Dh20,000 fine warning in UAE: Have you received this e-mail from your bank?

Dh20,000 fine warning in UAE: Have you received this e-mail from your bank?

Based on finance ministry guidelines, banks will have to report violations within 30 days after they are detected

Published: Fri 25 Aug 2023, 9:27 AM Last updated: Fri 25 Aug 2023, 9:29 AM

A major bank in the UAE has sent out an advisory to some of its customers, urging them to ensure compliance with tax transparency regulations.

In an e-mail sent out on Thursday evening with an 'Important information' subject line, Emirates NBD Bank explained the requirements under the global tax transparency initiative called Common Reporting Standard (CRS) and what customers have to do to comply.

Under the CRS — which has been set by the Organisation for Economic Cooperation and Development (OECD) — financial institutions are "required to determine where (customers) are tax resident of and to hold accurate and up-to-date information about (their) tax residency and that of controlling persons (where applicable)".

As part of regulations, bank customers have to declare their tax residency, submit supporting documents, and fill out a 'self-certification form'. Emirates NBD noted that the requirements will have to be submitted "no later than 30 days" from the date of the e-mail.

Account-holders have to ensure all information is accurate; otherwise, a Dh20,000 fine shall be imposed, the bank said.

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