Update on the Common Reporting Standard
The Common Reporting Standard (CRS) is the single global standard for the collection, reporting and exchange of financial account information on foreign tax residents.
Under CRS, Financial Institutions (FIs) need to collect and report more information as part of their know-your-client (KYC) process for investors. This requires significant changes to data management, process and technology for fund managers.
While there is some overlap with FATCA requirements, additional operational changes are needed to comply with CRS.
CRS has been in effect since 1 January 2017 in many jurisdictions, including Singapore and Hong Kong.
Australia has adopted a slightly different timetable from other participating countries, with the collection of tax residency information for new accounts required from 1 July 2017 and the first exchange of information to the Australian Taxation Office (ATO) to occur in 2018.
Mainstream’s CRS service
To support these changes, Mainstream has updated its KYC service for Unit Registry (Transfer Agency) clients to review the additional certifications received, collect additional information, conduct searches on pre-existing investors and enhance reporting.
If you have any questions regarding CRS, please speak with your compliance officer.
To learn more about the actions Mainstream is taking, please contact us.
This article is not intended to be financial advice and is of a general nature only that does not take into account your individual objectives, financial situation or needs. While all efforts have been made to ensure the information contained in this article is accurate, errors may occur.