Analysis of the Common Reporting Standard Loopholes

Analysis of Common Reporting Standard Loopholes

OECD Publications on CRS
Common Reporting Standard and Commentary	Second edition of Implementation Handbook provides new guidance related to effective implementation.	CRS-related Frequently Asked Questions	List of jurisdictions committing to CRS by 2020, including developing members of Global Transparency Forum but not yet set the date for automatic exchange.
List of signatories of the Multilateral Competent Authority Agreement on Automatic Exchange of Financial Account Information and intended Information Exchange Date.	Pascal Saint Amans quoted that the Model Disclosure Rules will be submitted to the G7 presidency and are part of a wider strategy of the OECD to monitor and act upon tendencies in the market that try to avoid CRS reporting and hide assets offshore.	Mandatory Disclosure Rules on avoidance of CRS	List of members of the OECD Global Forum on Transparency and Exchange of Information for Tax Purposes.
List by jurisdiction of specific the steps taken and choices made in the context of implementing the Standard.	Definition of tax residency rules for individuals and entities by jurisdiction. Breakdown of updates by country	CRS Guidance by Jurisdictionas per OECD AEoI Exchange Portal. Not yet updated by OECD	Tax Identification Number rules and formats by Jurisdiction as per OECD AEoI Exchange Portal.
List of jurisdictions participating in the Convention of Mutual Administrative Assistance in Tax Matters.	List of high risk residence and citizenship schemes by jurisdiction	EU list of tax havens to be black or grey listed. Here is the listing process and criteria to be met to avoid grey listing. Scoreboard	CRS Status Message XML Schema
Peer reviews of the effectiveness of the implementation of the AEOI Standard starting in 2020.	AEoI exchanges in 2018	Written commitments by jurisdiction to avoid EU uncooperative tax havens black-list	Beneficial Owner Toolkit
International Exchange Framework for Mandatory Disclosure Rules on CRS Avoidance Arrangements and Opaque Offshore Structures

CRS articles published on Linkedin
26	CRS should never have allowed a trust to qualify as a holding Active NFE as it provides a commonly used loophole.	CRS: Proceeds from ICO sale make the ICO a Passive or Active NFE? ICO token sales considered financial income? Tokens financial assets?
25	CRS Knowledge Test	Clowns at the OECD must fix the broken CRS allowing loopholes.	Forced repatriation and surrender of offshore declared assets? Argentinian Halloween arrives just in time.	EU Council concludes USA meets EU tax transparency criteria on Automatc Exchange of Information and Exchange on Request.
24	Hiding your money in the USA from CRS? Is Pasquantino vs. US Govt a practical threat regarding federal wire fraud if evading foreign tax?	Is a personal listed ETF a viable CRS avoidance solution or a major misunderstanding?	Does the OECD understand how tax evaders exploit the inane CRS exemption of untaxed operational companies as Active NFE ??	For CRS, when is a foundation an SPV Custodial Institution? Warning: severe mental gymnastics ahead without answers.
23	Law firms warp semantics to continue the hoax CRS loophole regarding zero cash value insurance policies	How to block FATCA reciprocity for US cash value Insurance	CRS question for lawyers - Where is equity interest of untaxed Investment Entities maintained? Determines jurisdiction enforcing AEoI reporting.	Reporting Financial Institutions tell the OECD where to stick their CRS anti-avoidance residence-by-investment recommendations.
22	How to block FATCA reciprocal reporting for corporate bank accounts	How to block FATCA reciprocal reporting for trusts	Twit promoting circumvention of CRS based on false premise that Hungarian foundations do not have settlors or beneficiaries.	U.S. Won’t Be Included in EU’s List of Tax Haven Countries.
21	How can intangible assets help convert an entity's status to an Active NFE?	US-Malta tax treaty on pensions is tax-shelter for wealthy US persons. If you think IRS will let this continue unpunished I have a bridge for sale.	Does the Turkish Republic of Northern Cyprus provide opportunity for non-reporting of automatic exchange of Inrformation	Part I - Trusts: How USA FIs can easily fall outside FATCA full reciprocal reporting if ever legislated.
20	Nervous About Trump : EU Fearful of Including U.S. on Tax-Haven List	The top 6 CRS loopholes the OECD should whack on the head	Naive OECD muppets copied FATCA's Investment Entity definition allowing family-owned entities to be in charge of reporting. IFRS says not so fast...	EU to revive money laundering blacklist with new criteria
19	If your CRS legal opinion concludes the reportable surrender value of a zero cash value policy is nil, get those legal fees back pronto...	If assets aren't professionally managed, a foundation with a corporate director is Passive NFE. A trust with corporate trustee is an Investment Entity	CRS carve-out of managed Investment Entities is a senseless loophole that needs to be shot down	The OECD must explain in kindergarten language two clauses of the CRS that banks invariably get wrong
18	Argentinian current events may support the argument against the automatic exchange of information	Oops, don't drop a CRS clause that makes all the difference whether to report or not.	So, you think a foundation is the same as a trust for the Common Reporting Standard? Think again buddy...	Thank the lucky stars that Mr Magoo at the OECD allows Broad Participation Retirement Funds to be non-reporting Financial Institutions for CRS
17	Taiwan can't get away from CRS	Why do so many incorrectly believe a corporate director means your entity is a managed Investment Entity? No, no, no. Well rarely yes...	Canadian international insurers laughing their heads office at the inane exemption from automatic exchange of information	Insurers use batcrap crazy logic to justify reporting a nil value for irrevocable insurance for Common Reporting Standard
16	Avoided Common Reporting Standard by wiring money to the USA? You violated the US federal wire fraud statute with criminal incarceration penalties.	Which jurisdictions can be used to avoid CRS without being beat up?	Swiss bank relationship managers, desperate to stop clients fleeing to US banks, tell clients how to avoid CRS with incorrect information.	Fat bastard global services providers help their clients lie to avoid BVI Economic Substance laws
15	How OECD can crush CRS jurisdiction wealth managers looking after assets placed with US Custodial Institutions, such as Pershing LLC or US Trusts	Trying to educate investment entities that not having to report on themselves for CRS is crappy advice	How offshore jurisdictions have fooled the EU's Economic Substance requirements on holding businesses	Will America go from hunter to hunted in cross-border tax evasion
14	Mandatory Disclosure Rules for CRS as useful as a chocolate teapot? It's not a minimum standard, has major exemptions and legallycan't be retroactive.	Untaxed investment entities, other than trusts, are the single most misunderstood section of the Common Reporting Standard	Prepare to be smacked open like a piñata if hiding your money in the USA. John Doe summonses assisting foreign governments to be used frequently.	Banks make up ludicrous rules who can discretionarily manage assets of an investment entity. Licenced? What percent of assets? What jurisdiction?
13	Using loopholes in FATCA legislation for CRS clients? Then you are unaware the OECD has closed these loopholes. .	Hiding from automatic exchange of information by placing your money in USA? We interrupt your peaceful sleep now that John Doe is active again.	OECD crowing about the success of automatic exchange causing a 25% fall in offshore deposits. It mostly fled to the USA, you muppets!	There are two strategies to hide clients from CRS: Use a fake weakness or exploit a real loophole
12	Banks are ignorant when proposing a prevalent so-called CRS loophole	Is a trust a custodial Institution if its not an investment entity? See impact of OECD CRS FAQ Feb 2019 on SPV Custodian.	Does the Investment Entity term exclude holding companies? Depends if its FATCA or CRS	For CRS, who is the reportable account holder when a trust is a Custodial Institution? Can the dearth of definition be exploited to hide settlor?
11	Quick quiz on CRS	Banks wrongly advise untaxed investment entity companies that there is no CRS reporting if the owner and director are in the same jurisdiction	The single most misunderstood issue of CRS / FATCA. The asset test of a trading Active NFE.	Many banks conjure a non-existent CRS rule that to qualify as an investment entity, the assets must be managed by a "regulated" wealth manager
10	Singapore and Hong Kong banks categorise your business as a non-reportable Active NFE even though it is highly likely a Passive NFE	If USA ever enacts 'full reciprocity' of information exchange, it will be a failure as FATCA is rife with loopholes	CRS reportable value of a Zero Cash Value policy for the policyholder is not null. It is the full cash value.	Wrong Advice By Bank to avoid CRS
9	Investment Entity Carve Out	Zero surrender value policies	Endowment funds are not exempt from CRS	Where is untaxed BVI entity located
8	US rejects CRS	OECD, fix up loopholes	Where is an untaxed entity located	CRS can oblige wealth managers or its parent to report on accounts in the USA by piercing the corporate veil
7	Quiz	Trying to circumvent CRS with orphan structures	Zero cash value policies	Global trust firms hiding in Dakota
6	Been advised your untaxed Investment Entity managed by yourself avoids CRS? Oops, that is wrong...	Zero tax jurisdictions dislike economic substance? No problem, they've surreptitiously escaped its main impact.	The misplaced self-confidence of banks to move clients' assets to USA and continue servicing the portfolio	If an entity holds a Passive NFE subsidiary and collects the dividends, is it a Custodial Institution, Investment Entity or a Nominee?
5	Peddling surety bonds or Long term care policies to avoid CRS. It isn't out of scope despite providers assuring such.	What's with Gibraltar trustees mistakenly advising that some retirement funds avoid the CRS?	Exploiting the term 'related' to avoid the CRS	Big 4 misinterprets a CRS clause and subsequently trustees exploit a non-existent loophole for thousands of trusts
4	OECD misquotes the FATF recommendation and subsequently accepts there is no need to identify Controlling Persons of certain entities	What's with the insurance industry not comprehending Zero Cash Value policies are not a CRS solution?	FIs are not listening to the OECD initiative to tackle abuse of residence by investment	OECD FAQ update February 2019 - Yeah, you're a managing Investment Entity even if you don't get paid fees
3	Common Reporting Standard becoming different standards	Don't confuse the EU Commission's failed blacklist vs. EU Code of Conduct Group's blacklist of USA	Fleeing the BVI due to Economic Substance	Automatic exchange of information's gap regarding non-participating Institutions
2	EU Code of Conduct Group closes the Investment Entity CRS loophole - perhaps	Listing on an exchange is a CRS loophole which OECD can easily tackle	Banks are ignorant when proposing a prevalent so-called CRS loophole	EU Code of Conduct Group strategy coalesces against USA as an uncooperative tax haven
1	Pointless for UK Territories resisting public Registers of Ownership	Singapore's irrevocable trusts help Settlors hide undeclared assets by reporting zero. CRS participating jurisdictions should be furious.	Financial alchemy - Passive NFE becomes Active NFE / Investment Entity	Pros and cons of circumventing automatic exchange of information by by hiding your money in the USA