PwC has the tools and skills to help Reporting Barbados Financial Institutions meet their CRS obligations and deadlines

Bridgetown, BARBADOS, March 28, 2018 – PwC has the market leading expertise to assist Reporting Barbados Financial Institutions in complying with the CRS obligations and deadlines required under the Income Tax (Automatic Exchange of Information) Regulations, 2017 (“the Regulations”).

The Regulations were enacted under Official Gazette No.42 dated May 22, 2017, but with retroactive effect from January 1, 2017. Accordingly, the first reporting year is calendar year 2017 and all Reporting Barbados Financial Institution must submit a report by July 31, 2018.

Speaking recently at the seminar hosted by the Barbados branch of the Society of Trust and Estate Practitioners (STEP) held recently, Javier Lemoine, Senior Manager, Tax and Legal Services, PwC East Caribbean, analysed the scope of the Regulations and their direct and indirect impact on Reporting Barbados Financial Institutions and corporate service providers. He also explained the practical implementation challenges for Reporting Barbados Financial Institutions and the Barbados Competent Authority.   

Joining him at the STEP seminar, Imran Ali, Senior Manager, Tax and Legal Services, PwC East Caribbean, analyzed the reporting procedure and related matters such as due diligence obligations, applicable timelines, notifications to the Competent Authority, report templates, data protection and security, enforcement procedures and applicable penalties.   

“We have the technical expertise and highly skilled resources to assist our clients with the preparation and submission of their reports, and the development of new systems to review their existing customer base and identify reportable accounts” Lemoine assured the group.

Tara Frater, Chairperson of STEP Barbados and Partner at Lex Caribbean Attorneys-at-law, expressed concern as to whether Barbados was ready to commence exchanging information by September 2018.  Frater noted in relation to the CRS deadline, “The sheer volume of information, the automated nature of the systems required and the multiple relationships to be managed with tax authorities in different languages will create unique challenges for us.  We must urgently prepare ourselves to meet this challenge, as the consequences for failure to comply in time will be dire and may include blacklisting of Barbados – which adversely affects investment into Barbados.”