The Influence of Tax Information Exchange Agreements on the Behaviour of Slovak Companies in Relation to Tax Havens

International ownership through tax havens is assumed as being one of the main reasons for applying profit-shifting methods and techniques. Since the last financial crisis, much more attention has been paid to aggressive tax planning worldwide. Tax information exchange agreements (TIEAs) are one of the major tools in combatting aggressive artificial profit-shifting to jurisdictions with zero or very low taxation. The goal of this article is to analyse the influence of concluded TIEAs in the behaviour of Slovak based companies in relation to tax havens. We analysed available data from Slovak companies with links to tax havens between 2005 and the first quarter of 2020 as provided by the company Bisnode and the list of contracting states for the purpose of the automatic information exchange according to the Act No. 359/2015 Coll. on automatic exchange of financial account information. During our analysis we primarily used regression and distribution analysis. Our results suggest that TIEAs have a statistically significant influence in slowing down the number of Slovak companies residing in tax havens. Our investigation further indicates that there are different results obtained for different categories of tax havens.