On the 1st of January 2016 legislation to implement the CRS rules came into effect.
Premier and Minister of Finance, Dr. the Honourable D. Orlando Smith, OBE, said last year that the Common Reporting Standard (CRS) has become the standard for automatic exchange of financial account information in tax matters and this standard is the means by which tax authorities can share relevant data in relation to financial assets held by their tax payers around the world
The BVI tax authority has now clarified that Financial Institutions (FIs) will be required to notify that they will have reporting obligations for the 2016 reporting year by 30 April 2017, rather than 30 April 2016 as previously stated. Reporting FIs will then be required to make their returns by 31 May 2017, as previously advised. The welcome adjustment will provide FIs with more time to put the necessary compliance processes in place. The method of notification will be confirmed by the BVI tax authority by the end of 2016
Given the extent of planning required we welcome the delay in the implementation of CRS. It also gives the BVI time to see how the implementation is being phased in elsewhere.