BVI House Asia hosted the seminar, “Trusts and the Common Reporting Standard” (CRS), to provide more information on CRS applications to BVI Trusts.
The CRS was implemented as a strategy to detect and deter illegal evasion tactics. The BVI was an early adopter among more than 100 participating financial services jurisdictions committed to the reporting standards.
Director, Elise Donovan said many persons have questions and concerns regarding the CRS’s applications to BVI Trusts.
“The seminar answered the latest frequently asked questions about the CRS and provided a platform for financial industry practitioners to exchange information and share insights,” she added.
The May 29th seminar was held in Asia and facilitated by legal practitioner, Mirza Manraj, a member of the Financial Services Regulatory Practice Group at Harneys. He is also recognised by IFLR 1000 as a leading lawyer in the British Virgin Islands.
Manraj shared his expertise on the impact of CRS implementation from an international tax perspective. He told attendees that CRS will generally apply to two types of trusts; either a Reporting Financial Institution, or a Non-Financial Entity that maintains a Financial Account with a Reporting Financial Institution.
The facilitator also presented practical examples, illustrating the systematic methods used to identify reportable accounts, apply due diligence rules, and report the relevant information to the BVI International Tax Authority (ITA).
Manraj outlined framework and important dates for financial institutions and the implications of CRS reporting for trustees and trust administrators.
The notification date has been extended to June 30. The first report deadline for financial institutions reporting to the ITA via the BVI Financial Account Reporting System has been extended to July 31. BVI has agreed to exchange financial account information with the first group of participating jurisdictions by September this year.
The ‘Trusts and CRS’ seminar was held at the Hong Kong General Chamber of Commerce, and attracted more than 70 lawyers, trust practitioners and other financial services experts.