103360 – Due Diligence: Entity Accounts: Pre-Existing Accounts: Review Procedure for Account Holders: Self-Certification as a Financial Institution

The financial institution may request the Account Holder entity to include its status in the self-certification as either a financial institution or an NFE. When requesting this information from an Account Holder, the financial institution is expected to provide the Account Holder with sufficient information to enable it to determine its status.

If the Account Holder entity falls within the definition of a financial institution then where it is a financial institution, wherever resident for DAC/CRS or CDOT reporting or a UK or partner jurisdiction financial institution for FATCA reporting, no further review, identification or reporting will normally be required.

The exception to this under the FATCA regime is where there is significant non-compliance by the financial institution that has not been rectified. In such circumstances the entity will be classified as a non-participating financial institution.

Where the financial institution is a non-participating financial institution for FATCA, then reports on certain payments made to such entities will be required.

The exception to this under the DAC/CRS regime is where the financial institution is a managed investment entity resident in a jurisdiction that is not a Participating Jurisdiction. In that case, the entity is deemed to be a passive NFE for reporting purposes.

When seeking a self-certification from an entity the categories that may be recorded for a financial institution

1. An investment entity as described in subparagraph A(6)(b) of Section VIII of the DAC/CRS (a managed investment entity).

2. Financial institution other than in 1 above.

For FATCA purposes they are:

1. Participating financial institution.

2. Non-participating financial institution.

There is no need to differentiate between types of financial institution for CDOT purposes.