Individuals

• All accounts with non Saudi Arabian residency indicators

1. Physical presence

Clients must decide depending on a set of standards defined by the reporting country should consider as a place of residence that is either owned or rented.
 

• Tax residency

Tax residency is the country in which an individual is considered resident for tax purposes.  It is important to note that the specific rules and criteria for tax residency can differ between countries. 
 

• Standing instructions to transfer money to an account outside KSA
  
  For example, if the client has standing instructions from a bank in one jurisdiction to another bank on different jurisdiction.

• Power of attorney assigned to a person whose account is outside KSA

A legal document that authorized someone else to act on the account holders’ behalf including financial transactions “reportable person based on the tax residency”.

• Hold mail / care of mail

Based on customer’s instructions, all mail communications are retained at the Bank for physical collection by a representative of the customer.

• One or more telephone numbers outside Saudi Arabia

it’s important for account holders that their contact information’s is accurate and up to date.

Entities

• Countries and jurisdictions of tax residence

• Place of registration/incorporation 

In general, an entity is considered to be a tax resident of the country where its incorporated or established.

• Controlling Person Type for certain Entity Types (for Controlling Persons)

Riyad Bank is required to identify the information of any controlling person in passive entity*

*Entities with no trading activities and receive income or dividend with greater than 50% generated from its assets including properties and shares etc.

For further reference on Common Reporting Standards (CRS), please access the link below:

https://www.oecd.org/tax/automatic-exchange/common-reporting-standard/

According to the Foreign Account Tax Compliance Act (FATCA), which was enacted as part of the HIRE Act on June 30, 2014, certain other non-financial foreign entities and foreign financial institutions are generally required to report on the foreign assets held by their U.S account holders in order to avoid having withholding taxes on withdrawable funds imposed on them.

Who’s is impacted by FATCA?

• Individuals
• Citizen or resident of the US
• A partnership or cooperation organized in USA

• Foreign financial institution (FFI).

FFI can be a bank, investment fund, insurance company or any other entity that holds financial assets or funds on behalf of others.

• Passive non-financial foreign entities (NFFE)

This classification is also known as a Passive Non-Financial Foreign Entity or Passive NFFE.
This classification covers an entity that meets the following criteria:
(i) it is not a US entity;
(ii) it is not a financial institution; and
(iii) it does not meet the criteria to be either an Excepted NFFE or an Active NFFE.

Individual

• Citizenship of the US

US person under FATCA is a Us citizen or resident individual holding green cards

• Born in the USA

If individual is born in USA, they are considered as US person under FATCA and may be subject to reporting requirement, even if they are no longer resident of USA.

• Registered power of attorney in favor of a person of US Citizen or US or a tax resident in USA

To ensure the best practice of FATCA regulations in Riyad bank we ensure that Joint filers must execute their own separate power of attorney

• Standing instruction to transfer funds to an account with US Address

• US telephone number and hold mail address or care address as the only address

Entities 

• Registered in the USA 

• Primary address is USA

• Registered power of attorney in favor of a person with a US address

• US Telephone number

• Hold mail address or care of address as the only address.

• An entity where 5% or more of the ownership rights or shares are held by US Person.

For further reference on Foreign Account Tax Compliance Act (FATCA), please access the link below:

https://www.irs.gov/businesses/corporations/foreign-account-tax-compliance-act-fatca


What information is Riyad bank expected to provide for the regulator?
Name, full address, Tax Identification Number (‘TIN’) or equivalent or Social Security Number (‘SSN’) or its equivalent and jurisdiction(s) of residence for tax purposes, account balance, total of balance of gross interest / dividend and date of birth in case of individual etc.

FATCA and CRS Self-Certification Form
Foreign Account Tax Compliance Act (“FATCA”) and Common Reporting Standard (“CRS”) regulations require financial institutions like us to collect and report information about where our customers are tax resident.  The self-certification form is a mandatory form that is used by Customers to self-declare information on their tax residency.

•  Self-Certification Form (For ENTITIES)

• Self-Certification for Individuals