CRS of Foundations

[imom]

What is the status of Foundations in regards to CRS reporting? I read a lot about offshore foundation like in Seychelles or Dutch STAK etc for ultimate privacy but don't they get reported just the same as trusts? Or do foundations rely on the bank you open to do the reporting?

 

[Gediminas]

Or do foundations rely on the bank you open to do the reporting?

This. The reporting is always done by the financial institutions.

 

[James Turner]

CRS has nothing to do with companies, trusts or foundations. It is a financial institution reporting process as explained by @Gediminas

 

[imom]

OK so only financial institutions from countries which have adopted CRS are required to report. This would include banks, investment entities and insurance companies associated with an offshore structure. What will happen if they change the rules to enforce the offshore structure themselves to do the reporting?
And how reliable is it to have a US bank account for an offshore structure. Even though they use FATCA and not CRS then is it possible they will disclose beneficial ownership on request and not automatically which would happen if they have CRS?

 

[James Turner]

OK so only financial institutions from countries which have adopted CRS are required to report. This would include banks, investment entities and insurance companies associated with an offshore structure. What will happen if they change the rules to enforce the offshore structure themselves to do the reporting?
And how reliable is it to have a US bank account for an offshore structure. Even though they use FATCA and not CRS then is it possible they will disclose beneficial ownership on request and not automatically which would happen if they have CRS?

So if CRS changes in the future and encompasses incorporation agents, the information given to incorporation agents will need to be disclosed. Do take into account however that incorporation agents will only know what they are told about UBO's by the client and so only that information can possibly be shared.