Automatic Exchange of Information: financial institutions
How Automatic Exchange of Information may apply to financial institutions, what to report and how to submit the information.
Automatic Exchange of Information agreements mean that financial institutions (such as banks) must review the accounts they maintain and report certain account holders to HM Revenue and Customs (HMRC) every year.
All references to Automatic Exchange of Information include United States Foreign Account Tax Compliance (FATCA), Crown Dependencies and Overseas Territories and the Common Reporting Standard.
Automatic Exchange of Information applies if you are a UK financial institution and are resident in the UK or any part of a non-resident financial institution located in the UK.
Private individual accounts with more than one owner
Individual accounts with more than one owner (such as husband and wife joint accounts) should be reported separately.
Entity level reporting
Each entity is treated as a single financial institution and you are responsible for submitting your yearly return.
One member of the group is able to register and report for other financial institutions within their group.
Collective investment schemes, such as unit trusts, may report at umbrella or sub-fund level.
Accounts held by overseas entities
You can only report about accounts held in the UK to HMRC.
UK branches of overseas financial institutions report on the accounts they hold.
No accounts to report
Nil returns aren’t normally required but, if you’re in a nil reporting position due to applying the de-minimis $50,000 or $250,000 threshold on pre-existing accounts you should submit a report.
Submit an Automatic Exchange of Information Return
To submit your return you need a Government Gateway account and be registered for the Automatic Exchange of Information Online Service.
You can submit your return by using HMRC Online Services or the HMRC XML Schema.
HMRC may charge penalties for non-compliance and late filing.