Cayman Islands: CRS compliance updates

Updates related to the common reporting standard regime

Updates related to the common reporting standard regime

The Department for International Tax Cooperation (DITC) of the Cayman Islands issued updates related to the common reporting standard (CRS) regime.

The tax authority, while analyzing the data submitted for CRS reporting period 2020, identified a few common topics that may have compliance issues, including:

  • Missed reporting deadlines: It is reported that a large number of financial institutions with CRS reporting obligations have failed to file CRS filing declarations or compliance forms for 2020.
  • Missing information within returns: A large number of 2020 CRS returns did not include the tax identification number (TIN) or functional equivalent, and/or the date of birth for individuals and controlling persons, or the TIN or functional equivalent for entities (in the CRS XML schema, the field name for entities is “IN”).
  • Undocumented accounts: There are very limited instances in which CRS permits the accounts to be reported as “undocumented.” Despite numerous past communications regarding this issue, the DITC noted instances of incorrect reporting for 2020, whereby organization accounts have been indicated as undocumented.

Read an October 2021 report [PDF 471 KB] prepared by the KPMG member firm in the Cayman Islands

 

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