The Inland Revenue Authority of Singapore (IRAS) has issued a critical deadline reminder for financial institutions regarding Common Reporting Standard (CRS) compliance. Entities that qualified as Reporting Singapore Financial Institutions (SGFIs) during the 2024 calendar year must complete their CRS registration by 31 March 2025.
Who Must Register
Registration is mandatory for entities meeting the CRS definition of a Financial Institution (FI) and falling into one of the following categories:
- Custodial Institutions
- Depository Institutions
- Investment Entities
- Specified Insurance Companies
Furthermore, these entities must be either:
- Tax residents of Singapore, or
- A Singapore branch of a foreign financial institution (that is not a Singapore tax resident).
Key Deadlines
- Registration: Qualifying entities established as Reporting SGFIs in 2024 must register via the IRAS portal by 31 March 2025.
- Reporting: Registered Reporting SGFIs are required to submit their detailed CRS information report covering calendar year 2024 to IRAS by 31 May 2025.
The CRS Context
The Common Reporting Standard (CRS) is an internationally agreed standard for the automatic exchange of financial account information between tax jurisdictions. Its primary aim is to combat tax evasion. Reporting SGFIs play a crucial role by collecting and reporting specified financial account information held by non-residents to IRAS, which is then exchanged with the account holders’ jurisdictions of tax residence.
Action Required
Financial institutions operating in Singapore should immediately review their activities and structure for the year 2024 to confirm if they meet the Reporting SGFI criteria. Entities confirming their status must prioritize registration before the March 31st deadline to avoid potential penalties for non-compliance.
Source: IRAS, 21 February 2025.