The Ministry of Finance stated that, after discussions with Her Majesty’s Revenue and Customs (hereinafter referred to as HMRC), both sides reached the consensus of conducting automatic exchange of financial account information in tax matters (hereinafter referred to as CRS information) in accordance with Article 26 (Exchange of Information) of the “Agreement between the Taipei Representative Office in the United Kingdom and the British Trade and Cultural Office, Taipei for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income and on Capital Gains.” The first exchange is scheduled for September 2021.
The Ministry of Finance explained that the consultation with HMRC regarding the cooperation in the automatic exchange of CRS information has been going on for quite some time. Both sides share the same view of promoting international tax information transparency and would like to engage in this cooperation. Currently both sides are actively preparing final confirmation on relevant details on the premise that the first exchange will take place in September this year.
The Ministry of Finance further explained that HMRC has updated its list of Reportable Jurisdictions for CRS information which includes Taiwan on the list of the 2021 reporting year, in respect of 2020 reportable accounts. After confirming the relevant details, the Ministry of Finance will make an official public announcement as soon as possible to include the UK in Taiwan’s List of Reportable Jurisdictions for CRS information in accordance with Paragraph 3 of Article 25 of the Regulations Governing the Implementation of the Common Standard on Reporting and Due Diligence for Financial Institutions (hereinafter referred to as the Regulations); that is, the information on financial accounts held or controlled by UK residents should be added to the relevant filing in June this year by domestic financial institutions. The Ministry of Finance therefore is urging financial institutions to prepare in advance, so that by the end of June this year, in accordance with Article 50 and Article 51 of the Regulations, they will be required to complete the filing of financial account information held or controlled by residents of Japan, Australia, and the UK.
The list of Reportable Jurisdictions published by HMRC can be found on the web as follows:
https://www.gov.uk/hmrc-internal-manuals/international-exchange-of-information/ieim402340.
Contact person: Mr. Kevin Pao, Section Chief.
Contact Number: +886-2-23228150