ROLE OF INTERNATIONAL EXCHANGE OF INFORMATION IN THE FIGHT AGAINST TAX EVASION AND FRAUD IN GLOBALIZED ECONOMY

Tax evasion, tax fraud and money laundering through tax havens have belonged to the negative effects of globalization. They are threats to the world economy, its stability and security, and the foundations for democracy in national and international contexts. The System of International Exchange of Financial and Tax Information draft and upheld by the USA (FATCA), subsequently by OECD standards and EU directives have an irreplaceable role in the fight against international tax evasion, tax fraud and money laundering all over the world. The main aim of this paper is to examine quality of international relevant legislation, to explore implementation of the system of international exchange of financial and tax information into financial and tax authorities practice, to explore the effectiveness of the proposed measures of international institutions and national governments in the process of fight and elimination of tax evasion and fraud in the area of direct and indirect taxes.