FATCA/DAC2-CRS
The Common Reporting Standard (CRS) and DAC2
The CRS is the agreed global standard for Automatic Exchange of Information (AEOI) of financial information. It was approved by the OECD in February 2014. Ireland is one of over 100 jurisdictions that have signed up to the CRS.
Council Directive 2011/16/EU (DAC) provides for the exchange of taxpayer information between the tax administrations of EU Member States. In December 2014, the DAC was amended by Council Directive 2014/107/EU (DAC2). DAC2 made the operation of the CRS mandatory for all EU Member States and brought the CRS into EU legislation.
Under DAC2-CRS Irish financial institutions report details of account holders that are not tax-resident in Ireland or the US. Revenue then exchanges this information with the participating jurisdiction of residence.
Under AEOI Revenue receives details of accounts held by Irish tax residents with Financial Institutions in participating jurisdictions.
Revenue has published a list of participating jurisdictions for DAC2-CRS.
Irish legislation and guidance on DAC2-CRS
The CRS and DAC2 were transposed by sections 891F and 891G of the Taxes Consolidation Act 1997 respectively.
These are supported by Regulations S.I. No. 583 of 2015 and S.I. No. 609 of 2015.
For further guidance on the CRS domestic implementation issues in Ireland, please see Tax and Duty Manual Part 38-03-23.
Where the legislation or the CRS does not address an issue, the primary source for guidance should be the further guidance issued by the OECD. This includes:
When and how the information is exchanged
Irish financial institutions must report the details of the relevant accounts to Revenue by 30 June each year. Revenue exchanges this information with the participating jurisdiction of tax residence of the account holder by 30 September each year.
How you file a DAC2-CRS return
Financial institutions should use Revenue Online Service (ROS) to register for the DAC2-CRS reporting obligation. If you do not have access to ROS, you need to register as a reporting entity. This can be done by completing a Reporting Entity Registration Form. If you are an agent representing a reporting entity, you can register your client through ROS. Once registered as a reporting entity you will be able to access ROS and register for the CRS reporting obligation. You can then send DAC2-CRS returns to Revenue through ROS.
See the Tax and Duty Manual Part 38-03-26 for more information on how to:
- register as a reporting entity
- register for a reporting obligation
- correctly format your return
- and
- file a return.
Next: Types of Financial Institution obliged to report to Revenue under FATCA and DAC2-CRS