Bellerage

Banks will be disclosing cash flows of their clients upon a request of Tax Office only

Banks will be disclosing cash flows of their clients upon a request of Tax Office only

According to recent news articles and social media posts, Russian banks were allegedly going to transfer all information on bank accounts to tax authorities.

In fact, banks can only provide such information during tax audits and only under a reasoned request from the Tax Office. In this case, the tax authorities may request the following information:

∙ details of operations on the accounts and deposits;

∙ accounts balances;

∙ details of cash flows.

The changes to the law that came into force this summer have merely added metal accounts to the list of accounts that can be subject to request of information.