Swiss, Germany Agree to Settlement in Tax-Evasion Dispute

Switzerland and Germany completed an accord to end a dispute over tax evasion by wealthy Germans holding cross-border accounts with Swiss private banks.

As part of the settlement, Swiss banks will pay 2 billion Swiss francs ($2.8 billion) to the German government to cover the failure by their clients to disclose undeclared money in the past, the Swiss Finance Ministry said today in a statement. That amount will later be reimbursed to the banks from taxes paid by their customers, the ministry said.