09.01 – Information Required

Specified US Persons and Controlling Persons of Entity AccountsIn relation to each Specified US Person that is the holder of a Reportable Account and in relation to each Controlling Person of an Entity Account who is a Specified US Person, the information to be reported is:

  1. Name
  2. Address
  3. US TIN (where applicable)
  4. The account number or functional equivalent
  5. The name and identifying number of the Reporting Financial Institution
  6. The account balance or value as of the end of the calendar year or other appropriate period.

Account number or functional equivalent

If the Reportable Account has a unique identifying number or code, then this is what should be reported. This will include identifiers such as Bank Account Numbers and Policy numbers for insurance contracts as well as other non-traditional unique identifiers. The unique identifier should be sufficient to enable the Financial Institution to identify that Reportable Account in future.

If the Reportable Account does not have a unique identifying number or code then what should be reported is any functional equivalent. This may include non-unique identifiers that relate to a class of interests. A non-unique identifier should be sufficient to enable the Financial Institution to identify the Reportable Account held by the named account holder in future.

Exceptionally, if the Reportable Account does not have any form of identifying number or code then what should be reported is a description sufficient for the

Financial Institution to identify the Reportable Account held by the named account holder in future.

Custodial Accounts

In addition to 1 to 6 above, where the account is a Custodial Account the following information is also required in relation to the calendar year or other appropriate reporting period:

  • The total gross amount of interest paid or credited to the account
  • The total gross amount of dividends paid or credited to the account
  • The total gross amount of other income paid or credited to the account
  • The total gross proceeds from the sale or redemption of property paid or credited to the account.

Depository Accounts

In addition to 1 to 6 above, where the account is a Depository Account the following information is also required:

  • The total amount of gross interest paid or credited to the account in the calendar year or other appropriate period.

Cash Value Insurance Contracts

In addition to 1 to 5 above and if the account is still in existence at the end of the year the following information must be reported each year:

  • The annual amount reported to the policyholder as the “surrender value” of the account; or
  • The “surrender value” calculated by the Specified Insurance Company as at 31 December; and
  • Any part surrenders taken throughout the policy year.

Purchased Life Annuities (PLA’s)

As UK Purchased Life Annuities do not have a cash/surrender value, there is no account balance to report. A Specified Insurance Company will only be required to report the amount paid out or credited to the policy holder.

Deferred Annuities

In the UK, deferred annuities have two stages:

  • The accumulation phase where the product is similar to a Cash Value Insurance Contract and should be treated as such for reporting as set out above.
  • The pay-out phase where the annuity becomes a PLA and should be treated as such for reporting as set out above.

When a deferred annuity is ending its accumulation phase, some contracts provide the option for the account holder to take the surrender value of the contract, instead of converting the account into a PLA; this is the amount that should be reported.

Other accounts

In addition to 1 to 6 above, for other accounts the following information is also required:

  • The total gross amount paid or credited to the account including the aggregate amount of any redemption payments made to the account holder during the calendar year or other appropriate reporting period.

Account closures and transfers

In addition to 1 to 5 above, in the case of a Depository or Custodial Account closed or transferred in its entirety by an account holder during a calendar year the payments made with respect to the account shall be:

  • The payments and income paid or credited to the account that are described earlier in this section for Custodial, Depository and Other Accounts.
  • The amount or value withdrawn or transferred from the account in connection with the closure or transfer of the account.

In the case of a Cash Value Insurance Contract that has been fully surrendered during the calendar year the Specified Insurance Company will need to report:

  • the total amount paid out to the account holder or nominated person at the close of the account. This will include any amount of interest following maturity where the amount is awaiting payment.

In the case of a Purchased Life Annuity, if the annuitant has died or the term has ended, the Specified Insurance Company will have no further reporting requirement if the annuitant died at a time before the annual payment has been made.