In recent years there has been a noticeable decrease in the number of countries on the non-AEOI list. As a clear proof we have the fact that in the last year more than four names have been removed from this list.
However, if you still intend to open a non-resident bank account, you still have several options to choose from. Here are the countries listed as non-AEOI according to the 2020 report update:
Armenia, Benin, Bosnia and Herzegovina, Botswana, Burkina Faso, Cambodia, Cape Verde, Cameroon, Chad, Côte d'Ivoire, Djibouti, Dominican Republic, Egypt, El Salvador, Eswatini, Gabon, Guatemala, Guinea, Guyana, Haiti, Honduras, Jamaica, Kenya, Lesotho, Liberia, Madagascar, Mali, Mauritania, Moldova, Mongolia, Namibia, Niger, North Macedonia, Palau, Papua New Guinea, Paraguay, Philippines, Rwanda, Senegal, Serbia, Tanzania, Togo, Tunisia, Uganda, Ukraine, Vietnam.
The above-mentioned countries are taken from official sources, refuting some experts in the field who claim that some jurisdictions are still in this category. In addition to this, several countries have committed to share their information in future years, so it can be said that they are in a transition stage.
These are:
Kazakhstan, Ecuador, Nigeria, Oman, Peru, Albania, Maldives, Morocco, Georgia, Jordan, Montenegro, Thailand.
What are AEIO countries?
First of all, we should know what AEOI countries are. It stands for Automatic Exchange of Information. It is basically an international standard used by a great majority of countries around the world so that the different banks of the countries under this standard can exchange bank account data with the tax authorities of the country where the client resides.
There are countries that are not under this standard, so they are not obliged to share financial information, although fewer and fewer are under these conditions. They are mostly sought by digital nomads who do not have a public residence, or expatriates.
Who should care about non-AEOI countries?
Although it may not seem like it, talking about non-AEOI countries is not a clandestine pursuit or a topic of conversation only in secret forums. Large global accounting firms and major international banks have considered and even conducted their operations through countries under this category, arguably active members.
It is vital to know who has access to your financial information, so everyone working in the financial world is very well informed on the subject, including all members of the Foster Swiss team of specialists, who are able to provide the necessary guidance on these procedures.
Why countries participate in AEOI
The reasons why countries prefer to participate in the exchange of information are because of the advantages of increased tax revenues and economic stability over non-participating countries.
By sharing financial information, they have the possibility of identifying taxpayers that do not comply with the policies and conditions, motivating the tax authorities to capture the different undeclared financial instruments that their tax residents may have abroad. This automatically increases tax revenues.
Foster Swiss team members have the right training to guide you through these operations if your intentions are to create an account in one of these countries. We provide you with the best experience from the hand of specialist consultants who offer you financial advice, recommendations for the jurisdiction you want and accompany you throughout the whole process.
For more information, contact us at info@fosterswiss.com