Liechtenstein says signed anti-tax fraud pact with US

Liechtenstein said Friday that it has signed a anti-tax fraud pact with Washington that requires banks in the principality to provide information about accounts held abroad by US taxpayers to US authorities.

Under the agreement, Liechtenstein would implement the Foreign Account Tax Compliance Act (FATCA), which came into effect on January 2014.

In return, the pact allows the principality’s banks and other financial institutions to have access to US capital markets.

“The unhampered access to US capital markets, which has been secured by the agreement, is essential for Liechtenstein providers of financial services,” said Adrian Hasler, the principality’s prime minister.