Jun 30, 2017
From the KPMG TaxWatch
KPMG TaxWatch Webcast audience polling results
On June 20, KPMG LLP hosted a TaxWatch Webcast, entitled Automatic Exchange of Information – Global Asset Management Update, on which professionals from KPMG International member firms from the Cayman Islands, Ireland, Luxembourg, the United Kingdom, and the United States provided updates on recent developments and implementation challenges for asset managers under automatic exchange of information (AEOI) regimes. Click here to access a replay of the June 20 Webcast.
During that Webcast, audience members were polled on their compliance efforts and responded to the following questions:
- Has your organization noted significant entity classification differences between Foreign Account Tax Compliance Act (FATCA) and Common Reporting Standard (CRS)?
- Are you confident that your organization will complete customer notifications under your local jurisdiction guidelines?
- Are you confident that your organization will complete notification procedures, if required, to enable you to complete the upcoming filing deadlines?
Polling results are presented in the graphic to the left.
- More than 40 percent of Webcast participants report they do not know whether their financial institutions were classified differently for the CRS than they were for FATCA. (KPMG Observation: Classification should be carefully considered so as not to fall afoul of the rules.)
- While 65 percent of Webcast participants expected their financial institution to accomplish customer notification within the deadline, 70 percent expected to be able to file their FATCA/CRS reporting in a timely fashion. (KPMG Observation: In some jurisdictions reporting account holders without the proper notification could violate data privacy rules.)
- More than three-quarters (78 percent) of Webcast participants at financial institutions with legal entities in five or fewer different jurisdictions are confident they will have their customer notification done in a timely fashion, whereas participants at institutions with between six to ten jurisdictions are only 55 percent confident they can achieve the same goal. (KPMG Observation: Having financial institutions in multiple jurisdictions complicates compliance where there are significant differences in the rules both between jurisdictions and even within jurisdictions for FATCA and CRS.)
The information contained herein is of a general nature and based on authorities that are subject to change. Applicability of the information to specific situations should be determined through consultation with your tax adviser.