Common Reporting Standard goes into force

You may remember me reporting that the Common Reporting Standard, an internationally agreed tax reporting mechanism, has now fallen into place and that sharing of financial information has started, retroactively to 1st January 2016.

 

Well here is an extract from recent correspondence from a large financial firm with whom we work: 

'The first CRS reporting will take place as at 31st December 2016, with full reports from Financial Institutions to the tax authorities the following May to July. 

We must write to all our existing customers asking them for their tax residency and tax identification number (TIN). We will also advise them that specific financial information will be reported, and that this information may be transferred to the Government of another country when legally obliged to do so. 

These letters will be sent from late September until November 2016 and there will be a follow up letter to non-responders in mid-2017'

As I have always said: "Get your house in order now". Theoretically, if you have not already done so, you are in the firing line already, but there is still time to plan your finances properly.

CANONE RAI

I have no idea what is going on in Renzi's head, but I can only imagine that the recent decision to pay the RAI CANONE through the electricity bill has generated so much revenue for RAI that they now feel that they can reduce the cost.

This is exactly what they are proposing for 2017.  

The RAI CANONE will fall from €100 to €90.