Luxembourg signed on July 7, 2009 a protocol amending the existing tax treaty with the Kingdom of Norway. This protocol is aimed at updating the information exchange provision of the treaty in accordance with the OECD model convention standards. Such agreement allows the exchange of information upon request regarding all tax matters between the tax authorities of both countries. It is bringing its tally to twelve (*) which enables Luxembourg to cross the OECD threshold of tax information exchange agreement required to meet the internationally agreed standards. It is expected that all protocols will be approved by the end of year and start being applicable as from the 2010 tax year (**).
Within a record time of only 7 weeks, the Grand-Duchy is the first country so far to be promoted to the OECD white list. This swift implementation clearly demonstrates the strong commitment of its financial centre and its capability to react and to adapt to new markets and political constraints. Further negotiations are also underway with Belgium, Germany and Switzerland and should lead to new agreements before the end of 2009.
(*) It covers the conventions by Luxembourg with the following countries: Armenia, Austria, Bahrain, Denmark, France, Finland, India, Netherlands, Norway, Qatar, United Kingdom and United States.
(*) However the protocol with the United States will apply to all tax years beginning on or after 1st anuary 2009.
