A pre-existing entity account is a Reportable Account where the review procedures identify the account as held by one or more entities that are Reportable Persons (AEIM105000) or which are passive NFEs with one or more Controlling Persons that are Reportable Persons.
For example, the XYZ Partnership is a passive NFE resident in the UK. It has three individuals who are identified as Controlling Persons of the partnership. Two of these are UK tax resident, but the third is tax resident in France which is a Reportable Jurisdiction. As a result, any accounts held by the partnership with a UK financial institution will be Reportable Accounts by virtue of the entity having a Controlling Person that is a Reportable Person.