FINANCIAL INSTITUTIONS MUST COMPLY WITH FATCA AND CRS REPORTS
Colombian financial institutions must inform to the Colombian Tax Administration the financial information of account holders that are tax residents in another jurisdiction
In the context of globalization and the exchange of information, the National Government undertook to exchange financial information with the United States under the Foreign Account Tax Compliance Act (FATCA), as well as with approximately 100 jurisdictions under the Common Reporting Standard (CRS).
Therefore, in August, Colombian financial institutions must inform to the DIAN the information of account holders who are not Colombian tax residents. Within the information to be reported is the balance of the account, the name of the holder, its ID number, among others.
In addition to providing information to other jurisdictions, under FATCA and CRS, the Colombian Tax Administration will have the possibility to receive information from Colombian tax residents with bank accounts abroad.