The Deputy made a suggestion earlier regarding the tax avoidance industry. I have read recent reports by tax experts who say that I am the greatest bane of their lives who has ever become Minister for Finance. It is due to the powers I gave the Revenue Commissioners in 1999 that information relating to these particular trusts has been obtained from the banks. I would wager that most of the money deposited in those trust operations goes back many years, long before my time as Minister for Finance. The Revenue Commissioners have made progress in this regard as a result of the powers I gave them.
Regarding the Swiss matter, the taxation on savings directive has been going on in one form or another since the late 1980s, and in its most recent form for the past six years. One of the factors holding up the finalisation of that directive, until the recent trouble over the Italian milk quotas, was the attempt to reach an agreement with non-EU countries about it. It was said at the ECOFIN meetings that many EU countries have major banking industries and if a non-EU neighbour had no reciprocal arrangements with the EU, money would automatically transfer out into that jurisdiction. Negotiations have been going on for a considerable time in the EU and Commissioner Bolkestein has been leading this on our behalf.
Steps have been taken by the Swiss authorities to have reciprocal arrangements in certain circumstances and Deputies will have followed the ECOFIN debate in this regard. The Swiss have now agreed to have reciprocal arrangements in fairly tightly controlled circumstances but it is a major breakthrough. The Swiss sought other things in other areas which they have succeeded in obtaining, although not in the area of taxation. If we sign off – hopefully at the ECOFIN meeting next week, if we get the Italian matter resolved – these agreements will operate with the Swiss authorities when the directive comes into play. Under the terms of the agreements, it is intended that if any EU member state has evidence concerning a particular taxpayer, it will be able to obtain information from the Swiss authorities. That will be the situation, which I am pointing out for the benefit of Deputies as well as for people outside the House who may be reading carefully about this.