EU reduces tax haven black list

On 14 June 2019, the Council of the European Union (“EU”) decided to remove Dominica from the EU list of non-cooperative tax jurisdictions (Link).

As a result, 11 jurisdictions remain on the list of non-cooperative jurisdictions: American Samoa, Belize, Fiji, Guam, Marshall Islands, Oman, Samoa, Trinidad and Tobago, United Arab Emirates, US Virgin Islands and Vanuatu.

The updated list has not been published in the official journal, yet. Nevertheless, it has been updated on the EU information website, which also contains further information on the list’s objectives and on how the list has been evolved (Link).

IRS reminds on Handbook for Authorized IRS e-file Providers of Individual Income Tax Returns

On 17 June 2019, the U.S. Internal Revenue Service (“IRS”) reminds users on Publication 1345 “Handbook for Authorized IRS e-file Providers of Individual Income Tax Returns” (Link).

This handbook, revised in March 2019 (Link-Blog), continues to address only the rules and requirements for participation in IRS e-file by Authorized IRS e-file Providers (“Providers”) filing individual income tax returns and related forms and schedules.

User shall keep in mind to check their e-file application periodically to ensure all information is up to date.

  • Update Authorized Users, remove any Principals, Responsible Official, Contacts and Delegated Users that are no longer with the firm.
  • When adding new Principals and/or Responsible Officials to an existing application, the application status will move to Resubmission required, the application must be resubmitted within 45 days or the application will delete.
  • When adding Responsible Officials and Delegated Users, remember to delegate the proper authorities for the work they will perform.
  • If necessary, update the addresses and telephone numbers.

It is important to make sure all addresses on the application are updated and accurate.

  • Physical Address is the location of the business that is e-filing returns.
  • Mailing address is used when the firm wants correspondence sent to a specific address other than the physical address.
  • Year-Round address is used when the physical address is not open 12 months during the year. This is where records are retained and accessible.

Indonesia updates information on CRS reporting

In May 2019, the Government of Indonesian published updated the information webpage on the reporting under the Common Reporting Standard (“CRS”) to reflect the recent changes in the Indonesian CRS implementation and due diligence process (Link-Indonesian).

A list of message errors (Link-Indonesian) and the Indonesian XML validation instructions for FIs was updated (Link-Indonesian).

In addition, v.0001 of the Exchange of Information Portal User Manual (Link-Indonesian) was released to provide guidance on how to register and report within the Indonesian reporting portal (Link-Indonesian). The respective technical guidance has also been updated (Link-Indonesian).

Uruguay specifies deadline for CRS data submission

On 2 April 2019, Uruguay’s Director of General Taxes informed Financial Institutions that the Common Reporting Standard (“CRS”) reports and the corrections of the submitted information must be submitted between 1 April and 30 June 2019 (Link).

For queries related to the site and/or information on the reporting obligations, please submit emails to crs@dgi.gub.uy.

Mauritius releases FATCA and CRS communique

On 11 June 2019, the Mauritius Revenue Authority (“MRA”) issued communiques on the Foreign Account Tax Compliance Act (“FATCA”) (Link) and the Common Reporting Standard (“CRS”) (Link).

FATCA and CRS information in respect of the year 2018 will have to be reported to the MRA by 31 July 2019.

Financial institutions must ensure that country codes allocated to their account holders are correct and match the jurisdiction in which the information is to be reported. FATCA and CRS reporting will only be possible through MRA’s website using the provided username and password.

For additional information, contact the FATCA/CRS Unit on 2076000 or via email at fatcacrsunit@mra.mu.

Australia adds contact element

On 15 May 2019, the Australian Taxation Office (“ATO”) issued an update to the Common Reporting Standard (“CRS”) reporting process by clarifying the contact element for the message header (MessageSpec) (Link).

As previously reported, if a user is unable to submit the CRS report by 31 July, it is possible to request an extension of time through the ATO Business and Tax Agent Portals (Link-Blog).
In addition to already communicated elements, a name and contact phone number or email address should be included in the contact element contained in the message header.

The message should also include:

  • the ABN, TFN or GIIN of the RFI
  • the name of the RFI
  • your name and daytime telephone number
  • the reasons for the request to extend time to lodge
  • the date by which you will be able to submit the CRS report

Germany releases CRS Infobrief 04/2019

On 7 June 2019, the German Federal Central Tax Office (“Bundeszentralamt für Steuern” or “BZSt”) issued a newsletter: “Infobrief CRS 04/2019” (Link-German) providing updated information regarding the Common Reporting Standard (“CRS”). This Infobrief notifies that BZSt will not be able to send any confirmation for submitted CRS reports before the 17 June 2019.

Croatia issues notice on AEOI

In June 2019, the Croatian Ministry of Finance and Tax Authority released a notice, stating that Reporting Financial Institutions in the Republic of Croatia are obliged to provide the Tax Administration by 30 June 2019, with the provision of information on financial accounts in accordance with the Law on Administrative Cooperation in the Tax Area (NN 115/16, 130/17, 106/18) and the Ordinance on automatic exchange of information (“AEOI”) in the field of tax (NN 18/17, 1/19).

In accordance with numerous requirements, a test application is open, which can be accessed here (Link-Croatian).

After checking potential incidents through the test application, a regular delivery application will be opened, which the Tax Authority will notify filers of in a timely manner.

Samoa opens reporting portal and publishes List of Reportable Jurisdictions

In June 2019, the Ministry for Revenue in Samoa issued an updated List of Reportable Jurisdictions (Link) and opens the Automatic Exchange of Information portal (Link). The portal is open for Reporting from 20 May 2019 to 30 June 2019. Users are no longer able to test XML files and add relations. The portal is open to upload the already-tested XML files, and to manually report information and submit to the Competent Authority.

Serbia signs Multilateral Convention on Mutual Administrative Assistance in Tax Matters

On 13 June 2019, the Republic of Serbia signed the Multilateral Convention on Mutual Administrative Assistance in Tax Matters (“Convention”), raising the total number of jurisdictions to 129 (Link).

The Convention is one of the most important and powerful instruments in the area of international tax cooperation. It provides for all forms of administrative assistance in tax matters, e.g. exchange of information on request, spontaneous exchange, automatic exchange, etc. Furthermore, the Convention provides for the extensive safeguards concerning the protection of the taxpayers’ rights. As the Convention is the premier instrument for the implementation of the Common Reporting Standard (“CRS”), the Republic of Serbia is closer to become a CRS participating jurisdiction (Link).

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