Automatic Exchange of Information (AEOI)

Automatic Exchange of Information (AEOI) refers to an international standard for sharing financial account information between countries to combat tax evasion. Under AEOI agreements, financial institutions automatically report information about foreign account holders to their governments, which then share this data with the respective countries. This transparency aims to ensure that individuals and corporations don't hide income or assets overseas without paying taxes. AEOI enhances global cooperation in tax compliance and supports governments in enforcing tax laws effectively.