Austria’s parliament approved on Friday a deal initially reached with Switzerland in April to fight tax evasion, paving the way for it to take effect in January 2013.
The new tax accord, signed on April 13 by Finance Minister Maria Fekter and Swiss President Eveline Widmer-Schlump, imposes a one-off tax between 15 and 30 percent — depending on the sum involved and the number of transactions over the past 10 years — on all untaxed Austrian money in Switzerland.
For fortunes of two million euros ($2.61 million) and above, the tax rises to more than 38 percent.
In addition, a 25-percent tax on capital returns earned by the funds will be imposed.
The money taken by Bern will then be passed on to Vienna.
The Swiss parliament approved the agreement on May 30, and it should thus take effect on January 1, 2013.
The tax deal was a crucial element in fiscal discipline measures passed by the Austrian government in March.
Vienna estimated that the tax agreement alone could generate one billion euros ($1.23 billion), as it seeks savings of about 27.9 billion euros by 2016.
Government estimates put total Austrian assets in Swiss banks at between 12 to 20 billion euros.
Austrian parliament approves Swiss tax deal
