The Common Reporting Standard (CRS) is a new information-gathering and reporting requirement for financial institutions in participating countries (including Australia), to help fight against tax evasion and protect the integrity of tax systems.
What is reportable?
The CRS seeks to establish the tax residency of customers. Under CRS, financial institutions are required to identify customers who appear to be a tax resident outside of Australia and report certain information to the ATO. The ATO may then share that information with the tax authority where you are a tax resident.
Why are you asking me for my jurisdiction(s) of tax residency?
Under CRS, the ATO required us to collect and report certain information relating to our customers' tax statuses. If you register to become a member of the Plenti Lending Platform, or have opened an account after 31 July 2017, we will ask you to certify a number of details about yourself. This process is called "self-certification" and we are required to collect this information under the CRS.
How is my tax residence defined?
This will depend on where you live and your circumstances. Please contact a professional tax adviser or check the ATO website for more information on how to determine your tax residency. Plenti cannot give tax advice.
How often will I need to provide this information?
Once we have a valid self-certification on file, you will only be asked to complete another when you update certain information on your account or we believe your reportable status may have changed.
Will Plenti respect my data privacy?
Where can I find further information and advice?
The ATO has published a simple guide to CRS (and the related regime for US tax residents, FATCA).