Resident tax payers in the Netherlands are running out of time to avoid huge fines, according to contracts management specialists CXC Global.

CXC Global outlined how professionals based in the Netherlands with hidden foreign savings and investments have until 1 July 2016 to avoid being fined a maximum penalty of up to 300% of the tax owed.

The Netherlands is one of the countries to sign up to automatic exchange of tax information known as the Common Reporting Standard. Under this agreement, countries will share information on residents’ assets and incomes. Previously, this data has only been released on request, which has proved ineffective in preventing tax evasion.

“The move is a significant one and adds yet another line of defence in the global fight against tax evasion,” Managing Director of CXC Global EMEA, Michelle Reilly, said. “We’d urge any professionals who this affects to disclose their assets and earnings voluntarily before July 1^st as this will only expose you to a fine worth 60% of the tax due. After the deadline, this will double to 120% of the amount and could climb as high as 300%. Bearing in mind that individuals are unlikely to hide assets that aren’t worth much, this could add up to a significant fine for a lot of people.”

“Tax authorities around the world are becoming increasingly more aware of overseas assets and over 100 countries have signed up to the Common Reporting Standard, which aims to tackle the growing issue of tax evasion,” Reilly said. “Professionals should be aware that the net really is tightening and those believing they can slip under the radar are unlikely to get away with it. As the Dutch Secretary of State has said “Tax payers who do not declare their foreign assets will be caught anyway”, so it makes much more sense to disclose your status and pay a much smaller fine while you still can.”