The deadline for the annual FATCA and CRS submissions is drawing near as it is set for the 31st of May 2020 for UK financial institutions.
FATCA & CRS Reporting Requirements
The Foreign Account Tax Compliance Act (FATCA) requires financial institutions to report annually to their local tax authorities information on their USA clients to be passed on to the US tax administration.
The Common Reporting Standard (CRS) requires financial institutions to report annually to their local tax authorities information on their clients that are tax residents of other participating jurisdictions to be passed on to the relevant tax authorities.
Challenges & Risks
Firms face a number of challenges and risks that need to be addressed in order to proceed with the pertinent submissions before the deadline:
Challenges:
- Analysis & interpretation of the requirements, which consist of over 300 pages
of guidelines to read. - More than 65 fields per record to complete.
- Complicated multilevel XML files.
- Different jurisdictions with each posing a different set of challenges.
Risks:
- Incorrect completion of CRS and FATCA submissions.
- Failure to meet the reporting deadline and overall requirements.
- Costly investment in resources to help you file the relevant submissions, which in turn may place a burden on your budget.
- Disruption of your daily operations.
- Incorrect or false submissions that may result in a withholding penalty to specific payments.
MAP FinTech can fully support your business’ regulatory reporting needs.
ΜΑΡ CRS/FATCA Reporting Service provides a user-friendly approach to receiving, validating, transforming and submitting the relevant information required under the CRS/FATCA reporting and due diligence rules.
This service is delivered via our single platform Polaris, together with the rest of its reporting offerings and our team of experts’ impeccable support services.
ΜΑΡ CRS/FATCA – Key Features
- Cost-efficient integrated reporting solutions provided under a single platform.
- Highly automated and scalable solution that can report as many accounts as you have.
- Flexible in the way it receives data, either via standard templates or raw data.
- Multiple reporting health checks for both content and schema and automatic filtering of erroneous entries.
- Automatic conversion of data to XML and separation of files based on tax residency.
- Submissions to various tax authorities worldwide.
- On-going communication with regulators to ensure the system reports reflect regulatory updates and changes.