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Common Reporting Standard (CRS)

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Updated: Dec 21, 2024

Common Reporting Standard (CRS)


The Common Reporting Standard (CRS) is an internationally recognized standard used to automatically exchange financial account information for tax purposes between various jurisdictions to better combat tax evasion and ensure tax compliance.


The CRS lists the financial account information to be exchanged, the financial institution (FI) that needs to report, the different types of accounts and taxpayers covered, and the customer due diligence procedures that the FI should follow. CRS is built on the basis of the FATCA reporting system to maximize efficiency and reduce the cost of implementing jurisdictions and their FIs.


CRS Registration


An entity that becomes a Reporting Singaporean Financial Institution ("SGFI") between 1 January and 31 December (both dates inclusive) of the year is to register for CRS by 31 March of the following year. A failure to comply with this registration requirement is an offence under the CRS Regulations.


CRS Filing


All Reporting SGFIs must submit their CRS returns, including nil returns (if applicable) for a reporting year by 31 May of the following year. Reporting SGFIs can select “Return with Nil Data” if they did not maintain any reportable accounts in 2020.


CRS Compliance


Financial institutions are required to comply with the CRS Regulations. In particular, Reporting SGFIs under the CRS Regulations must:

  • Register for CRS with IRAS;

  • Perform due diligence on all Financial Accounts that it maintains; and

  • Report all Reportable Accounts that it maintains or file a Nil Return (if it does not maintain any Reportable Accounts) to IRAS.

Reporting SGFIs are expected to put in place a robust compliance approach as well as internal policies, procedures and systems that will ensure their effective compliance with the CRS.


How Bestar can Help


Bestar, a firm specializing in accounting, tax, and corporate services, can assist financial institutions in Singapore with complying with the Common Reporting Standard (CRS). Here's how:


  1. CRS Awareness and Training: Bestar SG can educate financial institutions about the CRS requirements, including the scope of reporting, due diligence procedures, and record-keeping obligations. This ensures that all relevant staff are aware of their responsibilities under the CRS.


  2. Due Diligence Procedures: Bestar can help financial institutions develop and implement robust due diligence procedures to identify reportable accounts. This may involve reviewing customer documentation, conducting enhanced due diligence on high-risk customers, and maintaining accurate records of due diligence activities.   


  3. Account Reporting: Bestar can assist financial institutions in preparing and submitting accurate CRS reports to the Inland Revenue Authority of Singapore (IRAS). This includes gathering the necessary account information, applying the relevant CRS rules, and ensuring that the reports are submitted on time and in the correct format.


  4. Record Keeping: Bestar can help financial institutions maintain comprehensive records of all CRS-related activities, including due diligence procedures, account information, and reporting submissions. This ensures that financial institutions can demonstrate compliance with the CRS and respond to any inquiries from the authorities.


  5. Staying Updated: Bestar can keep financial institutions informed about any changes to the CRS requirements, such as updates to the CRS regulations or changes to the list of participating jurisdictions. This ensures that financial institutions remain compliant with the latest CRS requirements.


By leveraging Bestar's expertise, financial institutions in Singapore can ensure that they comply with the CRS and avoid potential penalties.


If you would like to know more, please contact Bestar.





Common Reporting Standard (CRS) | Bestar
Common Reporting Standard (CRS) | Bestar

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