Avamprogetto (Accordo en)

Agreement Between Switzerland and the United States of America for Cooperation to Facilitate the Implementation of FATCA

Whereas, Switzerland and the United States of America (“United States”, each, a “Party”)

seek to build on their existing relationship with respect to mutual assistance in tax matters and desire to conclude an agreement to improve their cooperation in combating international tax evasion;

Whereas, Article 26 of the Convention between the Swiss Confederation and the United States for the Avoidance of Double Taxation with Respect to Taxes on Income, signed at Washington on October 2, 1996 (the “Convention”), which provides for the exchange of information as is necessary for carrying out the provisions of the Convention or for the prevention of tax fraud or the like in relation to the taxes which are the subject of the

Convention;

Whereas the Protocol Amending the Convention was signed at Washington on September 23, 2009 (the “Protocol”) and includes a provision for the exchange of information for tax

purposes;

Whereas, the United States enacted provisions commonly known as the Foreign Account Tax Compliance Act (“FATCA”), which introduce a reporting regime for financial institutions with respect to certain accounts;

Whereas, in the expectation of contributing to a solid basis for an enhanced cooperation in tax matters with the United States, Switzerland is supportive of the implementation of FATCA;

Whereas, FATCA has raised a number of issues, including that Swiss financial institutions may not be able to comply with certain aspects of FATCA due to domestic legal impediments;

Whereas, intergovernmental cooperation to facilitate FATCA implementation would address these issues and reduce burdens for Swiss financial institutions;

Whereas, the Parties desire to conclude an agreement to provide for cooperation to facilitate the implementation of FATCA based on direct reporting by Swiss financial institutions to the U.S. Internal Revenue Service, supplemented by the exchange of information upon request pursuant to the Convention, as amended by the Protocol;

Now, therefore, the Parties agree as follows: