Having signed a protocol to its double taxation convention with Norway, Luxembourg has brought to 12 the number of agreements it has on exchange of information for tax purposes. The OECD announced today that Luxembourg has crossed the threshold for being considered to have substantially implemented the internationally agreed standard in this area. Consequently, it has updated the April 2nd Progress Report again, to move Luxembourg into the category of *“Jurisdictions that have substantially implemented the internationally agreed tax standard.”*
Luxembourg withdrew its reservation to the OECD standard on exchange of information in March 2009, and has moved to update its treaty network. According to the OECD, it is thus contributing to strengthening the very important process of transparency around the world, where dozens of other agreements are being signed by different jurisdictions.
OECD Secretary-General Angel Gurría welcomed the recent signing with Norway, saying *“I commend Luxembourg for its swift implementation of the OECD standards on exchange of information. In three months, Luxembourg has turned into reality its commitment to fully cooperate in tax matters. I would like to congratulate Minister Luc Frieden for his leadership in this process”.*
Mr. Gurría added that the Luxembourg government had informed him of its intention to continue the process of negotiating agreements which meet the OECD standard. Praising this approach, he emphasised that while the threshold of 12 signed agreements is a good indicator of progress, *“this should not be seen as just a numbers game. The threshold is not a ceiling. This is a dynamic process.”*