FATCA & CRS Reporting
What Is FATCA Reporting? An integrated solution to simplify the FATCA & CRS reporting process
CRS and FATCA Reporting Software from ONESOURCE
What is CRS and FATCA Reporting?
The Foreign Account Tax Compliance Act (FATCA) and the Common Reporting Standard (CRS) present significant structural changes in governments’ efforts to improve global tax compliance. A robust reporting system is necessary for financial institutions to keep up with reporting requirements – one that provides a full audit trail and comprehensive country coverage with key controls and validations.
FATCA promotes cross border tax compliance by implementing an international standard for the automatic exchange of information related to US taxpayers. Regulations require tax authorities obtain detailed account information for US taxpayers on an annual basis.
CRS is the global initiative to achieve an international standard for exchange of information. CRS requires financial institutions around the globe to provide tax authorities with access and insight into taxpayer financial account data.
Overcoming reporting challenges
Data, such as Tax Identification Numbers (TINs), the identity and residence of the account owner, citizenship, account/debt claims, reporting entity and interest payments, may be well established, but the actual data management presents complexities.
The US Internal Revenue Service and Intergovernmental Agreement (IGA) partner countries have reporting requirements and electronic schemas and formats that differ between countries. This makes the mechanics of formatting and filing data difficult. Thomson Reuters automates the creation and filing of reports based on the specifications from each IGA country and the IRS. Electronic submissions are also supported because differing processes in electronic data transmissions in multiple jurisdictions is a key issue.
Thomson Reuters provides complete data collation, validation and submission for FATCA and CRS reporting as well as management information reporting, including tracking key data points and submission dates. Our solution reduces the risk and burden of FATCA and CRS by providing an established and trusted platform, and leverages knowledge and expertise from an extensive tax compliance business.
Greater transparency and the better exchange of information globally is essential to ensure compliance and something financial institutions need to be thinking about now.
Achieving reporting success
The global move toward tax transparency represents a prime opportunity for firms to demonstrate conscientious business culture and enhance their reputation. Evolving international tax regulations are challenging financial firms around the world to implement new procedures in order to maintain compliance. Thomson Reuters is your established and trusted partner. We stay one-step ahead of the regulations so you can future-proof your reporting strategy. We have the knowledge and expertise to assess and improve existing reporting solutions to enhance your organization’s process and improve client service standards.
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