On January 1, 2017, a partial revision to the Act on Special Provisions, Etc. of the Income Tax Act, the Corporation Tax Act, and the Local Tax Act Incidental to Enforcement of Tax Treaties, Etc. (hereafter the "Special Provisions Act") was enacted. As the economy is becoming increasingly globalized, the Organisation for Economic Cooperation and Development (OECD) had created Common Reporting Standards (CRS) to prevent international tax avoidance using financial accounts in foreign countries, and requires that the tax authorities of member countries exchange information about the financial accounts of non-residents in those countries. The revision of the Special Provisions Act is related to these changes.
The enactment of the revised Special Provisions Act will make it necessary to submit a Self-Certification for New Accounts when opening a new account (savings account, mutual fund general accounts, etc.) and to submit a Voluntary Notification for Preexisting Accounts / Notification of Change in Circumstances when the jurisdiction of residence changes due to an address change, or there is a change to a corporation's beneficial owner, etc. (when there is a change to the submitted information.)
- 1) Self-Certification for New Accounts
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Upon new financial account opening (e.g. savings account), the applicant will be required to submit a Self-Certification for New Accounts that includes their jurisdiction of residence for tax purposes, taxpayer ID number for that jurisdiction, etc.
In case the jurisdiction of residence is a foreign jurisdiction, indication of taxpayer identification number of the jurisdiction of residence will be required unless there are any legitimate reasons such as restriction on submitting the taxpayer identification number by law in the jurisdiction of residence, etc., so please bring it when you visit our branch.
Please note that account may not be opened if customer cannot submit the Self-Certification for New Accounts.
If the submission of the Self-Certification was done by mail and there is any information missing the form will be returned to the customer. Please check the missing items and send them back to us.
In case of online account opening*1*2, if the applicants' residency under tax law are "only in Japan and U.S.," the applicant will be asked to submit the Self-Certification for New Accounts separately by postal mail.
*1 Available for individual accounts only.
*2 Available for tax residents exclusively of Japan or exclusively of Japan and U.S.
Please note that we do not accept applications without a submission of the Self-Certification for New Accounts.
Notes
If false information is included on the Self-Certification for New Accounts or if the form is not submitted, the customer may be subject to penalties (a fine of up to 500,000 yen, or up to 6 months in prison).
- 2) Voluntary Notification for Preexisting Accounts
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Customers who have never submitted a Self-Certification for New Accounts or Notification of Change in Circumstances must submit Voluntary Notification for Preexisting Accounts when there is a change to the submitted address, or a change to a corporation's beneficial owner, etc. (when there is a change to the submitted information.) with ID documents which certify new address. Individual customers may be asked to submit Notification form of Foreign Tax Identification Number as substitute for Notification of Change in Circumstances.
- 3) Notification of Change in Circumstances
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A "Notification of Change in Circumstances" must be submitted when there is a change to the submitted address, a change to a corporation's beneficial owner, etc(when there is a change to the submitted information). However, there is no need to submit a Notification of Change in Circumstances in the following case.
- If the address change does not involve a change in the jurisdiction of residence.
- 4) Notification form of Foreign Tax Identification Number
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Individual customers who have never submitted a Self-Certification for New Accounts or Notification of Change in Circumstances may be asked to submit Notification form of Foreign Tax Identification Number as substitute for Notification of Change in Circumstances.
- *SMBC Trust Bank PRESTIA prepares "Self Certification under the "Common Reporting Standard" (Voluntary Notification or Notification of Change)," which combines the Voluntary Notification for Preexisting Accounts and Notification of Change in Circumstances forms.