AIMA

The EU Savings Directive was introduced in June 2003 and took effect on 1 July 2005.

The principal purpose of the Directive is to allow a taxpayer’s local tax authority to identify that the taxpayer is in receipt of savings income which may otherwise not be declared. The Directive ensures that ‘paying agents’ in one EU Member State either report interest income received by taxpayers resident in another Member State or (in certain jurisdictions) levy a withholding tax on that income.

In November 2008, the European Commission proposed a revised Directive, with amendments for ‘closing existing loopholes and eliminating tax evasion’. Changes proposed would affect many AIMA members - hedge fund managers, administrators and other paying agents and individual investors resident in the EU.

AIMA participates in the Commission’s Expert Group that is reviewing operation of the EUSD; its mandate has been extended until 30 June 2012 and it may be some time before any amended Directive comes into effect.

Key legislative documents

European Commission proposal for amending Directive - COM/2008/727 (November 2008)

Council Directive - 2003/48/EC (June 2003)

AIMA documents

Submission to Swedish Presidency in respect of the proposed revised EU Savings Directive (July 2009) 

Submission to European Commission in respect of the EU Savings Directive (June 2009)

Other documents

European Commission Impact Assessment SEC/2008/2767 (November 2008)

European Commission Summary of Impact Assessment SEC/2008/2768 (November 2008)

European Commission's FAQs MEMO/08/704 (November 2008)