Exchange of Information, Tax Confidentiality, Privacy and Data Protection from an EU Perspective

Abstract

The call for more transparency in the (tax) world can hardly be overstated. One of the most prominent ways to achieve tax transparency is the exchange of information between countries. Achieving a proper balance between the exchange of information, tax confidentiality and privacy is however quite a challenge. In this article, the authors investigate some of these challenges. For the purposes of this contribution, confidentiality means that the information exchanged is used and disclosed only in accordance with the legal basis on which it was exchanged, while privacy focuses on the right to respect private life and communications, as well as the protection of personal data. More specifically, the authors elaborate on the question as to what extent do the international and European data exchange obligations deserve particular attention in the light of the privacy provisions of Article 8 ECHR and Articles 7 and 8 Charter, when it comes to the use of information for non-tax purposes, the provision to other (Member) States and the exchange of information concerning legal entities.

Keywords: confidentiality, privacy, data protection, DAC, exchange of tax information

JEL Classification: K 34