Tax Documentation is Changing
Why is Tax Documentation Changing?
Expansion of Common Reporting Standard (CRS)
CRS continues to expand in relation to the number of participating countries, the compliance obligations of Financial Institutions, and the potential scope of reporting.
In 2019, the exchange of information for more than 84 million financial accounts, totaling almost EUR 10 trillion. Tax authorities have identified for collection EUR 102 billion of additional tax revenue worldwide. Currently, more than 7,400 bilateral automatic exchanges of information among 100+ jurisdictions
There has been a dramatic increase in tax transparency regulations over the past five years:
The EU continues to expand AEOI through an amendment to the DAC, the OECD is looking to extend the scope of CRS as well as new regimes such as TRACE, and tax authorities are reviewing and updating existing reporting regimes.
The pace of regulatory change is still accelerating. The amount of information that is needed is increasing, tax authorities are moving their focus to compliance and enforcement and several tax authorities have commenced the undertaking of on-site AEOI audit reviews of financial institutions and service providers in their jurisdictions.
Achieving Compliance
Submitting a return is no longer enough to avoid scrutiny:
- Tax authorities are analyzing AEOI reports in more and more detail and raising queries directly with FIs.
- Compliance requires an integrated effort leveraging effective controls, strong policies, and procedures, effective operating models, and robust technology and data quality.
Watch the TAINA's Tax Documentation Changes Webinar featuring an expert panel of tax and compliance experts including Cyrus Daftary from KPMG, Tom Howgate from Deloitte, and Rasheed Khan from TAINA as they discuss the reasons why tax documentation is changing and how this could impact FATCA, CRS and QI compliance, and reporting. Fill in the form below to watch the webinar recording.
Download the deck here: Presentation Deck Tax Documentation Changes Webinar
If you have any questions about the recent tax documentation changes or regulatory updates spoken about in this webinar please contact our expert panelist and managing director of TAINA (US) Rasheed Khan on rasheed.khan@taina.tech.
For more information on the recent documentation changes and on how the TAINA fully automated FATCA and CRS Validation platform can add value to your business, get in touch or request a demo to see it in action.
