The Common Reporting Standard (CRS) developed in response to the G20 request and approved by the OECD Council on 15 July 2014, requests from countries to obtain information from their financial institutions and automatically exchange that information with other countries on an annual basis.
This standard sets out:
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The financial account information to be exchanged
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The financial institutions required to report
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The different types of accounts and taxpayers covered
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As well as common due diligence procedures to be followed by financial institutions
Why is LGB BANK complying with CRS?
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LGB BANK will comply with the Lebanese Law No. 55/2016 that implements the provisions of the convention related to the exchange of tax information as signed by the Government
How will customers at LGB BANK be impacted by the CRS?
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After June 30, 2017:
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New Individual clients who open an account with LGB BANK will be required to fill a “Self Certification Tax Form” that contains their residency country(ies) and tax identification number(s) (TIN)
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New Entity clients will be required, in addition to the above, to disclose the entity’s individual controlling persons and their countries of tax residencies
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Existing clients, with residence outside Lebanon, must approach LGB BANK branches to fill Self Certification Tax Form where they state the country/countries where they are tax residents
What information will be shared under the CRS?
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If an account is reportable, the CRS requires financial institutions to provide the following information to the local tax authority:
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Account holder details:
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Name
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Address
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Date of birth
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Country (countries) of tax residence
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Tax identification number (TIN)
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Account number
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Account balance (as of end of previous year or the closure date of the account)
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Revenues credited to the account (interest, dividends, etc.)
What if I do not fill a “Self Certification Tax Form”?
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New Clients cannot initiate any banking relation with LGB BANK
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LGB BANK will be obliged to report account information of existing clients who have residence indicia outside Lebanon
I have already provided my FATCA related tax information, why should I provide more info?
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Since FATCA and CRS are different regulations, each has its own requirements. Hence, we are obliged to get the complete tax related information in separate forms to be able to comply with those requirements
Where can I find more information about CRS?
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For more information about CRS, please visit the OECD Website. You can also visit any of our branches and talk to us
What if customers are unsure about their tax residency?
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LGB BANK cannot provide advice about tax residency rules.
It is possible to be a tax resident in more than one country.
Customers who are unsure about their tax residency should consult a tax advisor.
