Switzerland announced plans on Wednesday to force banks to do more to make sure foreign clients' money is taxed in an attempt to shake off its past as a haven for untaxed funds as it seeks to put an end to a damaging U.S. tax probe.
The focus is on enhanced due diligence requirements for banks when accepting assets as well as a requirement for foreign clients to make a declaration on the fulfillment of their tax obligations, the cabinet said in a statement.
The announcement comes on top of a raft of measures already announced in recent years, including a planned withholding tax on foreign assets held in Switzerland and better co-operation with foreign authorities pursuing alleged tax dodgers.
A global crackdown from cash-strapped governments in recent years has chipped away Switzerland's cherished tradition of banking secrecy, which helped it build up a $2 trillion offshore wealth management industry.
(Reporting by Caroline Copley)