The CRA is anticipated to commence audit activities to ensure that FIs are complying with the Common Reporting Standard (CRS) and the Foreign Account Tax Compliance Act (FATCA). The CRA is looking to assess whether FIs have timely obtained self-certifications that establish whether an account holder is reportable under the CRS and FATCA, among other obligations. Although the CRA has indicated that it may provide relief in limited situations, FIs that do not obtain a valid self-certification as required may be subject to significant penalties. In some cases, these penalties may be material to audited financial statements.

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