Impact for Financial Institutions
An entity needs to identify whether it falls under the definition of a Financial Institution for FATCA and CRS purposes, as Financial Institutions are required to comply with various due diligence, reporting and other compliance obligations arising from FATCA and CRS as well as local legislation.
Impact for Non Financial Entities
Any entity may be requested by Financial Institutions with which it engages, to provide them with completed self-certification forms, which typically require declaration of the entity’s country(ies) of residence for tax purposes, status under FATCA and CRS, and in certain cases information with respect to the entity’s controlling persons. This will determine whether the entity’s account is considered reportable for FATCA and/or CRS purposes.