1. The Ministry of Finance states that the reporting financial institution (RFI) [as defined under rule 114F(7) of Income Tax Rules,1962] shall obtain a self-certification from the client, as part of the account opening documentation, to determine the client’s residence for tax purpose as per SEBI circulars CIR/MIRSD/2/2015 dated August 26, 2015, and CIR/MIRSD/3/2015 dated September 10, 2015, and guidance note on FATCA and CRS norms issued by the Department of Revenue.
2. The regulators are, inter alia, required to issue necessary instructions and guidelines to provide the procedure and manner of maintaining the information by the RFI In terms of rule 114G(11)(a) of Income Tax Rules,1962.
3. It is decided that the intermediaries, who are RFI, shall upload the FATCA and CRS certifications obtained from the clients onto the system of KRAs with effect from July 01, 2024, for ease of doing business and compliance reporting.
4. The existing certifications obtained from clients prior to July 01, 2024, shall be uploaded by the intermediaries onto the systems of KRAs within a period of 90 days of implementation of the circular.
5. The onus of obtaining and reporting the FATCA and CRS certification and related compliances shall lie with the respective intermediaries.
Link of the Circular:
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