Bermuda: CRS compliance certification form for 2020 due 15 December 2021

CRS compliance form is expected to be available on the portal by 15 October 2021, and must be submitted by 15 December 2021

CRS compliance form is expected to be available on the portal by 15 October 2021

The Bermuda Ministry of Finance on 3 September 2021 announced that it will require all reporting financial institutions (RFIs) and trustee-documented trusts (TDTs) to complete an annual common reporting standard (CRS) compliance certification form beginning with the 2020 reporting period. Read TaxNewsFlash

The Ministry noted that the CRS compliance form is expected to be available on the portal by 15 October 2021, and must be submitted by 15 December 2021, for the period ending 31 December 2020.

Going forward, the Ministry will require the form to be submitted no later than 30 September following the end of the reporting period. An online form must be submitted by the primary or secondary user registered within the portal. Note that bulk uploads are not permitted.

The Ministry released guidelines [PDF 473 KB] to help RFIs with the preparation of the CRS compliance form.

In addition, the Ministry announced that it will begin requiring RFIs to undertake a CRS independent compliance review. Based on a risk-based approach, the Ministry will identify RFIs and issue notices informing the registered primary user of the RFI that it must engage an approved independent reviewer to perform the CRS Review. The Ministry released guidelines [PDF 324 KB] to help RFIs with the preparation of the CRS review process.

KPMG observation

The Ministry noted that the heightened compliance measures are in line with Bermuda’s obligation to determine that RFIs implement and comply with CRS requirements. The actions being taken by Bermuda are similar to those of the Cayman Islands, which was recently added to the Financial Action Task Force (FATF) grey list of jurisdictions that are not in compliance with anti-money laundering (AML) practices. However, the Bermuda CRS compliance form is more stringent than the version issued by the Cayman Islands, as it requires RFIs to upload a copy of its written policies and procedures.

Read a September 2021 report prepared by KPMG LLP

 

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