In May, the U.S. Justice Department reported reaching a plea agreement with Credit Suisse AG. The bank pleaded guilty for helping U.S. taxpayers evade taxes. Under the plea agreement, the bank will pay a penalty of $2.6 billion. The plea came after years of investigations.
As this big settlement made headlines, more than 100 Swiss banks quietly signed onto a Justice Department voluntary disclosure program. These banks will avoid indictments for their part in helping American clients hide assets offshore. The banks must pay fines and give information on their wealth management businesses to the Internal Revenue Service.
Swiss bank EFG International AG recently said that it put aside 21.4 million Swiss francs or $24 million to cover expected penalties related to a U.S. tax evasion probe.