Despite the United Kingdom's Information Commissioner’s Office (ICO) recent decision, elements of FATCA and CRS reporting may violate local jurisdiction privacy laws including GDPR. Jenny’s Case A dual UK / U.S. citizen brought a case in the UK claiming that HMRC sharing her personal data with the U.S. Internal Revenue Service (IRS) was a breach of the European Union’s (EU’s) General Data Protection Regulation (GDPR). The trail of personal data under FATCA plays out like this
Join me on June 17, 2020 at 10 AM ET for #WebinarWednesday when I will discuss: What Does Controlling Person Mean for the Unsuspecting Executive? David Mesa, Head of Sales at Trans World Compliance has invited me to speak and I selected this topic based on my most popular blog post of the same name. It may be surprising for an executive to discover that she may be required to provide sensitive personal information as part of the OECD's Common Reporting Standard (CRS) and U.
The Bahamas issued revised CRS Guidance Notes on August 3, 2018. Included in the revisions is a change in the definition of Controlling Person. The Bahamas will now use a 10% threshold for CRS reporting commencing in 2019. Controlling Person Defined The Bahamas CRS Guidance provides the following definition for Controlling Person: Any natural person that holds directly or indirectly more than twenty-five percent (25%) of the shares or voting rights of an Entity as a benefic
Certain Cayman Islands entities must provide beneficial ownership information to their Cayman Islands corporate service providers (CSPs) by June 29, 2018. This requirement should not be confused with the obligation to report Controlling Persons under FATCA Intergovernmental Agreements (IGAs) and CRS. The Cayman Islands created a centralized beneficial ownership register in 2017 that provides United Kingdom (UK) law enforcement and tax authorities with beneficial ownership in
The Cayman Islands announced in March that it updated its CRS self-certifications to require that Passive Non-Financial Entities (NFEs) disclose individuals with direct or indirect ownership or control of 10% or more of the shares or voting rights of the Passive NFE. Previously, the threshold was 25%. Why the significant change? Quick Review: Controlling Person Controlling Persons are the natural persons who exercise control over the Passive NFE. This includes the natural
It may be startling for a headquarters executive or regional sales director to be asked to provide photocopies of every page in their passports, their date of birth and their social security number in order to start up a new foreign subsidiary. It may be equally surprising for an executive to discover that she may be required to provide sensitive personal information as part of the CRS and FATCA regimes – even in situations where she is not a signatory on the financial accou