Banks and officials move towards better compliance relationship

International Tax Review is part of Legal Benchmarking Limited, 1-2 Paris Garden, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2026

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Banks and officials move towards better compliance relationship

Tax compliance in the banking sector has become a top priority for revenue authorities since the global economic turmoil began in 2008 and a meeting in Rome this week emphasised the point.

The head of the Italian Banking Association (ABI) announced at the meeting that his organisation and Agenzia delle entrate, the Italian Revenue Agency, would work together to produce a code of conduct for banks.

"A code of conduct will help to achieve a right balance between the need to reduce the incentives towards aggressive tax planning and promote certainty and predictability for taxpayers," Giovanni Sabatini, the ABI’s director-general, said.

The meeting brought together revenue agencies, banks and their industry representatives, and the OECD, for two days of discussion on developing the enhanced relationship in the banking sector.

The enhanced relationship refers to the work done by the OECD’s Forum on Tax Administration to create a new way of working between revenue officials and taxpayers based on “a mutual understanding of each party’s needs and aspirations, the development of the tools and techniques most appropriate for achieving these, and a path to implementing what needs to be done”.

This week’s meeting looked at the role of banks in the economy now, the impact of recent regulatory changes on tax matters, and the experience of various stakeholders with cooperative compliance programmes. Delegates also discussed issues such as those related to bank losses and how to determine the appropriate tax treatment of branches of foreign banks.

“It is important for tax authorities to adopt a balanced approach: zero tolerance for aggressive tax planning, but at the same time impartiality and fairness in evaluating legitimate tax planning. More in general, an approach aimed at giving certainty to taxpayers,” Attilio Befera, General Commissioner of Agenzia delle entrate said in his opening remarks to the meeting.

Jeffrey Owens emphasised the value of cooperative compliance.

“Cooperative compliance initiatives benefit both governments and taxpayers through fewer routine audits, increased transparency, a positive impact on compliance culture in general and of course more revenue: a win-win situation,” said the director of the OECD’s Centre for Tax Policy and Administration.





more across site & shared bottom lb ros

More from across our site

Nearly two years after its publication, the Corporate Tax Roadmap is reshaping the UK’s TP framework through incremental reforms focused on scope, transparency and earlier HMRC intervention
With a stark divergence between MNEs that prepared early and those rushing to catch up, advisers must remain agile with all manner of compliance risks
The EU agreed new cooperative and investigative measures to tackle VAT fraud, while Hungary faced legal action and Lavez Coutinho expanded its indirect tax team
The arrival of a team from Brazilian rival Costa Tavares Paes Advogados brings SiqueiraCastro’s tax headcount to seven partners and 30 associates
CSR initiatives can sometimes venture into virtue signalling, but Ryan’s tax literacy event for schoolchildren was a genuine and necessary endeavour
Grant Thornton advanced plans to integrate its Australian firm into its US arm, as tax developments spanned law firm hires, aviation levies and digital services taxes
A new focus on early intervention and increased AI use is transforming how tax authorities are approaching TP audits, though capacity-constrained jurisdictions risk falling behind
The French administration has used AI to detect undeclared swimming pools and verandas but always includes a human in the loop, the AI in Tax Forum heard
The UK tax authority’s deputy director of large business also reassured taxpayers that HMRC will not ‘nitpick’ returns
Sucafina’s tax chief was speaking at the ITR Pillar 2 Forum in London alongside experts from HMRC and other organisations
Gift this article