INTERNATIONAL EXCHANGE OF INFORMATION FOR TAX PURPOSES: GLOBAL PRACTICE AND DEVELOPMENT TRENDS

Abstract

The article considers the global practice and trends in the development of international information exchange for tax purposes within the framework of the BEPS project, since the results of such an analysis can be useful for improving the efficiency of the domestic system for supporting the exchange of tax information. In September 2024, the State Tax Service of Ukraine carried out the first international automatic exchange of information on financial accounts with other states according to the international reporting standard. It is shown that the international system for the exchange of tax information is based on the Joint Data Transfer System, which allows for the quick and secure transfer of large amounts of information between tax authorities, in particular, on financial accounts, investments, income, etc. An example of the implementation of this system into the general tax compliance system is given and a conclusion is drawn about the need to develop such an integrated system for analyzing tax data in Ukraine. The trend of a significant reduction in the volume of undeclared household assets in offshore jurisdictions is shown, which is due to the beginning of the practice of automatic exchange of information in 2017. The prospects for the development of the practice of international exchange of tax information lie not only in expanding the list of countries involved in international legal cooperation of states in the field of taxation, but also in the further digitalization of the exchange process, in particular, the development of data processing technologies, automation of control and verification work of tax authorities, expansion of information categories, etc. The conclusion is made about the need to implement the best global practice of exchange of tax information into the domestic tax administration system.