CRS – Complex Reporting Standard?
First came FATCA, then soon after that we saw the arrival of UK CDOT. Clearly tax evasion is a global issue and in response to this the OECD developed the Common Reporting Standard (CRS) as a global model for automatic exchange of information. To date 54 jurisdictions have committed to the first submissions in 2017, these include the CDOT jurisdictions which will now be absorbed within CRS, with a further 47 committed to exchanging information from 2018 onwards. (The OECD Automatic Exchange Portal provides more information on CRS.)
In many ways CRS is similar to FATCA, but there are key differences. For FATCA the scope of reporting is on accounts held by individuals and entities who are US resident for tax purposes, whereas for CRS this basic principle extends to multiple jurisdictions and presents many additional reporting challenges. To find out more about what CRS is bringing and how it differs from FATCA, just take a look at our CRS – What’s New article.
How To Get Your CRS Submission Right First Time
Common challenges that you might be facing in preparation for CRS are:
- Changing Requirements from HMRC – All reporting schemas have changed since last year.
- Increased Workload – Reporting is increasing to up to 100 new territories by 2018.
- Failing Submissions – In 2015 HMRC reported that 60% of FATCA submissions failed.
- Escalating Costs – Changes to reporting and compliance around schemas and additional jurisdictions mean more time, effort and money.
But there’s a solution to all of these challenges.
Alphacat is our fully compliant off the shelf reporting software solution that manages your submission obligations from start to finish for CRS as well as for FATCA and CDOT. Alphacat simplifies the entire reporting process from data import, data validation and review to reporting and creating the required XML file for submission.
Here are some of the benefits it brings:
- Complete Compliance – We stay on top of all changes by the tax authorities via regular releases, so you don’t need to spend time responding to changing schemas and reporting requirements.
- Successful XML Submissions – With automatic validation checks, currency translations and detailed audit trails, you can minimise the risk of rejection.
- Reduced Costs – You can avoid expensive development of in-house software and/ or outsource fees and reduce time spent dealing with HMRC queries and corrections.
- Unlimited Support – Our in-house team of experts and online help system will provide you with unlimited support throughout the entire process bringing you piece of mind.
Click here to see more about Alphacat’s key features.
Alphacat is a multi-jurisdictional reporting solution for FATCA, CDOT and CRS. Click here to see the current supported jurisdictions. Additional jurisdictions can be added on request to suit your requirements.
For more information or to book a demonstration, contact us on 01784 410 369 or email us here.