to suspend tax information exchange will ensure the UK is not supplying Putin’s regime with information that could lead to an increased tax benefit or yield for Russia, the HM Treasury said in a statement.

Lucy Frazer QC MP, Financial Secretary to the Treasury, said: “We stand shoulder to shoulder with the people of Ukraine and want to do everything we can to support them.”

“As we look to put Vladimir Putin’s regime under decisive economic pressure, it would not be right to continue to exchange tax information with Russia and Belarus.”

“Along with the other economic measures we’ve already taken, this step will help starve Putin of the resources he needs to carry out his barbaric campaign of violence.”

Suspending exchange of tax information means that Russia will no longer receive information under any of the UK’s exchange of information agreements: Exchange of Information on Request, Common Reporting Standard or Country-by-country Reporting.

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