Foreign Account Tax Compliance Act (FATCA) is a U.S. tax law which requires financial institutions outside the U.S. (foreign financial institutions (FFI)) to report information on financial accounts held by U.S. taxpayers to the internal Revenue Service (IRS) in the U.S., as a means to prevent offshore tax evasion. The Netherlands-United States (US) Intergovernmental Agreement (IGA) was signed on 18 December 2013 to improve tax transparency and to implement the FATCA.

The Common Reporting Standard (CRS) is a global FATCA-like regime, which was issued by the Organisation for Economic Co-operation and Development (OECD) on 21 July 2014 and is aimed at preventing off-shore tax evasion and maintaining the integrity of tax systems. Jurisdictions participating in the CRS commit to implement rules which facilitate the exchange of information about the tax residents of other participating jurisdictions that hold financial accounts with financial institutions of the first jurisdiction.

FATCA and CRS require financial institutions such as MUFG Bank Europe N.V. and all branches and subsidiaries of MUFG Bank Europe N.V. to collect and report tax related information about its clients (Account Holders) and their accounts held. If the Account Holder or any of its Controlling Persons have a tax residence outside the country where the account is held or is a U.S. Person, MUFG may be legally obligated to pass on the information provided in this form, as well as other financial information with respect to any Financial Account held with our institution to the local tax authorities, for transmission to the relevant competent foreign tax authorities pursuant to intergovernmental/multilateral agreements.

For more detail, please see the Question and Answers document.