11060/26 ADD 1

ECOFIN.2.B EN

Council of the European Union

Brussels, 24 June 2026 (OR. en)

11060/26 ADD 1

FISC 235 ECOFIN 895

Interinstitutional File: 2026/0168 (CNS)

COVER NOTE

From: Secretary-General of the European Commission, signed by Ms Martine DEPREZ, Director

date of receipt: 24 June 2026

To: Ms Thérèse BLANCHET, Secretary-General of the Council of the European Union

No. Cion doc.: COM(2026) 308 annex

Subject: ANNEXES to the Proposal for a COUNCIL DIRECTIVE on administrative cooperation in the field of taxation (recast)

EN EN

EUROPEAN COMMISSION

Brussels, 24.6.2026

COM(2026) 308 final

ANNEXES 1 to 9

ANNEXES

to the

Proposal for a COUNCIL DIRECTIVE

on administrative cooperation in the field of taxation

(recast)

{SEC(2026) 186 final} - {SWD(2026) 164 final} - {SWD(2026) 165 final} -

{SWD(2026) 166 final}

EN 1 EN

 2014/107/EU Art. 1.6 and

Annex (adapted)

ANNEX I

REPORTING AND DUE DILIGENCE RULES FOR FINANCIAL ACCOUNT

INFORMATION

This Annex lays down the reporting and due diligence rules that have to be applied by

Reporting Financial Institutions in order to enable the Member States to communicate, by

automatic exchange, the information referred to in Article  5  8(3a) of this Directive.

This Annex also describes the rules and administrative procedures that Member States shall

have in place to ensure effective implementation of, and compliance with, the reporting and

due diligence procedures set out below.

SECTION I

GENERAL REPORTING REQUIREMENTS

 2023/2226 Art. 1.17 and Annex

I.1(a)

A. Subject to paragraphs C to F, each Reporting Financial Institution shall report

to the competent authority of its Member State with respect to each Reportable

Account of such Reporting Financial Institution:

1. the following information:

(a) the name, address, Member State(s) of residence, TIN(s) and

date and place of birth (in the case of an individual) of each Reportable

Person that is an Account Holder of the account and whether the Account

Holder has provided a valid self-certification;

(b) in the case of any Entity that is an Account Holder and that,

after application of the due diligence procedures consistent with Sections

V, VI and VII, is identified as having one or more Controlling Persons

that is a Reportable Person, the name, address, Member State(s) and (if

any) other jurisdiction(s) of residence and TIN(s) of the Entity and the

name, address, Member State(s) of residence, TIN(s) and date and place

of birth of each Reportable Person, as well as the role(s) by virtue of

which each Reportable Person is a Controlling Person of the Entity and

whether a valid self-certification has been provided for each Reportable

Person;

(c) whether the account is a joint account, including the number of

joint Account Holders;

2. the account number (or functional equivalent in the absence of an

account number), the type of account and whether the account is a Pre-existing

Account or a New Account;

EN 2 EN

 2014/107/EU Art. 1.6 and

Annex

3. the name and identifying number (if any) of the Reporting Financial

Institution;

4. the account balance or value (including, in the case of a Cash Value

Insurance Contract or Annuity Contract, the Cash Value or surrender value) as

of the end of the relevant calendar year or other appropriate reporting period or,

if the account was closed during such year or period, the closure of the

account;

5. in the case of any Custodial Account:

(a) the total gross amount of interest, the total gross amount of

dividends, and the total gross amount of other income generated with

respect to the assets held in the account, in each case paid or credited to

the account (or with respect to the account) during the calendar year or

other appropriate reporting period; and

(b) the total gross proceeds from the sale or redemption of

Financial Assets paid or credited to the account during the calendar year

or other appropriate reporting period with respect to which the Reporting

Financial Institution acted as a custodian, broker, nominee, or otherwise

as an agent for the Account Holder;

 2023/2226 Art. 1.17 and Annex

I.1(a)

6. in the case of any Depository Account, the total gross amount of

interest paid or credited to the account during the calendar year or other

appropriate reporting period;

 2023/2226 Art. 1.17 and Annex

I.1(a)

76a. in the case of any Equity Interest held in an Investment Entity that is a

legal arrangement, the role(s) by virtue of which the Reportable Person is an

Equity Interest holder; and

 2014/107/EU Art. 1.6 and

Annex

87. in the case of any account not described in subparagraph A(5) or (6),

the total gross amount paid or credited to the Account Holder with respect to

the account during the calendar year or other appropriate reporting period with

respect to which the Reporting Financial Institution is the obligor or debtor,

including the aggregate amount of any redemption payments made to the

Account Holder during the calendar year or other appropriate reporting period.

B. The information reported must identify the currency in which each amount is

denominated.

EN 3 EN

 2023/2226 Art. 1.17 and Annex

I.1(b)

C. Notwithstanding subparagraph A(1), with respect to each Reportable Account

that is a Pre-existing Account, the TIN(s) or date of birth is not required to be

reported if such TIN(s) or date of birth is not in the records of the Reporting

Financial Institution and is not otherwise required to be collected by such Reporting

Financial Institution under domestic law or any Union legal instrument. However, a

Reporting Financial Institution is required to use reasonable efforts to obtain the

TIN(s) and date of birth with respect to Pre-existing Accounts by the end of the

second calendar year following the year in which Pre-existing Accounts were

identified as Reportable Accounts and whenever it is required to update the

information relating to the Pre-existing Account pursuant to domestic anti-money

laundering legislation and “know-your-customer” (AML/KYC) Procedures.

 2014/107/EU Art. 1.6 and

Annex

D. Notwithstanding subparagraph A(1), the TIN is not required to be reported if a

TIN is not issued by the relevant Member State or other jurisdiction of residence.

E. Notwithstanding subparagraph A(1), the place of birth is not required to be

reported unless:

(1) the Reporting Financial Institution is otherwise required to obtain and

report it under domestic law or the Reporting Financial Institution is or has

been otherwise required to obtain and report it under any Union legal

instrument in effect or that was in effect on 5 January 2015; and

(2) it is available in the electronically searchable data maintained by the

Reporting Financial Institution.

 2023/2226 Art. 1.17 and Annex

I.1(c) (adapted)

F. Notwithstanding subparagraph A(5), point (b), and unless the Reporting

Financial Institution elects otherwise with respect to any clearly identified group of

accounts, the gross proceeds from the sale or redemption of a Financial Asset are not

required to be reported to the extent such gross proceeds from the sale or redemption

of such Financial Asset are reported by the Reporting Financial Institution in

accordance with Article  12  8ad.

 2014/107/EU Art. 1.6 and

Annex (adapted)

SECTION II

GENERAL DUE DILIGENCE REQUIREMENTS

A. An account is treated as a Reportable Account beginning as of the date it is

identified as such pursuant to the due diligence procedures in Sections II tothrough

EN 4 EN

VII and, unless otherwise provided, information with respect to a Reportable

Account must be reported annually in the calendar year following the year to which

the information relates.

B. The balance or value of an account is determined as of the last day of the

calendar year or other appropriate reporting period.

C. Where a balance or value threshold is to be determined as of the last day of a

calendar year, the relevant balance or value must be determined as of the last day of

the reporting period that ends with or within that calendar year.

D. Each Member State may allow Reporting Financial Institutions to use service

providers to fulfil the reporting and due diligence obligations imposed on such

Reporting Financial Institutions, as contemplated in domestic law, but these

obligations shall remain the responsibility of the Reporting Financial Institutions.

E. Each Member State may allow Reporting Financial Institutions to apply the

due diligence procedures for New Accounts to Pre-existing Accounts, and the due

diligence procedures for High Value Accounts to Lower Value Accounts. Where a

Member State allows New Account due diligence procedures to be used for Pre-

existing Accounts, the rules otherwise applicable to Pre-existing Accounts continue

to apply.

SECTION III

DUE DILIGENCE FOR PRE-EXISTING INDIVIDUAL ACCOUNTS

A. Introduction. The following procedures apply for purposes of identifying

Reportable Accounts among Pre-existing Individual Accounts.

B. Lower Value Accounts. The following procedures apply with respect to Lower

Value Accounts.

1. Residence Address. If the Reporting Financial Institution has in its

records a current residence address for the individual Account Holder based on

Documentary Evidence, the Reporting Financial Institution may treat the

individual Account Holder as being a resident for tax purposes of the Member

State or other jurisdiction in which the address is located for purposes of

determining whether such individual Account Holder is a Reportable Person.

2. Electronic Record Search. If the Reporting Financial Institution does

not rely on a current residence address for the individual Account Holder based

on Documentary Evidence as set forth in subparagraph B(1), the Reporting

Financial Institution must review electronically searchable data maintained by

the Reporting Financial Institution for any of the following indicia and apply

subparagraphs B(3) to (6):

(a) identification of the Account Holder as a resident of a Member

State;

(b) current mailing or residence address (including a post office

box) in a Member State;

(c) one or more telephone numbers in a Member State and no

telephone number in the Member State of the Reporting Financial

Institution;

EN 5 EN

(d) standing instructions (other than with respect to a Depository

Account) to transfer funds to an account maintained in a Member State;

(e) currently effective power of attorney or signatory authority

granted to a person with an address in a Member State; or

(f) a ‘hold mail’ instruction or ‘in-care-of’ address in a Member

State if the Reporting Financial Institution does not have any other

address on file for the Account Holder.

3. If none of the indicia listed in subparagraph B(2) are discovered in the

electronic search, then no further action is required until there is a change in

circumstances that results in one or more indicia being associated with the

account, or the account becomes a High Value Account.

4. If any of the indicia listed in subparagraph B(2)(a) tothrough (e) are

discovered in the electronic search, or if there is a change in circumstances that

results in one or more indicia being associated with the account, then the

Reporting Financial Institution must treat the Account Holder as a resident for

tax purposes of each Member State for which an indicium is identified, unless

it elects to apply subparagraph B(6) and one of the exceptions in that

subparagraph applies with respect to that account.

5. If a ‘hold mail’ instruction or ‘in-care-of’ address is discovered in the

electronic search and no other address and none of the other indicia listed in

subparagraph B(2)(a) tothrough (e) are identified for the Account Holder, the

Reporting Financial Institution must, in the order most appropriate to the

circumstances, apply the paper record search described in subparagraph C(2),

or seek to obtain from the Account Holder a self-certification or Documentary

Evidence to establish the residence(s) for tax purposes of such Account Holder.

If the paper search fails to establish an indicium and the attempt to obtain the

self-certification or Documentary Evidence is not successful, the Reporting

Financial Institution must report the account to the competent authority of its

Member State as an undocumented account.

6. Notwithstanding a finding of indicia under subparagraph B(2), a

Reporting Financial Institution is not required to treat an Account Holder as a

resident of a Member State if:

(a) the Account Holder information contains a current mailing or

residence address in that Member State, one or more telephone numbers

in that Member State (and no telephone number in the Member State of

the Reporting Financial Institution) or standing instructions (with respect

to Financial Accounts other than Depository Accounts) to transfer funds

to an account maintained in a Member State, and the Reporting Financial

Institution obtains, or has previously reviewed and maintains, a record of:

(i) a self-certification from the Account Holder of the Member

State(s) or other jurisdiction(s) of residence of such Account

Holder that does not include that Member State; and

(ii) Documentary Evidence establishing the Account Holder's non-

reportable status;

(b) the Account Holder information contains a currently effective

power of attorney or signatory authority granted to a person with an

EN 6 EN

address in that Member State, and the Reporting Financial Institution

obtains, or has previously reviewed and maintains, a record of:

(i) a self-certification from the Account Holder of the Member

State(s) or other jurisdiction(s) of residence of such Account

Holder that does not include that Member State; or

(ii) Documentary Evidence establishing the Account Holder's non-

reportable status.

C. Enhanced Review Procedures for High Value Accounts. The following

enhanced review procedures apply with respect to High Value Accounts.

1. Electronic Record search. With respect to High Value Accounts, the

Reporting Financial Institution must review electronically searchable data

maintained by the Reporting Financial Institution for any of the indicia

described in subparagraph B(2).

2. Paper Record Search. If the Reporting Financial Institution's

electronically searchable databases include fields for, and capture all of the

information described in subparagraph C(3), then a further paper record search

is not required. If the electronic databases do not capture all of this

information, then with respect to a High Value Account, the Reporting

Financial Institution must also review the current customer master file and, to

the extent not contained in the current customer master file, the following

documents associated with the account and obtained by the Reporting Financial

Institution within the last five years for any of the indicia described in

subparagraph B(2):

(a) the most recent Documentary Evidence collected with respect to

the account;

(b) the most recent account opening contract or documentation;

(c) the most recent documentation obtained by the Reporting

Financial Institution pursuant to AML/KYC Procedures or for other

regulatory purposes;

(d) any power of attorney or signature authority forms currently in

effect; and

(e) any standing instructions (other than with respect to a

Depository Account) to transfer funds currently in effect.

3. Exception To The Extent Databases Contain Sufficient Information. A

Reporting Financial Institution is not required to perform the paper record

search described in subparagraph C(2) to the extent the Reporting Financial

Institution's electronically searchable information includes the following:

(a) the Account Holder's residence status;

(b) the Account Holder's residence address and mailing address

currently on file with the Reporting Financial Institution;

(c) the Account Holder's telephone number(s) currently on file, if

any, with the Reporting Financial Institution;

(d) in the case of Financial Accounts other than Depository

Accounts, whether there are standing instructions to transfer funds in the

EN 7 EN

account to another account (including an account at another branch of the

Reporting Financial Institution or another Financial Institution);

(e) whether there is a current ‘in-care-of’ address or ‘hold mail’

instruction for the Account Holder; and

(f) whether there is any power of attorney or signatory authority for

the account.

4. Relationship Manager Inquiry for Actual Knowledge. In addition to the

electronic and paper record searches described in subparagraphs C(1) and (2),

the Reporting Financial Institution must treat as a Reportable Account any

High Value Account assigned to a relationship manager (including any

Financial Accounts aggregated with that High Value Account) if the

relationship manager has actual knowledge that the Account Holder is a

Reportable Person.

5. Effect of Finding Indicia.

(a) If none of the indicia listed in subparagraph B(2) are discovered

in the enhanced review of High Value Accounts described in paragraph

C, and the account is not identified as held by a Reportable Person in

subparagraph C(4), then further action is not required until there is a

change in circumstances that results in one or more indicia being

associated with the account.

(b) If any of the indicia listed in subparagraphs B(2)(a) tothrough

(e) are discovered in the enhanced review of High Value Accounts

described in paragraph C, or if there is a subsequent change in

circumstances that results in one or more indicia being associated with

the account, then the Reporting Financial Institution must treat the

account as a Reportable Account with respect to each Member State for

which an indicium is identified unless it elects to apply subparagraph

B(6) and one of the exceptions in that subparagraph applies with respect

to that account.

(c) If a ‘hold mail’ instruction or ‘in-care-of’ address is discovered

in the enhanced review of High Value Accounts described in paragraph

C, and no other address and none of the other indicia listed in

subparagraphs B(2)(a) tothrough (e) are identified for the Account

Holder, the Reporting Financial Institution must obtain from such

Account Holder a self-certification or Documentary Evidence to establish

the residence(s) for tax purposes of the Account Holder. If the Reporting

Financial Institution cannot obtain such self-certification or Documentary

Evidence, it must report the account to the competent authority of its

Member State as an undocumented account.

6. If a Pre-existing Individual Account is not a High Value Account as of

31 December 2015, but becomes a High Value Account as of the last day of a

subsequent calendar year, the Reporting Financial Institution must complete

the enhanced review procedures described in paragraph C with respect to such

account within the calendar year following the year in which the account

becomes a High Value Account. If based on this review such account is

identified as a Reportable Account, the Reporting Financial Institution must

report the required information about such account with respect to the year in

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which it is identified as a Reportable Account and subsequent years on an

annual basis, unless the Account Holder ceases to be a Reportable Person.

7. Once a Reporting Financial Institution applies the enhanced review

procedures described in paragraph C to a High Value Account, the Reporting

Financial Institution is not required to reapply such procedures, other than the

relationship manager inquiry described in subparagraph C(4), to the same High

Value Account in any subsequent year unless the account is undocumented

where the Reporting Financial Institution should reapply them annually until

such account ceases to be undocumented.

8. If there is a change of circumstances with respect to a High Value

Account that results in one or more indicia described in subparagraph B(2)

being associated with the account, then the Reporting Financial Institution

must treat the account as a Reportable Account with respect to each Member

State for which an indicium is identified unless it elects to apply subparagraph

B(6) and one of the exceptions in that subparagraph applies with respect to that

account.

9. A Reporting Financial Institution must implement procedures to ensure

that a relationship manager identifies any change in circumstances of an

account. For example, if a relationship manager is notified that the Account

Holder has a new mailing address in a Member State, the Reporting Financial

Institution is required to treat the new address as a change in circumstances

and, if it elects to apply subparagraph B(6), is required to obtain the

appropriate documentation from the Account Holder.

D. Review of Pre-existing High Value Individual Accounts must be completed by

31 December 2016. Review of Pre-existing Lower Value Individual Accounts must

be completed by 31 December 2017.

DE. Any Pre-existing Individual Account that has been identified as a Reportable

Account under this Section must be treated as a Reportable Account in all subsequent

years, unless the Account Holder ceases to be a Reportable Person.

SECTION IV

DUE DILIGENCE FOR NEW INDIVIDUAL ACCOUNTS

The following procedures apply for purposes of identifying Reportable Accounts among New

Individual Accounts.

A. With respect to New Individual Accounts, upon account opening, the

Reporting Financial Institution must obtain a self-certification, which may be part of

the account opening documentation, that allows the Reporting Financial Institution to

determine the Account Holder's residence(s) for tax purposes and confirm the

reasonableness of such self-certification based on the information obtained by the

Reporting Financial Institution in connection with the opening of the account,

including any documentation collected pursuant to AML/KYC Procedures.

B. If the self-certification establishes that the Account Holder is resident for tax

purposes in a Member State, the Reporting Financial Institution must treat the

account as a Reportable Account and the self-certification must also include the

Account Holder's TIN with respect to such Member State (subject to  Section

I,  paragraph D of Section I) and date of birth.

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C. If there is a change of circumstances with respect to a New Individual Account

that causes the Reporting Financial Institution to know, or have reason to know, that

the original self-certification is incorrect or unreliable, the Reporting Financial

Institution cannot rely on the original self-certification and must obtain a valid self-

certification that establishes the residence(s) for tax purposes of the Account Holder.

SECTION V

DUE DILIGENCE FOR PRE-EXISTING ENTITY ACCOUNTS

The following procedures apply for purposes of identifying Reportable Accounts among Pre-

existing Entity Accounts.

A. Entity Accounts Not Required to Be Reviewed, Identified or Reported. Unless

the Reporting Financial Institution elects otherwise, either with respect to all Pre-

existing Entity Accounts or, separately, with respect to any clearly identified group

of such accounts, a Pre-existing Entity Account with an aggregate account balance or

value that does not exceed, as of 31 December 2015, an amount denominated in the

domestic currency of each Member State that corresponds to USD 250000, is not

required to be reviewed, identified, or reported as a Reportable Account until the

aggregate account balance or value exceeds that amount as of the last day of any

subsequent calendar year.

B. Entity Accounts Subject to Review. A Pre-existing Entity Account that has an

aggregate account balance or value that exceeds, as of 31 December 2015, an amount

denominated in the domestic currency of each Member State that corresponds to

USD 250000, and a Pre-existing Entity Account that does not exceed, as of 31

December 2015, that amount but the aggregate account balance or value of which

exceeds such amount as of the last day of any subsequent calendar year, must be

reviewed in accordance with the procedures set forth in paragraph D.

C. Entity Accounts With Respect to Which Reporting Is Required. With respect

to Pre-existing Entity Accounts described in paragraph B, only accounts that are held

by one or more Entities that are Reportable Persons, or by Passive non-financial

entities (NFEs) with one or more Controlling Persons who are Reportable Persons,

shall be treated as Reportable Accounts.

D. Review Procedures for Identifying Entity Accounts With Respect to Which

Reporting Is Required. For Pre-existing Entity Accounts described in paragraph B, a

Reporting Financial Institution must apply the following review procedures to

determine whether the account is held by one or more Reportable Persons, or by

Passive NFEs with one or more Controlling Persons who are Reportable Persons:

1. Determine Whether the Entity Is a Reportable Person.

(a) Review information maintained for regulatory or customer

relationship purposes (including information collected pursuant to

AML/KYC Procedures) to determine whether the information indicates

that the Account Holder is resident in a Member State. For this purpose,

information indicating that the Account Holder is resident in a Member

State includes a place of incorporation or organisation, or an address in a

Member State.

(b) If the information indicates that the Account Holder is resident

in a Member State, the Reporting Financial Institution must treat the

EN 10 EN

account as a Reportable Account unless it obtains a self-certification

from the Account Holder, or reasonably determines based on information

in its possession or that is publicly available, that the Account Holder is

not a Reportable Person.

2. Determine Whether the Entity is a Passive NFE with One or More

Controlling Persons who are Reportable Persons. With respect to an Account

Holder of a Pre-existing Entity Account (including an Entity that is a

Reportable Person), the Reporting Financial Institution must determine

whether the Account Holder is a Passive NFE with one or more Controlling

Persons who are Reportable Persons. If any of the Controlling Persons of a

Passive NFE is a Reportable Person, then the account must be treated as a

Reportable Account. In making these determinations the Reporting Financial

Institution must follow the guidance in subparagraphs D(2)(a)  , (b) and 

through (c) in the order most appropriate under the circumstances.

(a) Determining whether the Account Holder is a Passive NFE. For

purposes of determining whether the Account Holder is a Passive NFE,

the Reporting Financial Institution must obtain a self-certification from

the Account Holder to establish its status, unless it has information in its

possession or that is publicly available, based on which it can reasonably

determine that the Account Holder is an Active NFE or a Financial

Institution other than an Investment Entity described in subparagraph

A(6)(b) of Section VIII  , subparagraph A(6)(b)  that is not a

Participating Jurisdiction Financial Institution.

(b) Determining the Controlling Persons of an Account Holder. For

the purposes of determining the Controlling Persons of an Account

Holder, a Reporting Financial Institution may rely on information

collected and maintained pursuant to AML/KYC Procedures.

(c) Determining whether a Controlling Person of a Passive NFE is

a Reportable Person. For the purposes of determining whether a

Controlling Person of a Passive NFE is a Reportable Person, a Reporting

Financial Institution may rely on:

(i) information collected and maintained pursuant to AML/KYC

Procedures in the case of a Pre-existing Entity Account held by one

or more NFEs with an aggregate account balance or value that does

not exceed an amount denominated in the domestic currency of

each Member State that corresponds to USD 1000000; or

(ii) a self-certification from the Account Holder or such Controlling

Person of the Member State(s) or other jurisdiction(s) in which the

controlling person is resident for tax purposes.

E. Timing of Review and Additional Procedures Applicable to Pre-existing Entity

Accounts

1. Review of Pre-existing Entity Accounts with an aggregate account

balance or value that exceeds, as of 31 December 2015, an amount

denominated in the domestic currency of each Member State that corresponds

to USD 250000, must be completed by 31 December 2017.

2. Review of Pre-existing Entity Accounts with an aggregate account

balance or value that does not exceed, as of 31 December 2015, an amount

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denominated in the domestic currency of each Member State that corresponds

to USD 250000 but exceeds that amount as of 31 December of a subsequent

year, must be completed within the calendar year following the year in which

the aggregate account balance or value exceeds such amount.

3. If there is a change of circumstances with respect to a Pre-existing

Entity Account that causes the Reporting Financial Institution to know, or have

reason to know, that the self-certification or other documentation associated

with an account is incorrect or unreliable, the Reporting Financial Institution

must re-determine the status of the account in accordance with the procedures

set forth in paragraph D.

SECTION VI

DUE DILIGENCE FOR NEW ENTITY ACCOUNTS

The following procedures apply for purposes of identifying Reportable Accounts among New

Entity Accounts.

Review Procedures for Identifying Entity Accounts With Respect to Which Reporting Is

Required. For New Entity Accounts, a Reporting Financial Institution must apply the

following review procedures to determine whether the account is held by one or more

Reportable Persons, or by Passive NFEs with one or more Controlling Persons who are

Reportable Persons:

1. Determine Whether the Entity Is a Reportable Person.

(a) Obtain a self-certification, which may be part of the account opening

documentation, that allows the Reporting Financial Institution to determine the

Account Holder's residence(s) for tax purposes and confirm the reasonableness

of such self-certification based on the information obtained by the Reporting

Financial Institution in connection with the opening of the account, including

any documentation collected pursuant to AML/KYC Procedures. If the Entity

certifies that it has no residence for tax purposes, the Reporting Financial

Institution may rely on the address of the principal office of the Entity to

determine the residence of the Account Holder.

(b) If the self-certification indicates that the Account Holder is resident in a

Member State, the Reporting Financial Institution must treat the account as a

Reportable Account, unless it reasonably determines based on information in

its possession or that is publicly available that the Account Holder is not a

Reportable Person with respect to such Member State.

2. Determine Whether the Entity is a Passive NFE with One or More Controlling

Persons Who Are Reportable Persons. With respect to an Account Holder of a New

Entity Account (including an Entity that is a Reportable Person), the Reporting

Financial Institution must determine whether the Account Holder is a Passive NFE

with one or more Controlling Persons who are Reportable Persons. If any of the

Controlling Persons of a Passive NFE is a Reportable Person, then the account must

be treated as a Reportable Account. In making these determinations the Reporting

Financial Institution must follow the guidance in subparagraphs A(2)(a)  , (b)

and  through (c) in the order most appropriate under the circumstances.

(a) Determining whether the Account Holder is a Passive NFE. For

purposes of determining whether the Account Holder is a Passive NFE, the

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Reporting Financial Institution must rely on a self-certification from the

Account Holder to establish its status, unless it has information in its

possession or that is publicly available, based on which it can reasonably

determine that the Account Holder is an Active NFE or a Financial Institution

other than an Investment Entity described in subparagraph A(6)(b) of Section

VIII  , subparagraph A(6)(b)  that is not a Participating Jurisdiction

Financial Institution.

 2023/2226 Art. 1.17 and Annex

I.2 (adapted)

(b) Determining the Controlling Persons of an Account Holder. For the

purpose of determining the Controlling Persons of an Account Holder, a

Reporting Financial Institution may rely on information collected and

maintained pursuant to AML/KYC Procedures, provided that such procedures

are consistent with the Directive (EU)  Regulation (EU) 2024/1624 

2015/849. If the Reporting Financial Institution is not legally required to

apply AML/KYC Procedures that are consistent with the Directive

(EU)  Regulation (EU)2024/1624  2015/849, it shall apply substantially

similar procedures for the purpose of determining the Controlling Persons.

 2014/107/EU Art. 1.6 and

Annex

(c) Determining whether a Controlling Person of a Passive NFE is a

Reportable Person. For purposes of determining whether a controlling person

of a Passive NFE is a Reportable Person, a Reporting Financial Institution may

rely on a self-certification from the Account Holder or such Controlling

Person.

SECTION VII

SPECIAL DUE DILIGENCE RULES

The following additional rules apply in implementing the due diligence procedures described

above:

A. Reliance on Self-Certifications and Documentary Evidence. A Reporting

Financial Institution may not rely on a self-certification or Documentary Evidence if

the Reporting Financial Institution knows or has reason to know that the self-

certification or Documentary Evidence is incorrect or unreliable.

 2023/2226 Art. 1.17 and Annex

I.3

BAa. Temporary lack of self-certification. In exceptional circumstances where a

self-certification cannot be obtained by a Reporting Financial Institution in respect of

a New Account in time to meet its due diligence and reporting obligations with

respect to the reporting period during which the account was opened, the Reporting

Financial Institution shall apply the due diligence procedures for Pre-existing

Accounts, until such self-certification is obtained and validated.

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 2014/107/EU Art. 1.6 and

Annex (adapted)

CB. Alternative Procedures for Financial Accounts held by Individual Beneficiaries

of a Cash Value Insurance Contract or an Annuity Contract and for a Group Cash

Value Insurance Contract or Group Annuity Contract. A Reporting Financial

Institution may presume that an individual beneficiary (other than the owner) of a

Cash Value Insurance Contract or an Annuity Contract receiving a death benefit is

not a Reportable Person and may treat such Financial Account as other than a

Reportable Account unless the Reporting Financial Institution has actual knowledge,

or reason to know, that the beneficiary is a Reportable Person. A Reporting Financial

Institution has reason to know that a beneficiary of a Cash Value Insurance Contract

or an Annuity Contract is a Reportable Person if the information collected by the

Reporting Financial Institution and associated with the beneficiary contains indicia

as described in paragraph B of Section III  , paragraph B  . If a Reporting

Financial Institution has actual knowledge, or reason to know, that the beneficiary is

a Reportable Person, the Reporting Financial Institution must follow the procedures

in paragraph B of Section III  , paragraph B  .

A Reporting Financial Institution may treat a Financial Account that is a member's

interest in a Group Cash Value Insurance Contract or Group Annuity Contract as a

Financial Account that is not a Reportable Account until the date on which an

amount is payable to the employee/certificate holder or beneficiary, if the Financial

Account that is a member's interest in a Group Cash Value Insurance Contract or

Group Annuity Contract meets the following requirements:

(i) the Group Cash Value Insurance Contract or Group Annuity Contract is

issued to an employer and covers 25 or more employees/certificate holders;

(ii) the employee/certificate holders are entitled to receive any contract

value related to their interests and to name beneficiaries for the benefit payable

upon the employee's death; and

(iii) the aggregate amount payable to any employee/certificate holder or

beneficiary does not exceed an amount denominated in the domestic currency

of each Member State that corresponds to USD 1000000.

The term ‘Group Cash Value Insurance Contract’ means a Cash Value Insurance

Contract that (i) provides coverage on individuals who are affiliated through an

employer, trade association, labour union, or other association or group; and (ii)

charges a premium for each member of the group (or member of a class within the

group) that is determined without regard to the individual health characteristics other

than age, gender, and smoking habits of the member (or class of members) of the

group.

The term ‘Group Annuity Contract’ means an Annuity Contract under which the

obligees are individuals who are affiliated through an employer, trade association,

labour union, or other association or group.

DC. Account Balance Aggregation and Currency Rules

1. Aggregation of Individual Accounts. For purposes of determining the

aggregate balance or value of Financial Accounts held by an individual, a

Reporting Financial Institution is required to aggregate all Financial Accounts

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maintained by the Reporting Financial Institution, or by a Related Entity, but

only to the extent that the Reporting Financial Institution's computerised

systems link the Financial Accounts by reference to a data element such as

client number or TIN, and allow account balances or values to be aggregated.

Each holder of a jointly held Financial Account shall be attributed the entire

balance or value of the jointly held Financial Account for purposes of applying

the aggregation requirements described in this subparagraph.

2. Aggregation of Entity Accounts. For purposes of determining the

aggregate balance or value of Financial Accounts held by an Entity, a

Reporting Financial Institution is required to take into account all Financial

Accounts that are maintained by the Reporting Financial Institution, or by a

Related Entity, but only to the extent that the Reporting Financial Institution's

computerised systems link the Financial Accounts by reference to a data

element such as client number or TIN, and allow account balances or values to

be aggregated. Each holder of a jointly held Financial Account shall be

attributed the entire balance or value of the jointly held Financial Account for

purposes of applying the aggregation requirements described in this

subparagraph.

3. Special Aggregation Rule Applicable to Relationship Managers. For

purposes of determining the aggregate balance or value of Financial Accounts

held by a person to determine whether a financial account is a High Value

Account, a Reporting Financial Institution is also required, in the case of any

Financial Accounts that a relationship manager knows, or has reason to know,

are directly or indirectly owned, controlled, or established (other than in a

fiduciary capacity) by the same person, to aggregate all such accounts.

4. Amounts Read to Include Equivalent in Other Currencies. All amounts

denominated in the domestic currency of each Member State shall be read to

include equivalent amounts in other currencies, as determined by domestic law.

SECTION VIII

DEFINED TERMS

The following terms have the meanings set forth below:

A. Reporting Financial Institution

1. The term ‘Reporting Financial Institution’ means any Member State Financial

Institution that is not a Non-Reporting Financial Institution. The term ‘Member State

Financial Institution’ means: (i) any Financial Institution that is resident in a Member

State, but excludes any branch of that Financial Institution that is located outside that

Member State; and (ii) any branch of a Financial Institution that is not resident in a

Member State, if that branch is located in that Member State.

2. The term ‘Participating Jurisdiction Financial Institution’ means (i) any

Financial Institution that is resident in a Participating Jurisdiction, but excludes any

branch of that Financial Institution that is located outside such Participating

Jurisdiction; and (ii) any branch of a Financial Institution that is not resident in a

Participating Jurisdiction, if that branch is located in such Participating Jurisdiction.

3. The term ‘Financial Institution’ means a Custodial Institution, a Depository

Institution, an Investment Entity, or a Specified Insurance Company.

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4. The term ‘Custodial Institution’ means any Entity that holds, as a substantial

portion of its business, Financial Assets for the account of others. An Entity holds

Financial Assets for the account of others as a substantial portion of its business if

the Entity's gross income attributable to the holding of Financial Assets and related

financial services equals or exceeds 20 % of the Entity's gross income during the

shorter of: (i) the three-year period that ends on 31 December (or the final day of a

non-calendar year accounting period) prior to the year in which the determination is

being made; or (ii) the period during which the Entity has been in existence.

 2023/2226 Art. 1.17 and Annex

I.4(a) (adapted)

5. The term ‘Depository Institution’ means any Entity that:

(a) accepts deposits in the ordinary course of a banking or similar business;

or

(b) holds E-money or Central Bank Digital Currencies for the benefit of

customers.

6. The term ‘Investment Entity’ means any Entity:

(a) which primarily conducts as a business one or more of the following

activities or operations for or on behalf of a customer:

(i) trading in money market instruments (cheques, bills, certificates

of deposit, derivatives, etc.); foreign exchange; exchange, interest rate

and index instruments; transferable securities; or commodity futures

trading;

(ii) individual and collective portfolio management; or

(iii) otherwise investing, administering, or managing Financial

Assets, money, or Reportable Crypto-Assets on behalf of other persons;

or

(b) the gross income of which is primarily attributable to investing,

reinvesting, or trading in Financial Assets or Reportable Crypto-Assets, if the

Entity is managed by another Entity that is a Depository Institution, a Custodial

Institution, a Specified Insurance Company, or an Investment Entity described

in subparagraph A(6), point (a).

An Entity is treated as primarily conducting as a business one or more of the

activities described in subparagraph A(6), point (a), or an Entity’s gross income is

primarily attributable to investing, reinvesting, or trading in Financial Assets or

Reportable Crypto-Assets for the purposes of subparagraph A(6), point (b), if the

Entity’s gross income attributable to the relevant activities equals or exceeds 50 % of

the Entity’s gross income during the shorter of: (i) the three-year period ending on 31

December of the year preceding the year in which the determination is made; or (ii)

the period during which the Entity has been in existence. For the purposes of

subparagraph A(6), point (a)(iii), the term ‘otherwise investing, administering, or

managing Financial Assets, money, or Reportable Crypto-Assets on behalf of other

persons’ does not include the provision of services effectuating Exchange

Transactions for or on behalf of customers. The term ‘Investment Entity’ does not

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include an Entity that is an Active NFE because that Entity meets any of the criteria

in subparagraph D(8), points (d) to (g).

This subparagraph shall be interpreted in a manner consistent with the similar

language set out in the definition of ‘financial institution’ in Directive

(EU)  Regulation (EU) 2024/1624 2015/849.

7. The term ‘Financial Asset’ includes a security (for example, a share of stock in

a corporation; partnership or beneficial ownership interest in a widely held or

publicly traded partnership or trust; note, bond, debenture, or other evidence of

indebtedness), partnership interest, commodity, swap (for example, interest rate

swaps, currency swaps, basis swaps, interest rate caps, interest rate floors,

commodity swaps, equity swaps, equity index swaps, and similar agreements),

Insurance Contract or Annuity Contract, or any interest (including a futures or

forward contract or option) in a security, Reportable Crypto-Asset, partnership

interest, commodity, swap, Insurance Contract, or Annuity Contract. The term

‘Financial Asset’ does not include a non-debt, direct interest in real property.

 2014/107/EU Art. 1.6 and

Annex

8. The term ‘Specified Insurance Company’ means any Entity that is an insurance

company (or the holding company of an insurance company) which issues, or is

obligated to make payments with respect to, a Cash Value Insurance Contract or an

Annuity Contract.

 2023/2226 Art. 1.17 and Annex

I.4(b)

9. For the purposes of this Annex, the term ‘Electronic Money’ or ‘E-money’

means any product that is:

(a) a digital representation of a single Fiat Currency;

(b) issued on the receipt of funds for the purpose of making payment

transactions;

(c) represented by a claim on the issuer denominated in the same Fiat

Currency;

(d) accepted in payment by a natural or legal person other than the issuer;

and

(e) by virtue of regulatory requirements to which the issuer is subject,

redeemable at any time and at par value for the same Fiat Currency upon

request of the holder of the product.

The term ‘Electronic Money’ or ‘E-money’ does not include a product created for the

sole purpose of facilitating the transfer of funds from a customer to another person

pursuant to instructions of the customer. A product is not created for the sole purpose

of facilitating the transfer of funds if, in the ordinary course of business of the

transferring Entity, either the funds connected with such product are held longer than

60 days after receipt of instructions to facilitate the transfer, or, if no instructions are

received, the funds connected with such product are held longer than 60 days after

receipt of the funds.

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10. The term ‘Fiat Currency’ means the official currency of a jurisdiction, issued

by a jurisdiction or by a jurisdiction’s designated Central Bank or monetary

authority, as represented by physical banknotes or coins or by money in different

digital forms, including bank reserves and Central Bank Digital Currencies. The term

also includes commercial bank money and electronic money products (Electronic

Money).

11. The term ‘Central Bank Digital Currency’ means any digital Fiat Currency

issued by a Central Bank or other monetary authority.

12. The term ‘Crypto-Asset’ means crypto-asset as defined in Article 3(1), point

(5), of Regulation (EU) 2023/1114.

13. The term ‘Reportable Crypto-Asset’ means any Crypto-Asset other than a

Central Bank Digital Currency, Electronic Money, or any Crypto-Asset for which the

Reporting Crypto-Asset Service Provider has adequately determined that it cannot be

used for payment or investment purposes.

14. The term ‘Exchange Transaction’ means any:

(a) exchange between Reportable Crypto-Assets and Fiat Currencies; and

(b) exchange between one or more forms of Reportable Crypto-Assets.

 2014/107/EU Art. 1.6 and

Annex

B. Non-Reporting Financial Institution

1. The term ‘Non-Reporting Financial Institution’ means any Financial Institution

which is:

 2023/2226 Art. 1.17 and Annex

I.4(c)

(a) a Governmental Entity, International Organisation or Central Bank,

other than:

(i) with respect to a payment that is derived from an obligation

held in connection with a commercial financial activity of a type engaged

in by a Specified Insurance Company, Custodial Institution, or

Depository Institution; or

(ii) with respect to the activity of maintaining Central Bank Digital

Currencies for Account Holders which are not Financial Institutions,

Governmental Entities, International Organisations or Central Banks;

 2014/107/EU Art. 1.6 and

Annex (adapted)

 new

(b) a Broad Participation Retirement Fund; a Narrow Participation

Retirement Fund; a Pension Fund of a Governmental Entity, International

Organisation or Central Bank; or a Qualified Credit Card Issuer;

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(c) any other Entity that presents a low risk of being used to evade tax, has

substantially similar characteristics to any of the Entities described in

subparagraphs B(1)  points  (a) and (b)  of this subparagraph  , and

is included in the list of Non-Reporting Financial Institutions referred to in

Article  5  8(7a) of this Directive, provided that the status of such Entity

as a Non-Reporting Financial Institution does not frustrate the purposes of this

Directive;

(d) an Exempt Collective Investment Vehicle; or

(e) a trust to the extent that the trustee of the trust is a Reporting Financial

Institution and reports all information required to be reported pursuant to

Section I with respect to all Reportable Accounts of the trust.

2. The term ‘Governmental Entity’ means the government of a Member State or

other jurisdiction, any political subdivision of a Member State or other jurisdiction

(which, for the avoidance of doubt, includes a state, province, county, or

municipality), or any wholly owned agency or instrumentality of a Member State or

other jurisdiction or of any one or more of the foregoing (each, a ‘Governmental

Entity’). This category is comprised of the integral parts, controlled entities, and

political subdivisions of a Member State or other jurisdiction.

(a) An ‘integral part’ of a Member State or other jurisdiction means any

person, organisation, agency, bureau, fund, instrumentality, or other body,

however designated, that constitutes a governing authority of a Member State

or other jurisdiction. The net earnings of the governing authority must be

credited to its own account or to other accounts of the Member State or other

jurisdiction, with no portion inuring to the benefit of any private person. An

integral part does not include any individual who is a sovereign, official, or

administrator acting in a private or personal capacity.

(b) A ‘controlled entity’ means an Entity which is separate in form from

the Member State or other jurisdiction or which otherwise constitutes a

separate juridical entity, provided that:

(i) the Entity is wholly owned and controlled by one or more

Governmental Entities directly or through one or more controlled

entities;

(ii) the Entity's net earnings are credited to its own account or to the

accounts of one or more Governmental Entities, with no portion of its

income inuring to the benefit of any private person; and

(iii) the Entity's assets vest in one or more Governmental Entities

upon dissolution.

(c) Income does not inure to the benefit of private persons if such persons

are the intended beneficiaries of a governmental programme, and the

programme activities are performed for the general public with respect to the

common welfare or relate to the administration of some phase of government.

Notwithstanding the foregoing, however, income is considered to inure to the

benefit of private persons if the income is derived from the use of a

Governmental Entity to conduct a commercial business, such as a commercial

banking business, that provides financial services to private persons.

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3. The term ‘International Organisation’ means any international organisation or

wholly owned agency or instrumentality thereof. This category includes any

intergovernmental organisation (including a supranational organisation) (i) that is

comprised primarily of governments; (ii) that has in effect a headquarters or

substantially similar agreement with the Member State  or other jurisdiction  ;

and (iii) the income of which does not inure to the benefit of private persons.

4. The term ‘Central Bank’ means an institution that is by law or government

sanction the principal authority, other than the government of the Member State  or

other jurisdiction  itself, issuing instruments intended to circulate as currency. Such

an institution may include an instrumentality that is separate from the government of

the Member State  or other jurisdiction  , whether or not owned in whole or in

part by the Member State  or other jurisdiction  .

5. The term ‘Broad Participation Retirement Fund’ means a fund established to

provide retirement, disability, or death benefits, or any combination thereof, to

beneficiaries who are current or former employees (or persons designated by such

employees) of one or more employers in consideration for services rendered,

provided that the fund:

(a) does not have a single beneficiary with a right to more than 5 % of the

fund's assets;

(b) is subject to government regulation and provides information reporting

to the tax authorities; and

(c) satisfies at least one of the following requirements:

(i) the fund is generally exempt from tax on investment income, or

taxation of such income is deferred or taxed at a reduced rate, due to its

status as a retirement or pension plan;

(ii) the fund receives at least 50 % of its total contributions (other

than transfers of assets from other plans described in subparagraphs B

 (5), (6) and  through (7) or from retirement and pension accounts

described in subparagraph C(17)  , point  (a) from the sponsoring

employers;

(iii) distributions or withdrawals from the fund are allowed only

upon the occurrence of specified events related to retirement, disability,

or death (except rollover distributions to other retirement funds described

in subparagraphs B(5) through (7) or retirement and pension accounts

described in subparagraph C(17)(a)), or penalties apply to distributions or

withdrawals made before such specified events; or

(iv) contributions (other than certain permitted make-up

contributions) by employees to the fund are limited by reference to

earned income of the employee or may not exceed, annually, an amount

denominated in the domestic currency of each Member State that

corresponds to USD 50000, applying the rules set forth in paragraph C of

Section VII  , subparagraph C  for account aggregation and

currency translation.

6. The term ‘Narrow Participation Retirement Fund’ means a fund established to

provide retirement, disability, or death benefits to beneficiaries who are current or

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former employees (or persons designated by such employees) of one or more

employers in consideration for services rendered, provided that:

(a) the fund has fewer than 50 participants;

(b) the fund is sponsored by one or more employers that are not Investment

Entities or Passive NFEs;

(c) the employee and employer contributions to the fund (other than

transfers of assets from retirement and pension accounts described in

subparagraph C(17)  , point  (a)) are limited by reference to earned

income and compensation of the employee, respectively;

(d) participants that are not residents of the Member State in which the

fund is established are not entitled to more than 20 % of the fund's assets; and

(e) the fund is subject to government regulation and provides information

reporting to the tax authorities.

7. The term ‘Pension Fund of a Governmental Entity, International Organisation

or Central Bank’ means a fund established by a Governmental Entity, International

Organisation or Central Bank to provide retirement, disability, or death benefits to

beneficiaries or participants who are current or former employees (or persons

designated by such employees), or who are not current or former employees, if the

benefits provided to such beneficiaries or participants are in consideration of

personal services performed for the Governmental Entity, International Organisation

or Central Bank.

8. The term ‘Qualified Credit Card Issuer’ means a Financial Institution

satisfying the following requirements:

(a) the Financial Institution is a Financial Institution solely because it is an

issuer of credit cards that accepts deposits only when a customer makes a

payment in excess of a balance due with respect to the card and the

overpayment is not immediately returned to the customer; and

(b) beginning on or before 1 January 2016, the Financial Institution

implements policies and procedures either to prevent a customer from making

an overpayment in excess of an amount denominated in the domestic currency

of each Member State that corresponds to USD 50000, or to ensure that any

customer overpayment in excess of that amount is refunded to the customer

within 60 days, in each case applying the rules set forth in paragraph C of

Section VII for account aggregation and currency translation. For this purpose,

a customer overpayment does not refer to credit balances to the extent of

disputed charges but does include credit balances resulting from merchandise

returns.

9. The term ‘Exempt Collective Investment Vehicle’ means an Investment Entity

that is regulated as a collective investment vehicle, provided that all of the interests

in the collective investment vehicle are held by or through individuals or Entities that

are not Reportable Persons, except a Passive NFE with Controlling Persons who are

Reportable Persons.

An Investment Entity that is regulated as a collective investment vehicle does not fail

to qualify under subparagraph B(9) as an Exempt Collective Investment Vehicle,

solely because the collective investment vehicle has issued physical shares in bearer

form, provided that:

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(a) the collective investment vehicle has not issued, and does not issue, any

physical shares in bearer form after 31 December 2015;

(b) the collective investment vehicle retires all such shares upon surrender;

(c) the collective investment vehicle performs the due diligence procedures

set forth in Sections II tothrough VII and reports any information required to be

reported with respect to any such shares when such shares are presented for

redemption or other payment; and

(d) the collective investment vehicle has in place policies and procedures

to ensure that such shares are redeemed or immobilised as soon as possible,

and in any event prior to 1 January 2018.

C. Financial Account

1. The term ‘Financial Account’ means an account maintained by a Financial

Institution, and includes a Depository Account, a Custodial Account and:

(a) in the case of an Investment Entity, any equity or debt interest in the

Financial Institution. Notwithstanding the foregoing, the term ‘Financial

Account’ does not include any equity or debt interest in an Entity that is an

Investment Entity solely because it (i) renders investment advice to, and acts

on behalf of; or (ii) manages portfolios for, and acts on behalf of, a customer

for the purpose of investing, managing, or administering Financial Assets

deposited in the name of the customer with a Financial Institution other than

such Entity;

(b) in the case of a Financial Institution not described in  point 

subparagraph C(1)(a), any equity or debt interest in the Financial Institution, if

the class of interests was established with the purpose of avoiding reporting in

accordance with Section I; and

(c) any Cash Value Insurance Contract and any Annuity Contract issued or

maintained by a Financial Institution, other than a non-investment-linked, non-

transferable immediate life annuity that is issued to an individual and

monetises a pension or disability benefit provided under an account that is an

Excluded Account.

The term ‘Financial Account’ does not include any account that is an Excluded

Account.

 2023/2226 Art. 1.17 and Annex

I.4(d)

2. The term ‘Depository Account’ includes any commercial, checking, savings,

time, or thrift account, or an account that is evidenced by a certificate of deposit,

thrift certificate, investment certificate, certificate of indebtedness, or other similar

instrument maintained by a Depository Institution. A Depository Account also

includes:

(a) an amount held by an insurance company pursuant to a guaranteed

investment contract or similar agreement to pay or credit interest therein;

(b) an account or notional account that represents all E-money held for the

benefit of a customer; and

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(c) an account that holds one or more Central Bank Digital Currencies for

the benefit of a customer.

 2014/107/EU Art. 1.6 and

Annex (adapted)

3. The term ‘Custodial Account’ means an account (other than an Insurance

Contract or Annuity Contract) which holds one or more Financial Assets for the

benefit of another person.

4. The term ‘Equity Interest’ means, in the case of a partnership that is a

Financial Institution, either a capital or profits interest in the partnership. In the case

of a trust that is a Financial Institution, an Equity Interest is considered to be held by

any person treated as a settlor or beneficiary of all or a portion of the trust, or any

other natural person exercising ultimate effective control over the trust. A Reportable

Person will be treated as being a beneficiary of a trust if such Reportable Person has

the right to receive directly or indirectly (for example, through a nominee) a

mandatory distribution or may receive, directly or indirectly, a discretionary

distribution from the trust.

5. The term ‘Insurance Contract’ means a contract (other than an Annuity

Contract) under which the issuer agrees to pay an amount upon the occurrence of a

specified contingency involving mortality, morbidity, accident, liability, or property

risk.

6. The term ‘Annuity Contract’ means a contract under which the issuer agrees to

make payments for a period of time determined in whole or in part by reference to

the life expectancy of one or more individuals. The term also includes a contract that

is considered to be an Annuity Contract in accordance with the law, regulation, or

practice of the Member State or other jurisdiction in which the contract was issued,

and under which the issuer agrees to make payments for a term of years.

7. The term ‘Cash Value Insurance Contract’ means an Insurance Contract (other

than an indemnity reinsurance contract between two insurance companies) that has a

Cash Value.

8. The term ‘Cash Value’ means the greater of (i) the amount that the

policyholder is entitled to receive upon surrender or termination of the contract

(determined without reduction for any surrender charge or policy loan); and (ii) the

amount the policyholder can borrow under or with regard to the contract.

Notwithstanding the foregoing, the term ‘Cash Value’ does not include an amount

payable under an Insurance Contract:

(a) solely by reason of the death of an individual insured under a life

insurance contract;

(b) as a personal injury or sickness benefit or other benefit providing

indemnification of an economic loss incurred upon the occurrence of the event

insured against;

(c) as a refund of a previously paid premium (less cost of insurance

charges whether or not actually imposed) under an Insurance Contract (other

than an investment-linked life insurance or annuity contract) due to

cancellation or termination of the contract, decrease in risk exposure during the

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effective period of the contract, or arising from the correction of a posting or

similar error with regard to the premium for the contract;

(d) as a policyholder dividend (other than a termination dividend) provided

that the dividend relates to an Insurance Contract under which the only benefits

payable are described in  point  subparagraph C(8)(b); or

(e) as a return of an advance premium or premium deposit for an Insurance

Contract for which the premium is payable at least annually if the amount of

the advance premium or premium deposit does not exceed the next annual

premium that will be payable under the contract.

 2023/2226 Art. 1.17 and Annex

I.4(e) (adapted)

9. The term ‘Pre-existing Account’ means:

(a) a Financial Account maintained by a Reporting Financial Institution as

of 31 December 2015 or, if the account is treated as a Financial Account solely

by virtue of the amendments to this Directive made by Council Directive

(EU) 2023/22261, as of 31 December 2025;

(b) any Financial Account of an Account Holder, regardless of the date

such Financial Account was opened, if:

(i) the Account Holder also holds with the Reporting Financial

Institution (or with a Related Entity within the same Member State as the

Reporting Financial Institution) a Financial Account that is a Pre-existing

Account under subparagraph C(9), point (a);

(ii) the Reporting Financial Institution (and, as applicable, the

Related Entity within the same Member State as the Reporting Financial

Institution) treats both of the aforementioned Financial Accounts, and

any other Financial Accounts of the Account Holder that are treated as

Pre-existing Accounts under subparagraph C(9), point (b)  of this

subparagraph  , as a single Financial Account for the purpose of

satisfying the standards of knowledge requirements set out in Section

VII, paragraph A, and for the purpose of determining the balance or

value of any of the Financial Accounts when applying any of the account

thresholds;

(iii) with respect to a Financial Account that is subject

to AML/KYC Procedures, the Reporting Financial Institution is

permitted to satisfy such AML/KYC Procedures for the Financial

Account by relying upon the AML/KYC Procedures performed for the

Pre-existing Account described in subparagraph C(9), point (a); and

(iv) the opening of the Financial Account does not require the

provision of new, additional or amended customer information by the

Account Holder other than for the purposes of this Directive.

1 Council Directive (EU) 2023/2226 of 17 October 2023 amending Directive 2011/16/EU on

administrative cooperation in the field of taxation (OJ L, 2023/2226, 24.10.2023, ELI:

http://data.europa.eu/eli/dir/2023/2226/oj).

EN 24 EN

10. The term ‘New Account’ means a Financial Account maintained by a

Reporting Financial Institution opened on or after 1 January 2016 or, if the account is

treated as a Financial Account solely by virtue of the amendments to this Directive

made by Directive (EU) 2023/2226, on or after 1 January 2026.

 2014/107/EU Art. 1.6 and

Annex (adapted)

11. The term ‘Pre-existing Individual Account’ means a Pre-existing Account held

by one or more individuals.

12. The term ‘New Individual Account’ means a New Account held by one or

more individuals.

13. The term ‘Pre-existing Entity Account’ means a Pre-existing Account held by

one or more Entities.

14. The term ‘Lower Value Account’ means a Pre-existing Individual Account

with an aggregate balance or value as of 31 December 2015 that does not exceed an

amount denominated in the domestic currency of each Member State that

corresponds to USD 1000000.

15. The term ‘High Value Account’ means a Pre-existing Individual Account with

an aggregate balance or value that exceeds, as of 31 December 2015, or 31

December of any subsequent year, an amount denominated in the domestic currency

of each Member State that corresponds to USD 1000000.

16. The term ‘New Entity Account’ means a New Account held by one or more

Entities.

17. The term ‘Excluded Account’ means any of the following accounts:

(a) a retirement or pension account that satisfies the following

requirements:

(i) the account is subject to regulation as a personal retirement

account or is part of a registered or regulated retirement or pension plan

for the provision of retirement or pension benefits (including disability or

death benefits);

(ii) the account is tax-favoured (i.e., contributions to the account

that would otherwise be subject to tax are deductible or excluded from

the gross income of the Account Holder or taxed at a reduced rate, or

taxation of investment income from the account is deferred or taxed at a

reduced rate);

(iii) information reporting is required to the tax authorities with

respect to the account;

(iv) withdrawals are conditioned on reaching a specified retirement

age, disability, or death, or penalties apply to withdrawals made before

such specified events; and

(v) either (i) annual contributions are limited to an amount

denominated in the domestic currency of each Member State that

corresponds to USD 50000 or less; or (ii) there is a maximum lifetime

contribution limit to the account of an amount denominated in the

EN 25 EN

domestic currency of each Member State that corresponds to USD

1000000 or less, in each case applying the rules set forth in paragraph C

of Section VII  , paragraph C  or account aggregation and currency

translation.

A Financial Account that otherwise satisfies the requirement of subparagraph

C(17)  , point  (a)(v) will not fail to satisfy such requirement solely

because such Financial Account may receive assets or funds transferred from

one or more Financial Accounts that meet the requirements of subparagraph

C(17)  , point  (a) or (b) or from one or more retirement or pension funds

that meet the requirements of any of subparagraphs B(5) tothrough (7);

(b) an account that satisfies the following requirements:

(i) the account is subject to regulation as an investment vehicle for

purposes other than for retirement and is regularly traded on an

established securities market, or the account is subject to regulation as a

savings vehicle for purposes other than for retirement;

(ii) the account is tax-favoured (i.e., contributions to the account

that would otherwise be subject to tax are deductible or excluded from

the gross income of the Account Holder or taxed at a reduced rate, or

taxation of investment income from the account is deferred or taxed at a

reduced rate);

(iii) withdrawals are conditioned on meeting specific criteria related

to the purpose of the investment or savings account (for example, the

provision of educational or medical benefits), or penalties apply to

withdrawals made before such criteria are met; and

(iv) annual contributions are limited to an amount denominated in

the domestic currency of each Member State that corresponds to USD

50000 or less, applying the rules set forth in paragraph C of Section VII,

 paragraph C  for account aggregation and currency translation.

A Financial Account that otherwise satisfies the requirement of subparagraph

C(17)  , point  (b)(iv) will not fail to satisfy such requirement solely

because such Financial Account may receive assets or funds transferred from

one or more Financial Accounts that meet the requirements of subparagraph

C(17)  , point  (a) or (b) or from one or more retirement or pension funds

that meet the requirements of any of subparagraphs B(5) tothrough (7);

(c) a life insurance contract with a coverage period that will end before the

insured individual attains age 90, provided that the contract satisfies the

following requirements:

(i) periodic premiums, which do not decrease over time, are

payable at least annually during the period the contract is in existence or

until the insured attains age 90, whichever is shorter;

(ii) the contract has no contract value that any person can access

(by withdrawal, loan, or otherwise) without terminating the contract;

(iii) the amount (other than a death benefit) payable upon

cancellation or termination of the contract cannot exceed the aggregate

premiums paid for the contract, less the sum of mortality, morbidity, and

expense charges (whether or not actually imposed) for the period or

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periods of the contract's existence and any amounts paid prior to the

cancellation or termination of the contract; and

(iv) the contract is not held by a transferee for value;

(d) an account that is held solely by an estate if the documentation for such

account includes a copy of the deceased's will or death certificate;

(e) an account established in connection with any of the following:

(i) a court order or judgment.

(ii) a sale, exchange, or lease of real or personal property, provided

that the account satisfies the following requirements:

– the account is funded solely with a down payment, earnest money,

deposit in an amount appropriate to secure an obligation directly

related to the transaction, or a similar payment, or is funded with a

Financial Asset that is deposited in the account in connection with

the sale, exchange, or lease of the property,

– the account is established and used solely to secure the obligation

of the purchaser to pay the purchase price for the property, the

seller to pay any contingent liability, or the lessor or lessee to pay

for any damages relating to the leased property as agreed under the

lease,

– the assets of the account, including the income earned thereon, will

be paid or otherwise distributed for the benefit of the purchaser,

seller, lessor, or lessee (including to satisfy such person's

obligation) when the property is sold, exchanged, or surrendered,

or the lease terminates,

– the account is not a margin or similar account established in

connection with a sale or exchange of a Financial Asset, and

– the account is not associated with an account described in

subparagraph C(17)  , point  (f);

(iii) an obligation of a Financial Institution servicing a loan secured

by real property to set aside a portion of a payment solely to facilitate the

payment of taxes or insurance related to the real property at a later time;

(iv) an obligation of a Financial Institution solely to facilitate the

payment of taxes at a later time;

 2023/2226 Art. 1.17 and Annex

I.4(f)

(v) a foundation or capital increase of a company provided that the

account satisfies the following requirements:

– the account is used exclusively to deposit capital that is to be used

for the purposes of the foundation or capital increase of a company,

as prescribed by law;

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– any amounts held in the account are blocked until the Reporting

Financial Institution obtains an independent confirmation regarding

the foundation or capital increase;

– the account is closed or transformed into an account in the name of

the company after the foundation or capital increase;

– any repayments resulting from a failed foundation or capital

increase, net of service provider and similar fees, are made solely

to the persons who contributed the amounts; and

– the account has not been established more than 12 months ago;

 2023/2226 Art. 1.17 and Annex

I.4(f)

(fea) a Depository Account that represents all Electronic Money held for the

benefit of a customer, if the rolling average 90 days end-of-day aggregate

account balance or value during any period of 90 consecutive days did not

exceed USD 10000 at any day during the calendar year or other appropriate

reporting period;

 2014/107/EU Art. 1.6 and

Annex (adapted)

(gf) a Depository Account that satisfies the following requirements:

(i) the account exists solely because a customer makes a payment

in excess of a balance due with respect to a credit card or other revolving

credit facility and the overpayment is not immediately returned to the

customer; and

(ii) beginning on or before 1 January 2016, the Financial Institution

implements policies and procedures either to prevent a customer from

making an overpayment in excess of an amount denominated in the

domestic currency of each Member State that corresponds to USD 50000,

or to ensure that any customer overpayment in excess of that amount is

refunded to the customer within 60 days, in each case applying the rules

set forth in paragraph C of Section VII  , paragraph C  for currency

translation. For this purpose, a customer overpayment does not refer to

credit balances to the extent of disputed charges but does include credit

balances resulting from merchandise returns;

(hg) any other account that presents a low risk of being used to evade tax,

has substantially similar characteristics to any of the accounts described in

subparagraphs C(17)  , points  (a) tothrough (f), and is included in the list

of Excluded Accounts referred to in Article  5  8(7a) of this Directive,

provided that the status of such account as an Excluded Account does not

frustrate the purposes of this Directive.

D. Reportable Account

1. The term ‘Reportable Account’ means a Financial Account that is maintained

by a Member State Reporting Financial Institution and is held by one or more

Reportable Persons or by a Passive NFE with one or more Controlling Persons that is

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a Reportable Person, provided it has been identified as such pursuant to the due

diligence procedures described in Sections II tothrough VII.

 2023/2226 Art. 1.17 and Annex

I.4(g)

2. The term ‘Reportable Person’ means a Member State Person other than:

(a) an Entity the stock of which is regularly traded on one or more

established securities markets;

(b) any Entity that is a Related Entity of an Entity described in point (a);

(c) a Governmental Entity;

(d) an International Organisation;

(e) a Central Bank; or

(f) a Financial Institution.

 2014/107/EU Art. 1.6 and

Annex (adapted)

3. The term ‘Member State Person’ with regard to each Member State means an

individual or Entity that is resident in any other Member State under the tax laws of

that other Member State, or an estate of a decedent that was a resident of any other

Member State. For this purpose, an Entity such as a partnership, limited liability

partnership or similar legal arrangement, which has no residence for tax purposes

shall be treated as resident in the jurisdiction in which its place of effective

management is situated.

4. The term ‘Participating Jurisdiction’ with regard to each Member State means:

(a) any other Member State;

(b) any other jurisdiction (i) with which the Member State concerned has

an agreement in place pursuant to which that jurisdiction will provide the

information specified in Section I; and (ii) which is identified in a list

published by that Member State and notified to the European Commission;

(c) any other jurisdiction (i) with which the Union has an agreement in

place pursuant to which that jurisdiction will provide the information specified

in Section I; and (ii) which is identified in a list published by the European

Commission.

5. The term ‘Controlling Persons’ means the natural persons who exercise control

over an Entity. In the case of a trust, that term means the settlor(s), the trustee(s), the

protector(s) (if any), the beneficiary(ies) or class(es) of beneficiaries, and any other

natural person(s) exercising ultimate effective control over the trust, and in the case

of a legal arrangement other than a trust, such term means persons in equivalent or

similar positions. The term ‘Controlling Persons’ must be interpreted in a manner

consistent with the Financial Action Task Force Recommendations.

6. The term ‘NFE’ means any Entity that is not a Financial Institution.

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7. The term ‘Passive NFE’ means any: (i) NFE that is not an Active NFE; or (ii)

an Investment Entity described in subparagraph A(6)  , point  (b) that is not a

Participating Jurisdiction Financial Institution.

8. The term ‘Active NFE’ means any NFE that meets any of the following

criteria:

(a) less than 50 % of the NFE's gross income for the preceding calendar

year or other appropriate reporting period is passive income and less than 50 %

of the assets held by the NFE during the preceding calendar year or other

appropriate reporting period are assets that produce or are held for the

production of passive income;

(b) the stock of the NFE is regularly traded on an established securities

market or the NFE is a Related Entity of an Entity the stock of which is

regularly traded on an established securities market;

(c) the NFE is a Governmental Entity, an International Organisation, a

Central Bank, or an Entity wholly owned by one or more of the foregoing;

(d) substantially all of the activities of the NFE consist of holding (in

whole or in part) the outstanding stock of, or providing financing and services

to, one or more subsidiaries that engage in trades or businesses other than the

business of a Financial Institution, except that an Entity does not qualify for

this status if the Entity functions (or holds itself out) as an investment fund,

such as a private equity fund, venture capital fund, leveraged buyout fund, or

any investment vehicle whose purpose is to acquire or fund companies and

then hold interests in those companies as capital assets for investment

purposes;

(e) the NFE is not yet operating a business and has no prior operating

history, but is investing capital into assets with the intent to operate a business

other than that of a Financial Institution, provided that the NFE does not

qualify for this exception after the date that is 24 months after the date of the

initial organisation of the NFE;

(f) the NFE was not a Financial Institution in the past five years, and is in

the process of liquidating its assets or is reorganising with the intent to

continue or recommence operations in a business other than that of a Financial

Institution;

(g) the NFE primarily engages in financing and hedging transactions with,

or for, Related Entities that are not Financial Institutions, and does not provide

financing or hedging services to any Entity that is not a Related Entity,

provided that the group of any such Related Entities is primarily engaged in a

business other than that of a Financial Institution; or

(h) the NFE meets all of the following requirements:

(i) it is established and operated in its Member State or other

jurisdiction of residence exclusively for religious, charitable, scientific,

artistic, cultural, athletic, or educational purposes; or it is established and

operated in its Member State or other jurisdiction of residence and it is a

professional organisation, business league, chamber of commerce, labour

organisation, agricultural or horticultural organisation, civic league or an

organisation operated exclusively for the promotion of social welfare;

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(ii) it is exempt from income tax in its Member State or other

jurisdiction of residence;

(iii) it has no shareholders or members who have a proprietary or

beneficial interest in its income or assets;

(iv) the applicable laws of the NFE's Member State or other

jurisdiction of residence or the NFE's formation documents do not permit

any income or assets of the NFE to be distributed to, or applied for the

benefit of, a private person or non-charitable Entity other than pursuant

to the conduct of the NFE's charitable activities, or as payment of

reasonable compensation for services rendered, or as payment

representing the fair market value of property which the NFE has

purchased; and

(v) the applicable laws of the NFE's Member State or other

jurisdiction of residence or the NFE's formation documents require that,

upon the NFE's liquidation or dissolution, all of its assets be distributed

to a Governmental Entity or other non-profit organisation, or escheat to

the government of the NFE's Member State or other jurisdiction of

residence or any political subdivision thereof.

E. Miscellaneous

1. The term ‘Account Holder’ means the person listed or identified as the holder

of a Financial Account by the Financial Institution that maintains the account. A

person, other than a Financial Institution, holding a Financial Account for the benefit

or account of another person as agent, custodian, nominee, signatory, investment

advisor, or intermediary, is not treated as holding the account for purposes of this

Directive, and such other person is treated as holding the account. In the case of a

Cash Value Insurance Contract or an Annuity Contract, the Account Holder is any

person entitled to access the Cash Value or change the beneficiary of the contract. If

no person can access the Cash Value or change the beneficiary, the Account Holder

is any person named as the owner in the contract and any person with a vested

entitlement to payment under the terms of the contract. Upon the maturity of a Cash

Value Insurance Contract or an Annuity Contract, each person entitled to receive a

payment under the contract is treated as an Account Holder.

2. The term ‘AML/KYC Procedures’ means the customer due diligence

procedures of a Reporting Financial Institution pursuant to the anti-money

laundering or similar requirements to which such Reporting Financial Institution is

subject.

3. The term ‘Entity’ means a legal person or a legal arrangement, such as a

corporation, partnership, trust, or foundation.

4. An Entity is a ‘Related Entity’ of another Entity if (i) either Entity controls the

other Entity; (ii) the two Entities are under common control; or (iii) the two Entities

are Investment Entities described in subparagraph A(6)  , point  (b), are under

common management, and such management fulfils the due diligence obligations of

such Investment Entities. For this purpose control includes direct or indirect

ownership of more than 50 % of the vote and value in an Entity.

5. The term ‘TIN’ means Taxpayer Identification Number (or functional

equivalent in the absence of a Taxpayer Identification Number).

EN 31 EN

6. The term ‘Documentary Evidence’ includes any of the following:

(a) a certificate of residence issued by an authorised government body (for

example, a government or agency thereof, or a municipality) of the Member

State or other jurisdiction in which the payee claims to be a resident;

(b) with respect to an individual, any valid identification issued by an

authorised government body (for example, a government or agency thereof, or

a municipality), that includes the individual's name and is typically used for

identification purposes;

(c) with respect to an Entity, any official documentation issued by an

authorised government body (for example, a government or agency thereof, or

a municipality) that includes the name of the Entity and either the address of its

principal office in the Member State or other jurisdiction in which it claims to

be a resident or the Member State or other jurisdiction in which the Entity was

incorporated or organised;

(d) any audited financial statement, third-party credit report, bankruptcy

filing, or securities regulator's report.

With respect to a Pre-existing Entity Account, Reporting Financial Institutions may

use as Documentary Evidence any classification in the Reporting Financial

Institution's records with respect to the Account Holder that was determined based on

a standardised industry coding system, that was recorded by the Reporting Financial

Institution consistent with its normal business practices for purposes of AML/KYC

Procedures or another regulatory purposes (other than for tax purposes) and that was

implemented by the Reporting Financial Institution prior to the date used to classify

the Financial Account as a Pre-existing Account, provided that the Reporting

Financial Institution does not know or does not have reason to know that such

classification is incorrect or unreliable. The term ‘standardised industry coding

system’ means a coding system used to classify establishments by business type for

purposes other than tax purposes.

 2023/2226 Art. 1.17 and Annex

I.4(h)

7. The term ‘Identification Service’ means an electronic process made available

free of charge by a Member State or the Union to a Reporting Financial Institution

for the purpose of ascertaining the identity and tax residence of an Account Holder or

Controlling Person.

EN 32 EN

 2014/107/EU Art. 1.6 and

Annex (adapted)

SECTION IXX

 EFFECTIVE  IMPLEMENTATION DATES AS REGARDS REPORTING

FINANCIAL INSTITUTIONS LOCATED IN AUSTRIA

 2014/107/EU Art. 1.6 and

Annex

Pursuant to Article 5 of this Directive, Member States must have rules and administrative

procedures in place to ensure effective implementation of, and compliance with, the reporting

and due diligence procedures set out above including:

(1) rules to prevent any Financial Institutions, persons or intermediaries from

adopting practices intended to circumvent the reporting and due diligence

procedures;

(2) rules requiring Reporting Financial Institutions to keep records of the steps

undertaken and any evidence relied upon for the performance of the above

procedures and adequate measures to obtain those records;

(3) administrative procedures to verify Reporting Financial Institutions'

compliance with the reporting and due diligence procedures; administrative

procedures to follow up with a Reporting Financial Institution when undocumented

accounts are reported;

(4) administrative procedures to ensure that the Entities and accounts defined in

domestic law as Non-Reporting Financial Institutions and Excluded Accounts

continue to have a low risk of being used to evade tax; and

(5) effective enforcement provisions to address non-compliance.

 2014/107/EU Art. 1.6 and

Annex (adapted)

In the case of Reporting Financial Institutions located in Austria, all references to ‘2016’ and

‘2017’ in this Annex should be read as references to ‘2017’ and ‘2018’ respectively.

In the case of Pre-existing Accounts held by Reporting Financial Institutions located in

Austria, all references to ‘31 December 2015’ in this Annex should be read as references to

‘31 December 2016’.

 2023/2226 Art. 1.17 and Annex

I.5

SECTION XI

TRANSITIONAL MEASURES

Notwithstanding Section I, subparagraph A(1), point (b), and subparagraph A(6a), with

respect to each Reportable Account that is maintained by a Reporting Financial Institution as

EN 33 EN

of 31 December 2025 and for reporting periods ending by the second calendar year following

such date, information with respect to the role(s) by virtue of which each Reportable Person is

a Controlling Person or Equity Interest holder of the Entity is only required to be reported if

such information is available in the electronically searchable data maintained by the

Reporting Financial Institution.

EN 1 EN

 2014/107/EU Art. 1.6 and

Annex (adapted)

ANNEX II

COMPLEMENTARY REPORTING AND DUE DILIGENCE RULES FOR

FINANCIAL ACCOUNT INFORMATION

1. CHANGE IN CIRCUMSTANCES

A ‘change in circumstances’ includes any change that results in the addition of information

relevant to a person's status or otherwise conflicts with such person's status. In addition, a

change in circumstances includes any change or addition of information to the Account

Holder's account (including the addition, substitution, or other change of an Account Holder)

or any change or addition of information to any account associated with such account

(applying the account aggregation rules described in subparagraphs C(1) through (3) of

Section VI  , subparagraphs C(1), (2) and (3)  I of Annex I) if such change or addition

of information affects the status of the Account Holder.

If a Reporting Financial Institution has relied on the residence address test described in

subparagraph B(1) of Section III  , subparagraph B(1)  of Annex I and there is a change

in circumstances that causes the Reporting Financial Institution to know or have reason to

know that the original Documentary Evidence (or other equivalent documentation) is

incorrect or unreliable, the Reporting Financial Institution must, by the later of the last day of

the relevant calendar year or other appropriate reporting period, or 90 calendar days following

the notice or discovery of such change in circumstances, obtain a self-certification and new

Documentary Evidence to establish the residence(s) for tax purposes of the Account Holder.

If the Reporting Financial Institution cannot obtain the self-certification and new

Documentary Evidence by such date, the Reporting Financial Institution must apply the

electronic record search procedure described in subparagraphs B(2) through (6) of Section III

 , subparagraphs B(2) to (6)  of Annex I.

2. SELF-CERTIFICATION FOR NEW ENTITY ACCOUNTS

With respect to New Entity Accounts, for the purposes of determining whether a Controlling

Person of a Passive NFE is a Reportable Person, a Reporting Financial Institution may only

rely on a self-certification from either the Account Holder or the Controlling Person.

3. RESIDENCE OF A FINANCIAL INSTITUTION

A Financial Institution is ‘resident’ in a Member State if it is subject to the jurisdiction of

such Member State (i.e., the Member State is able to enforce reporting by the Financial

Institution). In general, where a Financial Institution is resident for tax purposes in a Member

State, it is subject to the jurisdiction of such Member State and it is, thus, a Member State

Financial Institution. In the case of a trust that is a Financial Institution (irrespective of

whether it is resident for tax purposes in a Member State), the trust is considered to be subject

to the jurisdiction of a Member State if one or more of its trustees are resident in such

Member State except if the trust reports all the information required to be reported pursuant to

this Directive with respect to Reportable Accounts maintained by the trust to another Member

State because it is resident for tax purposes in such other Member State. However, where a

Financial Institution (other than a trust) does not have a residence for tax purposes (e.g.,

because it is treated as fiscally transparent, or it is located in a jurisdiction that does not have

EN 2 EN

an income tax), it is considered to be subject to the jurisdiction of a Member State and it is,

thus, a Member State Financial Institution if:

(a) it is incorporated under the laws of the Member State;

(b) it has its place of management (including effective management) in the

Member State; or

(c) it is subject to financial supervision in the Member State.

Where a Financial Institution (other than a trust) is resident in two or more Member States,

such Financial Institution will be subject to the reporting and due diligence obligations of the

Member State in which it maintains the Financial Account(s).

4. ACCOUNT MAINTAINED

In general, an account would be considered to be maintained by a Financial Institution as

follows:

(a) in the case of a Custodial Account, by the Financial Institution that holds

custody over the assets in the account (including a Financial Institution that holds

assets in street name for an Account Holder in such institution);

(b) in the case of a Depository Account, by the Financial Institution that is

obligated to make payments with respect to the account (excluding an agent of a

Financial Institution regardless of whether such agent is a Financial Institution);

(c) in the case of any equity or debt interest in a Financial Institution that

constitutes a Financial Account, by such Financial Institution;

(d) in the case of a Cash Value Insurance Contract or an Annuity Contract, by the

Financial Institution that is obligated to make payments with respect to the contract.

5. TRUSTS THAT ARE PASSIVE NFES

An Entity such as a partnership, limited liability partnership or similar legal arrangement that

has no residence for tax purposes, according to subparagraph D(3) of Section VIII  ,

subparagraph D(3)  of Annex I, shall be treated as resident in the jurisdiction in which its

place of effective management is situated. For these purposes, a legal person or a legal

arrangement is considered ‘similar’ to a partnership and a limited liability partnership where it

is not treated as a taxable unit in a Member State under the tax laws of such Member State.

However, in order to avoid duplicate reporting (given the wide scope of the term ‘Controlling

Persons’ in the case of trusts), a trust that is a Passive NFE may not be considered a similar

legal arrangement.

6. ADDRESS OF ENTITY'S PRINCIPAL OFFICE

One of the requirements described in subparagraph E(6)(c) of Section VIII  , subparagraph

E(6), point (c)  of Annex I is that, with respect to an Entity, the official documentation

includes either the address of the Entity's principal office in the Member State or other

jurisdiction in which it claims to be a resident or the Member State or other jurisdiction in

which the Entity was incorporated or organised. The address of the Entity's principal office is

generally the place in which its place of effective management is situated. The address of a

Financial Institution with which the Entity maintains an account, a post office box, or an

address used solely for mailing purposes is not the address of the Entity's principal office

unless such address is the only address used by the Entity and appears as the Entity's

EN 3 EN

registered address in the Entity's organisational documents. Further, an address that is

provided subject to instructions to hold all mail to that address is not the address of the

Entity's principal office.

EN 1 EN

 2016/881 Art. 1.9 and Annex

(adapted)

ANNEX III

FILING RULES FOR GROUPS OF MULTINATIONAL ENTERPRISES

SECTION I

DEFINED TERMS

1. The term ‘Group’ means a collection of enterprises related through ownership

or control such that it is either required to prepare Consolidated Financial Statements

for financial reporting purposes under applicable accounting principles or would be

so required if equity interests in any of the enterprises were traded on a public

securities exchange.

2. The term ‘Enterprise’ means any form of conducting business by any person

referred to in points (b), (c) and (d) of Article 3, point 1211  (b), (c) and (d)  .

3. The term ‘MNE Group’ means any Group that includes two or more

enterprises the tax residence for which is in different jurisdictions, or includes an

enterprise that is resident for tax purposes in one jurisdiction and is subject to tax

with respect to the business carried out through a permanent establishment in another

jurisdiction, and is not an Excluded MNE Group.

4. The term ‘Excluded MNE Group’ means, with respect to any Fiscal Year of

the Group, a Group having total consolidated group revenue of less than EUR

750000000 or an amount in local currency approximately equivalent to EUR

750000000 as of January 2015 during the Fiscal Year immediately preceding the

Reporting Fiscal Year as reflected in its Consolidated Financial Statements for such

preceding Fiscal Year.

5. The term ‘Constituent Entity’ means any of the following:

(a) any separate business unit of an MNE Group that is included in the

Consolidated Financial Statements of the MNE Group for financial reporting

purposes, or would be so included if equity interests in such business unit of an

MNE Group were traded on a public securities exchange;

(b) any such business unit that is excluded from the MNE Group's

Consolidated Financial Statements solely on size or materiality grounds;

(c) any permanent establishment of any separate business unit of the MNE

Group included in (a) or (b) provided the business unit prepares a separate

financial statement for such permanent establishment for financial reporting,

regulatory, tax reporting, or internal management control purposes.

6. The term ‘Reporting Entity’ means the Constituent Entity that is required to

file a country-by-country report conforming to the requirements in Article 78aa(3) in

its jurisdiction of tax residence on behalf of the MNE Group. The Reporting Entity

may be the Ultimate Parent Entity, the Surrogate Parent Entity, or any entity

described in point 1 of Section II  , paragraph 1  .

7. The term ‘Ultimate Parent Entity’ means a Constituent Entity of an MNE

Group that meets the following criteria:

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(a) it owns directly or indirectly a sufficient interest in one or more other

Constituent Entities of such MNE Group such that it is required to prepare

Consolidated Financial Statements under accounting principles generally

applied in its jurisdiction of tax residence, or would be so required if its equity

interests were traded on a public securities exchange in its jurisdiction of tax

residence;

(b) there is no other Constituent Entity of such MNE Group that owns

directly or indirectly an interest described in point (a) in the first mentioned

Constituent Entity.

8. The term ‘Surrogate Parent Entity’ means one Constituent Entity of the MNE

Group that has been appointed by such MNE Group, as a sole substitute for the

Ultimate Parent Entity, to file the country-by-country report in that Constituent

Entity's jurisdiction of tax residence, on behalf of such MNE Group, when one or

more of the conditions set out in point (b) of the first paragraph of point 1 of Section

II  , paragraph 1, point b  apply.

9. The term ‘Fiscal Year’ means an annual accounting period with respect to

which the Ultimate Parent Entity of the MNE Group prepares its financial

statements.

10. The term ‘Reporting Fiscal Year’ means that Fiscal Year the financial and

operational results of which are reflected in the country-by-country report referred to

in Article 78aa(3).

11. The term ‘Qualifying Competent Authority Agreement’ means an agreement

that is between authorised representatives of an EU Member State and a non-Union

jurisdiction that are parties to an International Agreement and that requires the

automatic exchange of country-by-country reports between the party jurisdictions.

12. The term ‘International Agreement’ means the Multilateral Convention on

Mutual Administrative Assistance in Tax Matters, any bilateral or multilateral tax

convention, or any tax information exchange agreement to which the Member State

is a party, and that by its terms provides legal authority for the exchange of tax

information between jurisdictions, including automatic exchange of such

information.

13. The term ‘Consolidated Financial Statements’ means the financial statements

of an MNE Group in which the assets, liabilities, income, expenses and cash flows of

the Ultimate Parent Entity and the Constituent Entities are presented as those of a

single economic entity.

14. The term ‘Systemic Failure’ with respect to a jurisdiction means either that a

jurisdiction has a Qualifying Competent Authority Agreement in effect with a

Member State but has suspended automatic exchange (for reasons other than those

that are in accordance with the terms of that Agreement), or that a jurisdiction

otherwise persistently failed to automatically provide to a Member State country-by-

country reports in its possession of MNE Groups that have Constituent Entities in

that Member State.

SECTION II

GENERAL REPORTING REQUIREMENTS

1. A Constituent Entity resident in a Member State which is not the Ultimate Parent

Entity of an MNE Group shall file a country-by-country report with respect to the Reporting

EN 3 EN

Fiscal Year of an MNE Group of which it is a Constituent Entity, if the following criteria are

satisfied:

(a) the entity is resident for tax purposes in a Member State;

(b) one of the following conditions applies:

(i) the Ultimate Parent Entity of the MNE Group is not obligated to file a

country-by-country report in its jurisdiction of tax residence;

(ii) the jurisdiction in which the Ultimate Parent Entity is resident for tax

purposes has a current International Agreement to which the Member State is a

party but does not have a Qualifying Competent Authority Agreement in effect

to which the Member State is a party by the time specified in Article 78aa(1)

for filing the country-by-country report for the Reporting Fiscal Year;

(iii) there has been a Systemic Failure of the jurisdiction of tax residence of

the Ultimate Parent Entity that has been notified by the Member State to the

Constituent Entity resident for tax purposes in the Member State.

Without prejudice to the obligation of the Ultimate Parent Entity referred to in

Article 8aa(1) or its Surrogate Parent Entity to file the first country-by-country report

for the Fiscal Year of the MNE Group commencing on or after 1 January 2016,

Member States may decide that the obligation for Constituent Entities set out in point

1 of this Section shall apply for country-by-country reports with respect to the

Reporting Fiscal Years commencing on or after 1 January 2017 onwards.

A Constituent Entity resident in a Member State as defined in the first paragraph of

this point shall request its Ultimate Parent Entity to provide it with all information

required to enable it to meet its obligations to file a country-by-country report, in

accordance with Article 7 8aa(3). If despite that, that Constituent Entity has not

obtained or acquired all the required information to report for the MNE Group, this

Constituent Entity shall file a country-by-country report containing all information in

its possession, obtained or acquired, and notify the Member State of its residence that

the Ultimate Parent Entity has refused to make the necessary information available.

This shall be without prejudice to the right of the Member State concerned to apply

penalties provided for in its national legislation and this Member State shall inform

all Member States of this refusal.

Where there are more than one Constituent Entities of the same MNE Group that are

resident for tax purposes in  within  the Union and one or more of the

conditions set out in point (b) of  this  the first paragraph apply, the MNE

Group may designate one of such Constituent Entities to file the country-by-country

report conforming to the requirements of Article 7 8aa (3) with respect to any

Reporting Fiscal Year within the deadline specified in Article 7 8aa (1) and to notify

the Member State that the filing is intended to satisfy the filing requirement of all the

Constituent Entities of such MNE Group that are resident for tax purposes in

 within  the Union. That Member State shall, pursuant to Article 7 8aa (2),

communicate the country-by-country report received to any other Member State in

which, on the basis of the information in the country-by-country report, one or more

Constituent Entities of the MNE Group of the Reporting Entity are either resident for

tax purposes or are subject to tax with respect to the business carried out through a

permanent establishment.

Where a Constituent Entity cannot obtain or acquire all the information required to

file a country-by-country report, in line with Article 7 8aa (3), then such Constituent

EN 4 EN

Entity shall not be eligible to be designated to be the Reporting Entity for the MNE

Group in accordance with the fourth paragraph of this point. This rule shall be

without prejudice to the obligation of the Constituent Entity to notify the Member

State of its residence that the Ultimate Parent Entity has refused to make the

necessary information available.

2. By  way of  derogation from  paragraph  point 1, when one or more of the

conditions set out in point (b) of the first paragraph  1, point (b)  of point 1 apply, an

entity described in  paragraph  point 1 shall not be required to file a country-by-country

report with respect to any Reporting Fiscal Year if the MNE Group of which it is a

Constituent Entity has made available a country-by-country report in accordance with Article

7 8aa (3) with respect to such Fiscal Year through a Surrogate Parent Entity that files that

country-by-country report with the tax authority of its jurisdiction of tax residence on or

before the date specified in Article 7 8aa (1) and that, in case the Surrogate Parent Entity is

tax resident in a jurisdiction outside the Union, satisfies the following conditions:

(a) the jurisdiction of tax residence of the Surrogate Parent Entity requires filing of

country-by-country reports conforming to the requirements of Article 7 8aa (3);

(b) the jurisdiction of tax residence of the Surrogate Parent Entity has a Qualifying

Competent Authority Agreement in effect to which the Member State is a party by

the time specified in Article 7 8aa (1) for filing the country-by-country report for the

Reporting Fiscal Year;

(c) the jurisdiction of tax residence of the Surrogate Parent Entity has not notified

the Member State of a Systemic Failure;

(d) the jurisdiction of tax residence of the Surrogate Parent Entity has been

notified no later than the last day of the Reporting Fiscal Year of such MNE Group

by the Constituent Entity resident for tax purposes in its jurisdiction that it is the

Surrogate Parent Entity;

(e) a notification has been provided to the Member State in accordance with

 paragraph  point 4.

3. Member States shall request that any Constituent Entity of an MNE Group that is

resident for tax purposes in that Member State notifies the Member State whether it is the

Ultimate Parent Entity or the Surrogate Parent Entity or the Constituent Entity designated

under  paragraph  point 1, no later than the last day of the Reporting Fiscal Year of such

MNE Group. Member States may extend that deadline to the last day for filing of a tax return

of that Constituent Entity for the preceding fiscal year.

4. Member States shall request that where a Constituent Entity of an MNE Group, that is

resident for tax purposes in that Member State, is not the Ultimate Parent Entity nor the

Surrogate Parent Entity nor the Constituent Entity designated under  paragraph  point 1,

it shall notify the Member State of the identity and tax residence of the Reporting Entity, no

later than the last day of the Reporting Fiscal Year of such MNE Group. Member States may

extend that deadline to the last day for filing of a tax return of that Constituent Entity for the

preceding fiscal year.

5. The country-by-country report shall specify the currency of the amounts referred to in

that report.

EN 5 EN

SECTION IIICOUNTRY-BY-COUNTRY REPORT

Α. Template for the country-by-country report

Table 1. Overview of allocation of income, taxes and business activities by tax

jurisdiction

Name of the MNE Group:

Fiscal Year concerned:

TIN

Currency used:

Tax

jurisdi

ction

Revenues Profit

(loss)

before

incom

e tax

Incom

e tax

paid

(on

cash

basis)

Incom

e tax

accru

ed —

curren

t year

Stated

capita

l

Accu

mulat

ed

earnin

gs

Numb

er of

emplo

yees

Tangi

ble

assets

other

than

cash

and

cash

equiv

alents

Unrel

ated

party

Relate

d

party

Total

Table 2 List of all the Constituent Entities of the MNE Group included in each

aggregation per tax jurisdiction

Name of the MNE Group:

Fiscal Year concerned:

Ta

x

Jur

isd

icti

Co

nst

itu

ent

Ent

Tax

Juri

sdic

tion

of

Main Business Activity(ies)

Re

sea

rch

Ho

ldi

ng

Pu

rch

asi

Ma

nufa

ctur

Sal

es,

Ma

Ad

mi

nis

Pr

ovi

sio

Inte

rnal

Gro

Re

gul

ate

Ins

ura

nce

Ho

ldi

ng

Dor

man

t

Ot

her 2

2 Please specify the nature of the activity of the Constituent Entity in the ‘Additional information’

EN 6 EN

on itie

s

Re

sid

ent

in

the

Ta

x

Jur

isd

icti

on

Org

anis

atio

n or

Inco

rpor

atio

n if

Diff

eren

t

fro

m

Tax

Juri

sdic

tion

of

Resi

den

ce

an

d

De

vel

op

me

nt

or

Ma

na

gin

g

Int

ell

ect

ual

Pr

op

ert

y

ng

or

Pr

oc

ure

me

nt

ing

or

Pro

duct

ion

rke

tin

g

or

Dis

tri

but

ion

tra

tiv

e,

Ma

na

ge

me

nt

or

Su

pp

ort

Ser

vic

es

n

of

Ser

vic

es

to

Un

rel

ate

d

Pa

rtie

s

up

Fin

anc

e

d

Fin

an

cia

l

Ser

vic

es

Sh

are

s

or

Ot

her

Eq

uit

y

ins

tru

me

nts

1.

2.

3.

1.

2.

3.

Table 3: Additional information

Name of the MNE Group:

Fiscal Year concerned:

Please include any further brief information or explanation you consider necessary or that

would facilitate the understanding of the compulsory information provided in the country-by-

country report

B. General instructions for filling in the country-by-country report

1. Purpose

The template shall be used for reporting a multinational enterprise's (MNE) Group allocation

of income, taxes and business activities on a tax jurisdiction-by-tax jurisdiction basis.

2. Treatment of branches and permanent establishments

EN 7 EN

The permanent establishment data shall be reported by reference to the tax jurisdiction in

which it is situated and not by reference to the tax jurisdiction of residence of the business

unit of which the permanent establishment is a part. Residence tax jurisdiction reporting for

the business unit of which the permanent establishment is a part shall exclude financial data

related to the permanent establishment.

3. Period covered by the annual template

The template shall cover the Fiscal Year of the reporting MNE. For Constituent Entities, at

the discretion of the reporting MNE, the template shall reflect on a consistent basis either of

the following information:

(a) information for the Fiscal Year of the relevant Constituent Entities ending on

the same date as the Fiscal Year of the reporting MNE, or ending within the 12 month period

preceding such date;

(b) information for all the relevant Constituent Entities reported for the Fiscal

Year of the reporting MNE.

4. Source of data

The reporting MNE shall consistently use the same sources of data from year to year in

completing the template. The reporting MNE may choose to use data from its consolidation

reporting packages, from separate entity statutory financial statements, regulatory financial

statements, or internal management accounts. It is not necessary to reconcile the revenue,

profit and tax reporting in the template to the Consolidated Financial Statements. If statutory

financial statements are used as the basis for reporting, all amounts shall be translated to the

stated functional currency of the reporting MNE at the average exchange rate for the year

stated in the ‘Additional information’ section of the template. Adjustments need not be made,

however, for differences in accounting principles applied from tax jurisdiction to tax

jurisdiction.

The reporting MNE shall provide a brief description of the sources of data used in preparing

the template in the ‘Additional information’ section of the template. If a change is made in the

source of data used from year to year, the reporting MNE shall explain the reasons for the

change and its consequences in the ‘Additional information’ section of the template.

C. Specific instructions for filling in the country-by-country report

1. Overview of allocation of income, taxes and business activities by tax jurisdiction

(Table 1)

1.1. Tax jurisdiction

In the first column of the template, the reporting MNE shall list all of the tax jurisdictions in

which Constituent Entities of the MNE Group are resident for tax purposes. A tax jurisdiction

is defined as a State as well as a non-State jurisdiction which has fiscal autonomy. A separate

line shall be included for all Constituent Entities in the MNE Group deemed by the reporting

MNE not to be resident in any tax jurisdiction for tax purposes. Where a Constituent Entity is

resident in more than one tax jurisdiction, the applicable tax treaty tie breaker shall be applied

to determine the tax jurisdiction of residence. Where no applicable tax treaty exists, the

Constituent Entity shall be reported in the tax jurisdiction of the Constituent Entity's place of

effective management. The place of effective management shall be determined with

internationally agreed standards.

1.2. Revenues

EN 8 EN

In the three columns of the template under the heading ‘Revenues’, the reporting MNE shall

report the following information:

(a) the sum of revenues of all the Constituent Entities of the MNE Group in the

relevant tax jurisdiction generated from transactions with associated enterprises;

(b) the sum of revenues of all the Constituent Entities of the MNE Group in the

relevant tax jurisdiction generated from transactions with independent parties;

(c) the total of the sums referred to in points (a) and (b).

Revenues shall include revenues from sales of inventory and properties, services, royalties,

interest, premiums and any other amounts. Revenues shall exclude payments received from

other Constituent Entities that are treated as dividends in the payer's tax jurisdiction.

1.3. Profit (loss) before income tax

In the fifth column of the template, the reporting MNE shall report the sum of the profit (loss)

before income tax for all the Constituent Entities resident for tax purposes in the relevant tax

jurisdiction. The profit (loss) before income tax shall include all extraordinary income and

expense items.

1.4. Income tax paid (on cash basis)

In the sixth column of the template, the reporting MNE shall report the total amount of

income tax actually paid during the relevant Fiscal Year by all the Constituent Entities

resident for tax purposes in the relevant tax jurisdiction. Taxes paid shall include cash taxes

paid by the Constituent Entity to the residence tax jurisdiction and to all other tax

jurisdictions. Taxes paid shall include withholding taxes paid by other entities (associated

enterprises and independent enterprises) with respect to payments to the Constituent Entity.

Thus, if company A resident in tax jurisdiction A earns interest in tax jurisdiction B, the tax

withheld in tax jurisdiction B shall be reported by company A.

1.5. Income tax accrued (current year)

In the seventh column of the template, the reporting MNE shall report the sum of the accrued

current tax expense recorded on taxable profits or losses of the year of reporting of all the

Constituent Entities resident for tax purposes in the relevant tax jurisdiction. The current tax

expense shall reflect only operations in the current year and shall not include deferred taxes or

provisions for uncertain tax liabilities.

1.6. Stated capital

In the eighth column of the template, the reporting MNE shall report the sum of the stated

capital of all the Constituent Entities resident for tax purposes in the relevant tax jurisdiction.

With regard to permanent establishments, the stated capital shall be reported by the legal

entity of which it is a permanent establishment unless there is a defined capital requirement in

the permanent establishment tax jurisdiction for regulatory purposes.

1.7. Accumulated earnings

In the ninth column of the template, the reporting MNE shall report the sum of the total

accumulated earnings of all the Constituent Entities resident for tax purposes in the relevant

tax jurisdiction as of the end of the year. With regard to permanent establishments,

accumulated earnings shall be reported by the legal entity of which it is a permanent

establishment.

1.8. Number of employees

EN 9 EN

In the tenth column of the template, the reporting MNE shall report the total number of

employees on a full-time equivalent (FTE) basis of all the Constituent Entities resident for tax

purposes in the relevant tax jurisdiction. The number of employees may be reported as of the

year-end, on the basis of average employment levels for the year, or on any other basis

consistently applied across tax jurisdictions and from year to year. For this purpose,

independent contractors participating in the ordinary operating activities of the Constituent

Entity may be reported as employees. Reasonable rounding or approximation of the number

of employees is permissible, providing that such rounding or approximation does not

materially distort the relative distribution of employees across the various tax jurisdictions.

Consistent approaches shall be applied from year to year and across entities.

1.9. Tangible assets other than cash and cash equivalents

In the eleventh column of the template, the reporting MNE shall report the sum of the net

book values of tangible assets of all the Constituent Entities resident for tax purposes in the

relevant tax jurisdiction. With regard to permanent establishments, assets shall be reported by

reference to the tax jurisdiction in which the permanent establishment is situated. Tangible

assets for this purpose do not include cash or cash equivalents, intangibles, or financial assets.

2. List of all the Constituent Entities of the MNE Group included in each aggregation per

tax jurisdiction (Table 2)

2.1. Constituent Entities resident in the tax jurisdiction

The reporting MNE shall list, on a tax jurisdiction-by-tax jurisdiction basis and by legal entity

name, all the Constituent Entities of the MNE Group which are resident for tax purposes in

the relevant tax jurisdiction. As stated in point 2 of the general instructions with regard to

permanent establishments, however, the permanent establishment shall be listed by reference

to the tax jurisdiction in which it is situated. The legal entity of which it is a permanent

establishment shall be noted.

2.2. Tax jurisdiction of organisation or incorporation if different from tax jurisdiction of

residence

The reporting MNE shall report the name of the tax jurisdiction under whose laws the

Constituent Entity of the MNE Group is organised or incorporated if it is different from the

tax jurisdiction of residence.

2.3. Main business activity(ies)

The reporting MNE shall determine the nature of the main business activity(ies) carried out

by the Constituent Entity in the relevant tax jurisdiction, by ticking one or more of the

appropriate boxes.

EN 1 EN

 2018/822 Art. 1.8 and Annex

(adapted)

 new

ANNEX IV

HALLMARKS

Part I. Main benefit test

 Hallmarks  Generic hallmarks under category A and specific hallmarks under  Part

II,  category B and under points (b)(i), (c) and (d) of paragraph 1 of  Part II, 

category C  , paragraph 1, points (b)(i), (c) and (d)  may only be taken into account where

they fulfil the ‘main benefit test’.

That test will be satisfied if it can be established that the main benefit or one of the main

benefits which, having regard to all relevant facts and circumstances, a person may reasonably

expect to derive from an arrangement is the obtaining of a tax advantage.

In the context of hallmark under paragraph 1 of  Part II,  category C,  paragraph

1,  the presence of conditions set out in points (b)(i), (c) or (d) of paragraph 1 of  Part

II,  category C  , paragraph 1, points (b)(i), (c) or (d),  cannot alone be a reason for

concluding that an arrangement satisfies the main benefit test.

Part II. Categories of hallmarks

A.  (deleted) Generic hallmarks linked to the main benefit test

1. An arrangement where the relevant taxpayer or a participant in the arrangement

undertakes to comply with a condition of confidentiality which may require them not to

disclose how the arrangement could secure a tax advantage vis-à-vis other intermediaries or

the tax authorities.

2. An arrangement where the intermediary is entitled to receive a fee (or interest,

remuneration for finance costs and other charges) for the arrangement and that fee is fixed by

reference to:

(a) the amount of the tax advantage derived from the arrangement; or

(b) whether or not a tax advantage is actually derived from the arrangement. This

would include an obligation on the intermediary to partially or fully refund the fees

where the intended tax advantage derived from the arrangement was not partially or

fully achieved.

3. An arrangement that has substantially standardised documentation and/or structure and

is available to more than one relevant taxpayer without a need to be substantially customised

for implementation.

B.  Hallmarks  Specific hallmarks linked to the main benefit test

1. An arrangement whereby a participant in the arrangement takes contrived steps which

consist in acquiring a loss-making company, discontinuing the main activity of such company

and using its losses in order to reduce its tax liability, including through a transfer of those

losses to another jurisdiction or by the acceleration of the use of those losses.

2. An arrangement that has the effect of converting income into capital, gifts or other

categories of revenue which are taxed at a lower level or exempt from tax.

EN 2 EN

3. An arrangement which includes circular transactions resulting in the round-tripping of

funds, namely through involving interposed entities without other primary commercial

function or transactions that offset or cancel each other or that have other similar features.

C.  Hallmarks  Specific hallmarks related to cross-border transactions

1. An arrangement that involves deductible cross-border payments made between two or

more associated enterprises where at least one of the following conditions occurs:

(a) the recipient is not resident for tax purposes in any tax jurisdiction;

(b) although the recipient is resident for tax purposes in a jurisdiction, that

jurisdiction either:

(i) does not impose any corporate tax or imposes corporate tax at the rate

of zero or almost zero; or

(ii) is included in  Annex I to  a list of third-country jurisdictions which

have been assessed by Member States collectively or within the  Council

conclusions on  framework of the  revised EU list of OECD as being

non-cooperative  jurisdictions for tax purposes  ;

(c) the payment benefits from a full exemption from tax in the jurisdiction where

the recipient is resident for tax purposes;

(d) the payment benefits from a preferential tax regime in the jurisdiction where

the recipient is resident for tax purposes;

2. Deductions for the same depreciation on the asset are claimed in more than one

jurisdiction.

3. Relief from double taxation in respect of the same item of income or capital is claimed

in more than one jurisdiction.

4. There is an arrangement that includes transfers of assets and where there is a material

difference in the amount being treated as payable in consideration for the assets in those

jurisdictions involved.

D. Specific hallmarks concerning automatic exchange of information and beneficial

ownership

1. An arrangement which may have the effect of undermining the reporting obligation

under the laws implementing Union legislation or any equivalent agreements on the automatic

exchange of Financial Account information, including agreements with third countries, or

which takes advantage of the absence of such legislation or agreements. Such arrangements

include at least the following:

(a) the use of an account, product or investment that is not, or purports not to be, a

Financial Account, but has features that are substantially similar to those of a

Financial Account;

(b) the transfer of Financial Accounts or assets to, or the use of jurisdictions that are not

bound by the automatic exchange of Financial Account information with the State of

residence of the relevant taxpayer;

(c) the reclassification of income and capital into products or payments that are not

subject to the automatic exchange of Financial Account information;

EN 3 EN

(d) the transfer or conversion of a Financial Institution or a Financial Account or the

assets therein into a Financial Institution or a Financial Account or assets not subject

to reporting under the automatic exchange of Financial Account information;

(e) the use of legal entities, arrangements or structures that eliminate or purport to

eliminate reporting of one or more Account Holders or Controlling Persons under the

automatic exchange of Financial Account information;

(f) arrangements that undermine, or exploit weaknesses in, the due diligence procedures

used by Financial Institutions to comply with their obligations to report Financial

Account information, including the use of jurisdictions with inadequate or weak

regimes of enforcement of anti-money-laundering legislation or with weak

transparency requirements for legal persons or legal arrangements.

2. An arrangement involving a non-transparent legal or beneficial ownership chain with the

use of persons, legal arrangements or structures:

(a) that do not carry on a substantive economic activity supported by adequate staff,

equipment, assets and premises; and

(b) that are incorporated, managed, resident, controlled or established in any

jurisdiction other than the jurisdiction of residence of one or more of the beneficial

owners of the assets held by such persons, legal arrangements or structures; and

(c) where the beneficial owners of such persons, legal arrangements or structures, as

defined in Directive (EU)  Regulation (EU) 2024/1624  2015/849, are made

unidentifiable.

E.  Hallmarks  Specific hallmarks concerning transfer pricing

1. An arrangement which involves the use of unilateral safe harbour rules.

2. An arrangement involving the transfer of hard-to-value intangibles. The term ‘hard-to-

value intangibles’ covers intangibles or rights in intangibles for which, at the time of their

transfer between associated enterprises:

(a) no reliable comparables exist; and

(b) at the time the transaction was entered into, the projections of future cash flows

or income expected to be derived from the transferred intangible, or the assumptions

used in valuing the intangible are highly uncertain, making it difficult to predict the

level of ultimate success of the intangible at the time of the transfer.

3. An arrangement involving an intragroup cross-border transfer of functions and/or risks

and/or assets, if the projected annual earnings before interest and taxes (EBIT), during the

three-year period after the transfer, of the transferor or transferors, are less than 50 % of the

projected annual EBIT of such transferor or transferors if the transfer had not been made.

EN 1 EN

 2021/514 Art. 1.20 and Annex

(adapted)

 new

ANNEX V

DUE DILIGENCE PROCEDURES, REPORTING REQUIREMENTS AND OTHER

RULES FOR PLATFORM OPERATORS

This Annex lays down the due diligence procedures, reporting requirements and other rules

that shall be applied by the Reporting Platform Operators in order to enable Member States to

communicate, by automatic exchange, the information referred to in Article  9  8ac of

this Directive.

This Annex also lays down the rules and administrative procedures that Member States shall

have in place to ensure effective implementation of, and compliance with, the due diligence

procedures and reporting requirements set out in it.

SECTION I

DEFINED TERMS

The following terms have the meaning set forth below:

A. Reporting Platform Operators

1. ‘Platform’ means any software, including  one or more  a websites

or a part thereof and applications, including mobile applications, accessible by

users and allowing Sellers to be connected to other users for the purpose of

carrying out a Relevant Activity, directly or indirectly, to such users. It also

includes any arrangement for the collection and payment of a Consideration in

respect of Relevant Activity.

The term ‘Platform’ does not include software that without any further

intervention in carrying out a Relevant Activity exclusively allows any of the

following:

(a) processing of payments in relation to Relevant Activity;

(b) users to list or advertise a Relevant Activity;

(c) redirecting or transferring of users to a Platform.

 new

2. ‘Platform Operator’ means:

(a) an Entity that operates the software of the Platform or part thereof and

contracts with Sellers to make available all or part of a Platform to such

Sellers, by:

(i) enabling such Sellers to be connected to other users for the provision

of Relevant Activities, including by providing Sellers with direct access to the

Platform or by listing, offering or otherwise making available Relevant

Activities on the Platform on behalf of Sellers; or

(ii) collecting Consideration from users;

EN 2 EN

(b) an Entity that is registered on a Platform as a Seller, or in a functionally

equivalent capacity, and that, pursuant to contractual arrangements with one or

more of its Sellers, makes available the Platform to such Sellers.

The term Platform Operator does not include an Entity whose activities are

limited to the processing of payments, including the handling or transfer of

funds, and that does not have independent knowledge of the underlying

contractual arrangements, the Relevant Activities, or the Consideration.

 2021/514 Art. 1.20 and Annex

(adapted)

 new

3. ‘Excluded Platform Operator’ means a Platform Operator which:

 (a)  has demonstrated upfront and on an annual basis to the

satisfaction of the competent authority of the Member State to which, in

accordance with the rules laid down in subparagraphs A(1) to A(3) of Section

III,  subparagraphs A(1), (2) and  to A(3) of the Platform Operator

otherwise would have had to report that Platform’s entire business model is

such that it does not have Reportable Sellers;

 (b) facilitates the provision of Relevant Activities for which the aggregate

Consideration at the level of the Platform over the previous calendar year is

less than EUR 50 000 and that notifies the tax administration of the Member

State of election that it opts to be treated as such  .

4. ‘Reporting Platform Operator’ means any Platform Operator, other than

an Excluded Platform Operator, who is in any of the following situations:

(a) it is resident for tax purposes in a Member State or, where such

Platform Operator does not have a residence for tax purposes in a

Member State, it fulfils any of the following conditions:

(i) it is incorporated under the laws of a Member State;

(ii) it has its place of management (including effective

management) in a Member State;

(iii) it has a permanent establishment in a Member State and

is not a Qualified Non-Union Platform Operator;

(b) it is neither resident for tax purposes, nor incorporated or

managed in a Member State, nor has a permanent establishment in a

Member State, but facilitates the carrying out of a Relevant Activity by

Reportable Sellers or a Relevant Activity involving the rental of

immovable property located in a Member State and is not a Qualified

Non-Union Platform Operator.

5. ‘Qualified Non-Union Platform Operator’ means a Platform Operator

for which all Relevant Activities that it facilitates are also Qualified Relevant

Activities and that is resident for tax purposes in a Qualified Non-Union

Jurisdiction or, where such Platform Operator does not have a residence for tax

purposes in a Qualified Non-Union Jurisdiction, it fulfils any of the following

conditions:

EN 3 EN

(a) it is incorporated under the laws of a Qualified Non-Union

Jurisdiction; or

(b) it has its place of management (including effective

management) in a Qualified Non-Union Jurisdiction.

6. ‘Qualified Non-Union Jurisdiction’ means a non-Union jurisdiction that

has in effect an Effective Qualifying Competent Authority Agreement with the

competent authorities of all Member States which are identified as reportable

jurisdictions in a list published by the non-Union jurisdiction.

7. ‘Effective Qualifying Competent Authority Agreement’ means an

agreement between the competent authorities of a Member State and a non-

Union jurisdiction that requires the automatic exchange of information

equivalent to that specified in paragraph B of Section III  , paragraph B 

of this Annex as confirmed by an implementing act in accordance with Article

118ac(7).

8. ‘Relevant Activity’ means an activity carried out for Consideration and

being any of the following:

(a) the rental of immovable property, including both residential and

commercial property, as well as any other immovable property and

parking spaces;

(b) a Personal Service;

(c) the sale of Goods;

(d) the rental of any mode of transport.

The term ‘Relevant Activity’ does not include an activity carried out by a

Seller acting as an employee of the Platform Operator or a related Entity of the

Platform Operator.

9. ‘Qualified Relevant Activities’ means any Relevant Activity covered

by the automatic exchange pursuant to an Effective Qualifying Competent

Authority Agreement.

10. ‘Consideration’ means compensation in any form, net of any fees,

commissions or taxes withheld or charged by the Reporting Platform Operator,

that is paid or credited to a Seller in connection with the Relevant Activity, the

amount of which is known or reasonably knowable by the Platform Operator.

11. ‘Personal Service’ means a service involving time- or task-based work

performed by one or more individuals, acting either independently or on behalf

of an Entity, and which is carried out at the request of a user, either online or

physically offline after having been facilitated via a Platform.

B. Reportable Sellers

1. ‘Seller’ means a Platform user, either an individual or an Entity, that is

registered at any moment during the Reportable Period on the Platform and

carries out a Relevant Activity.

EN 4 EN

 new

For the purposes of the first subparagraph, “registered” shall be interpreted broadly

and includes instances where a user has created a profile or account on the Platform as

well as entered into a contractual relationship with the Platform Operator of the

Platform.

The term “Seller” also means an entity that qualifies as a Platform Operator registered

on a Platform as a Seller, or in a functionally equivalent capacity, and that, pursuant to

contractual arrangements with one or more of its Sellers, makes available all or part of

the Platform to such Sellers.

 2021/514 Art. 1.20 and Annex

(adapted)

 new

2. ‘Active Seller’ means any Seller that either provides a Relevant

Activity during the Reportable Period or is paid or credited Consideration in

connection with a Relevant Activity during the Reportable Period.

3. ‘Reportable Seller’ means any Active Seller, other than an Excluded

Seller, that is resident in a Member State or that rented out immovable property

located in a Member State.

4. ‘Excluded Seller’ means any Seller

(a) that is a Governmental Entity;

(b) that is an Entity the stock of which is regularly traded on an

established securities market or a related Entity of an Entity the stock of

which is regularly traded on an established securities market;

(c) that is an Entity for which the Platform Operator facilitated

more than 2000 Relevant Activities by means of the rental of immovable

property in respect of a Property Listing during the Reporting Period; or

(d) for which the Platform Operator facilitated less than 30

Relevant Activities by means of the sale of Goods andfor which the total

amount of Consideration paid or credited did not exceed EUR 2000

 3000  during the Reporting Period  , or 

 (e) that is a Related Entity of the Reporting Platform Operator. 

C. Other definitions

1. ‘Entity’ means a legal person or a legal arrangement, such as a

corporation, partnership, trust or foundation  or a sole trader  . An Entity is

a related Entity of another Entity if either Entity controls the other Entity, or

the two Entities are under common control. For this purpose control includes

direct or indirect ownership of more than 50 % of the vote and value in an

Entity. In indirect participation, the fulfilment of the requirement for the

holding of more than 50 % of the right of ownership in the capital of the other

Entity shall be determined by multiplying the rates of holding through the

successive tiers. A person holding more than 50 % of the voting rights shall be

deemed to hold 100 %.

EN 5 EN

2. ‘Governmental Entity’ means the government of a Member State or

other jurisdiction, any political subdivision of a Member State or other

jurisdiction (which includes a state, province, county, or municipality), or any

wholly owned agency or instrumentality of a Member State or other

jurisdiction or of any one or more of the foregoing (each, a ‘Governmental

Entity’).

3. ‘TIN’ means a Taxpayer Identification Number, issued by a Member

State, or functional equivalent in the absence of a Taxpayer Identification

Number.

4. ‘VAT identification number’ means the unique number that identifies a

taxable person or a non-taxable legal entity that is registered for value added

tax purposes.

5. ‘Primary Address’ means the address that is the primary residence of a

Seller who is an individual, as well as the address that is the registered office of

a Seller that is an Entity.

6. ‘Reportable Period’ means the calendar year in respect of which

reporting is being completed pursuant to Section III.

7. ‘Property Listing’ means all immovable property units located at the

same street address, owned by the same owner and offered for rent on a

Platform by the same Seller.

8. ‘Financial Account Identifier’ means the unique identifying number or

reference available to the Platform Operator of the bank account or other

similar payment services account to which the Consideration is paid or

credited.

9. ‘Goods’ means any tangible property.

 2023/2226 Art. 1.18 and Annex

II.1

10. ‘Identification Service’ means an electronic process made available

free of charge by a Member State or the Union to a Reporting Platform

Operator for the purpose of ascertaining the identity and tax residence of a

Seller.

 2021/514 Art. 1.20 and Annex

(adapted)

 new

SECTION II

DUE DILIGENCE PROCEDURES

The following procedures shall apply for the purpose of identifying Reportable Sellers.

A. Sellers not subject to review  and Sellers that are Reporting Platform

Operators: 

EN 6 EN

For the purpose of determining whether a Seller that is an Entity qualifies as an

Excluded Seller described in points (a) and (b) of subparagraph B(4) of Section I

 , subparagraph B(4), points (a) and (b) , a Reporting Platform Operator may

rely on publicly available information or a confirmation from the Seller that is an

Entity.

For the purpose of determining whether a Seller qualifies as an Excluded Seller

described in points (c) and (d) of subparagraph B(4) of Section I  , subparagraph

B(4), points (c) and (d)  , a Reporting Platform Operator may rely on its available

records.

 new

For the purpose of determining whether an Entity Seller is a Reporting Platform

Operator or a reporting platform operator in another Member State or a non-Union

jurisdiction being not a Qualified non-Union jurisdiction as defined in Section I,

subparagraph A(6), a Reporting Platform Operator shall obtain a written confirmation

from the Entity Seller.

 2021/514 Art. 1.20 and Annex

B. Collection of Seller information

1. The Reporting Platform Operator shall collect all of the following

information for each Seller who is an individual and not an Excluded Seller:

(a) the first and last name;

(b) the Primary Address;

(c) any TIN issued to that Seller, including each Member State of

issuance, and in the absence of a TIN, the place of birth of that Seller;

(d) the VAT identification number of that Seller, where available;

(e) the date of birth.

2. The Reporting Platform Operator shall collect all of the following

information for each Seller that is an Entity and not an Excluded Seller:

(a) the legal name;

(b) the Primary Address;

(c) any TIN issued to that Seller, including each Member State of

issuance;

(d) the VAT identification number of that Seller, where available;

(e) the business registration number;

(f) the existence of any permanent establishment through which

Relevant Activities are carried out in the Union, where available,

indicating each respective Member State, where such a permanent

establishment is located.

EN 7 EN

 2021/514 Art. 1.20 and Annex

(adapted)

34. Notwithstanding point (c) of subparagraph B(1)  , point (c)  and

points (c) and (e) of subparagraph B(2)  , points (c) and (e)  , the

Reporting Platform Operator shall not be required to collect the TIN or the

business registration number, as the case may be, in any of the following

situations:

(a) the Member State of residence of the Seller does not issue a

TIN or business registration number to the Seller;

(b) the Member State of residence of the Seller does not require the

collection of the TIN issued to the Seller.

C. Verification of Seller information

1. The Reporting Platform Operator shall determine whether the

information collected pursuant to paragraph A, subparagraph B(1), points (a) to

(e) of subparagraph B(2)  , points (a) to (e)  and paragraph E is reliable,

using all information and documents available to the Reporting Platform

Operator in its records, as well as any electronic interface made available by a

Member State or the Union free of charge to ascertain the validity of the TIN

and/or VAT identification number.

2. Notwithstanding subparagraph C(1), for the completion of the due

diligence procedures pursuant to subparagraph F(2), the Reporting Platform

Operator may determine whether the information collected pursuant to

paragraph A, subparagraph B(1), points (a) to (e) of subparagraph B(2)  ,

points (a) to (e)  and paragraph E is reliable, using information and

documents available to the Reporting Platform Operator in its electronically

searchable records.

3. In application of point (b) of subparagraph F(3)  , point (b)  and

notwithstanding subparagraphs C(1) and C(2), in instances where the

Reporting Platform Operator has reason to know that any of the information

items described in paragraph B or E may be inaccurate by virtue of information

provided by the competent authority of a Member State in a request concerning

a specific Seller, it shall request the Seller to correct information items that

were found to be incorrect and to provide supporting documents, data or

information, which is reliable and of independent source, such as:

(a) valid government-issued identification document,

(b) recent tax residency certificate.

D. Determination of Member State(s) of residence of Seller for the purposes of

this Directive

1. A Reporting Platform Operator shall consider a Seller resident in the

Member State of the Seller’s Primary Address. Where different from the

Member State of the Seller’s Primary Address, a Reporting Platform Operator

shall consider Seller resident also in the Member State of issuance of TIN.

Where the Seller has provided information with respect to the existence of a

permanent establishment pursuant to point (f) of subparagraph B(2)  , point

EN 8 EN

(f)  , a Reporting Platform Operator shall consider a Seller resident also in

the respective Member State as specified by the Seller.

2. Notwithstanding subparagraph D(1), a Reporting Platform Operator

shall consider a Seller resident in each Member State confirmed by an

electronic identification service made available by a Member State or the

Union pursuant to subparagraph B(3).

E. Collection of information on rented immovable property

Where a Seller is engaged in Relevant Activity involving the rental of immovable

property, the Reporting Platform Operator shall collect the address of each Property

Listing and, where issued, respective land registration number or its equivalent under

the national law of the Member State where it is located. Where a Reporting Platform

Operator facilitated more than 2000 Relevant Activities by means of the rental of a

Property Listing for the same Seller that is an Entity, the Reporting Platform

Operator shall collect supporting documents, data or information that the Property

Listing is owned by the same owner.

F. Timing and validity of due diligence procedures

1. A Reporting Platform Operator shall complete the due diligence

procedures set out in paragraphs A to E by 31 December of the Reportable

Period.

2. Notwithstanding subparagraph F(1), for Sellers that were already

registered on the Platform as of 1 January 2023 or as of the date on which an

Entity becomes a Reporting Platform Operator, the due diligence procedures

set out in paragraphs A to E are required to be completed by 31 December of

the second Reportable Period for the Reporting Platform Operator.

3. Notwithstanding subparagraph F(1), a Reporting Platform Operator

may rely on the due diligence procedures conducted in respect of previous

Reportable Periods, provided that:

(a) the Seller information required in subparagraphs B(1) and B(2)

has been either collected and verified or confirmed within the last 36

months; and

(b) the Reporting Platform Operator does not have reason to know

that information collected pursuant to paragraphs A, B and E is or has

become unreliable or incorrect.

G. Application of the due diligence procedures to Active Sellers only

A Reporting Platform Operator may elect to complete the due diligence procedures

pursuant to paragraphs A to F in respect of Active Sellers only.

H. Completion of the due diligence procedures by third parties

1. A Reporting Platform Operator may rely on a third party service

provider to fulfil the due diligence obligations laid down in this Section, but

such obligations shall remain the responsibility of the Reporting Platform

Operator.

2. Where a Platform Operator fulfils the due diligence obligations for a

Reporting Platform Operator with respect to the same Platform pursuant to

subparagraph H(1), such Platform Operator shall carry out the due diligence

EN 9 EN

procedures pursuant to the rules laid down in this Section. The due diligence

obligations shall remain the responsibility of the Reporting Platform Operator.

SECTION III

REPORTING REQUIREMENTS

A. Time and manner of reporting

1. A Reporting Platform Operator within the meaning of point (a) of

subparagraph A(4) of Section I  , subparagraph A(4), point (a),  shall

report to the competent authority of the Member State determined in

accordance with point (a) of subparagraph A(4) of Section I  , subparagraph

A(4), point (a)  the information set out in paragraph B of this Section with

respect to the Reportable Period no later than 31 January of the year following

the calendar year in which the Seller is identified as a Reportable Seller. Where

there is more than one Reporting Platform Operator, any of those Reporting

Platform Operators shall be exempt from reporting the information if it has

proof, in accordance with national law, that the same information has been

reported by another Reporting Platform Operator.

2. If a Reporting Platform Operator within the meaning of point (a) of

subparagraph A(4) of Section I  , subparagraph A(4), point (a)  fulfils

any of the conditions listed therein in more than one Member State, it shall

elect one of those Member States in which it will fulfil the reporting

requirements set out in this Section. Such Reporting Platform Operator shall

report the information listed in paragraph B of this Section with respect to the

Reportable Period to the competent authority of the Member State of election,

as this is determined in accordance with paragraph E of Section IV  ,

paragraph E  , no later than 31 January of the year following the calendar

year in which the Seller is identified as a Reportable Seller. Where there is

more than one Reporting Platform Operator, any of those Reporting Platform

Operators shall be exempt from reporting the information if it has proof, in

accordance with national law, that the same information has been reported by

another Reporting Platform Operator in another Member State.

3. A Reporting Platform Operator within the meaning of point (b) of

subparagraph A(4) of Section I  , subparagraph A(4), point (b)  shall

report the information set out in paragraph B of this Section with respect to the

Reportable Period to the competent authority of the Member State of

registration, as this is determined in accordance with subparagraph F(1) of

Section IV  , subparagraph F(1)  , no later than 31 January of the year

following the calendar year in which the Seller is identified as a Reportable

Seller.

4. Notwithstanding subparagraph A(3) of this Section, a Reporting

Platform Operator within the meaning of point (b) of subparagraph A(4) of

Section I  , subparagraph A(4), point (b)  shall not be required to provide

the information set out in paragraph B of this Section with respect to Qualified

Relevant Activities, covered by an Effective Qualifying Competent Authority

Agreement, which already provides for the automatic exchange of equivalent

information with a Member State on Reportable Sellers resident in that

Member State.

EN 10 EN

5. A Reporting Platform Operator shall also provide the information set

out in subparagraphs B(2) and B(3) to the Reportable Seller to which it relates,

no later than 31 January of the year following the calendar year in which the

Seller is identified as a Reportable Seller.

6. The information with respect to the Consideration paid or credited in a

fiat currency shall be reported in the currency in which it was paid or credited.

In case the Consideration was paid or credited in a form other than fiat

currency, it shall be reported in the local currency, converted or valued in a

manner that is consistently determined by the Reporting Platform Operator.

7. The information about the Consideration and other amounts shall be

reported in respect of the quarter of the Reportable Period in which the

Consideration was paid or credited.

B. Information to be reported

Each Reporting Platform Operator shall report the following information:

1. The name, registered office address, TIN and, where relevant,

individual identification number allocated pursuant to subparagraph F(4) of

Section IV  , subparagraph F(4)  of the Reporting Platform Operator, as

well as the business name(s) of the Platform(s) in respect of which the

Reporting Platform Operator is reporting.

2. With respect to each Reportable Seller that carried out Relevant

Activity, other than immovable property rental:

(a) the information items required to be collected pursuant to

paragraph B of Section II  , paragraph B  ;

(b) the Financial Account Identifier, insofar as it is available to the

Reporting Platform Operator and the competent authority of the Member

State where the Reportable Seller is resident in the meaning of paragraph

D of Section II  , paragraph D  has not published that it does not

intend to use the Financial Account Identifier for this purpose;

(c) where different from the name of the Reportable Seller, in

addition to the Financial Account Identifier, the name of the holder of the

financial account to which the Consideration is paid or credited, to the

extent available to the Reporting Platform Operator, as well as any other

financial identification information available to the Reporting Platform

Operator with respect to that account holder;

(d) each Member State in which the Reportable Seller is resident

for the purposes of this Directive as determined pursuant to paragraph D

of Section II  , paragraph D  ;

(e) the total Consideration paid or credited during each quarter of

the Reportable Period and the number of Relevant Activities in respect of

which it was paid or credited;

(f) any fees, commissions or taxes withheld or charged by the

Reporting Platform Operator during each quarter of the Reportable

Period.

3. With respect to each Reportable Seller that carried out Relevant

Activity involving immovable property rental:

EN 11 EN

(a) the information items required to be collected pursuant to

paragraph B of Section II  , paragraph B  ;

(b) the Financial Account Identifier, insofar as it is available to the

Reporting Platform Operator and the competent authority of the Member

State where the Reportable Seller is resident in the meaning of paragraph

D of Section II  , paragraph D  has not published that it does not

intend to use the Financial Account Identifier for this purpose;

(c) where different from the name of the Reportable Seller, in

addition to the Financial Account Identifier, the name of the holder of the

financial account to which the Consideration is paid or credited, to the

extent available to the Reporting Platform Operator, as well as any other

financial identification information available to the Reporting Platform

Operator with respect to the account holder;

(d) each Member State in which the Reportable Seller is resident

for the purposes of this Directive as determined pursuant to subparagraph

D of Section II  , subparagraph D  ;

(e) the address of each Property Listing, determined on the basis of

the procedures set out in paragraph E of Section II  , paragraph E  ,

and respective land registration number or its equivalent under the

national law of the Member State where it is located, where available;

(f) the total Consideration paid or credited during each quarter of

the Reportable Period and the number of Relevant Activities provided

with respect to each Property Listing;

(g) any fees, commissions or taxes withheld or charged by the

Reporting Platform Operator during each quarter of the Reportable

Period;

(h) where available, the number of days each Property Listing was

rented during the Reportable Period and the type of each Property

Listing.

 2023/2226 Art. 1.18 and Annex

II.3

4. Notwithstanding subparagraph B(2), point (a), and subparagraph B(3),

point (a), the Reporting Platform Operator shall not be required to report the

information items required to be collected pursuant to Section II, paragraph B,

where it reports to a competent authority that uses an Identification Service and

relies on direct confirmation of the identity and residence of the Seller through

an Identification Service made available by a Member State or the Union to

ascertain the identity and all tax residencies of the Seller. In case the Reporting

Platform Operator relied on an Identification Service to ascertain the identity

and all tax residencies of a Reportable Seller, the name, Identification Service

identifier(s) and the Member State(s) of issuance shall be reported.

EN 12 EN

 new

5. Notwithstanding subparagraphs B(2) and (3), the Reporting Platform

Operator is not required to report information pursuant to subparagraphs B(2),

points (b), (c), (d), (f) and (g) and B(3), points (b), (c), (d), (f), (g), (h) and (i)

with respect to a Reportable Seller that is a Reporting Platform Operator or a

reporting platform operator in another Member State or a non-Union

jurisdiction being not a Qualified non-Union jurisdiction as defined in Section

I, paragraph A(6)

 2021/514 Art. 1.20 and Annex

(adapted)

SECTION IV

EFFECTIVE IMPLEMENTATION

Pursuant to Article  9  8ac, Member States shall have rules and administrative

procedures in place to ensure effective implementation of, and compliance with, the due

diligence procedures and reporting requirements set out in Sections II and III of this Annex.

A. Rules to enforce the collection and verification requirements laid down in

Section II

1. Member States shall take the necessary measures to require Reporting

Platform Operators to enforce the collection and verification requirements

under Section II in relation to their Sellers.

2. Where a Seller does not provide the information required under Section

II after two reminders following the initial request by the Reporting Platform

Operator, but not prior to the expiration of 60 days, the Reporting Platform

Operator shall close the account of the Seller and prevent the Seller from re-

registering on the Platform or withhold the payment of the Consideration to the

Seller as long as the Seller does not provide the information requested.

B. Rules requiring Reporting Platform Operators to keep records of the steps

undertaken and any information relied upon for the performance of the due diligence

procedures and reporting requirements and adequate measures to obtain those

records

1. Member States shall take the necessary measures to require Reporting

Platform Operators to keep records of the steps undertaken and any

information relied upon for the performance of the due diligence procedures

and reporting requirements set out in Sections II and III. Such records shall

remain available for a sufficiently long period of time and in any event for a

period of not less than five5 years but not more than 10 years following the end

of the Reportable Period to which they relate.

2. Member States shall take the necessary measures, including the

possibility of addressing an order for reporting to Reporting Platform

Operators, in order to ensure that all necessary information is reported to the

competent authority so that the latter can comply with the obligation to

communicate information in accordance with Article 98ac(2).

EN 13 EN

C. Administrative procedures to verify compliance of Reporting Platform

Operators with the due diligence procedures and reporting requirements

Member States shall lay down administrative procedures to verify the compliance of

Reporting Platform Operators with the due diligence procedures and reporting

requirements set out in Sections II and III.

D. Administrative procedures to follow up with a Reporting Platform Operator

where incomplete or inaccurate information is reported

Member States shall lay down procedures for following up with Reporting Platform

Operators where the reported information is incomplete or inaccurate.

E. Administrative procedure for the election of a single Member State in which to

report

If a Reporting Platform Operator within the meaning of point (a) of subparagraph

A(4) of Section I  , subparagraph A(4), point (a)  fulfils any of the conditions

listed therein in more than one Member State, it shall elect one of those Member

States, to fulfil its reporting requirements pursuant to Section III. The Reporting

Platform Operator shall notify all the competent authorities of those Member States

of its election.

F. Administrative procedure for single registration of a Reporting Platform

Operator

1. A Reporting Platform Operator within the meaning of point (b) of

subparagraph A(4) of Section I  , subparagraph A(4), point (b)  of this

Annex shall register with the competent authority of any Member State

pursuant to Article  10  8ac(4) when it commences its activity as a

Platform Operator.

2. The Reporting Platform Operator shall communicate to the Member

State of its single registration the following information:

(a) name;

(b) postal address;

(c) electronic addresses, including websites;

(d) any TIN issued to the Reporting Platform Operator;

(e) a statement with information about identification of that

Reporting Platform Operator for VAT purposes within the Union,

pursuant to Title XII, Chapter 6, Sections 2 and 3 of Council Directive

2006/112/EC  3  ;

(f) Member States in which Reportable Sellers are residents within

the meaning of paragraph D of Section II  , paragraph D  .

3. The Reporting Platform Operator shall notify the Member State of

single registration of any changes in the information provided under

subparagraph F(2).

3  Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax

(OJ L 347, 11.12.2006, p. 1, ELI: http://data.europa.eu/eli/dir/2006/112/oj) 

EN 14 EN

4. The Member State of single registration shall allocate an individual

identification number to the Reporting Platform Operator and shall notify it to

the competent authorities of all Member States by electronic means.

 2023/2226 Art. 1.18 and Annex

II.4

5. The Member State of single registration shall remove a Reporting

Platform Operator from the central register in the following cases:

 2021/514 Art. 1.20 and Annex

(adapted)

 new

(a) the Platform Operator notifies that Member State that it no

longer carries out any activity as a Platform Operator;

(b) in the absence of a notification pursuant to point (a), there are

grounds to assume that the activity of a Platform Operator has ceased;

(c) the Platform Operator no longer meets the conditions laid down

in point (b) of subparagraph A(4) of Section I  , subparagraph A(4),

point (b)  ;

(d) the Member State revoked the registration with its competent

authority pursuant to subparagraph F(7).

6. Each Member State shall forthwith notify the Commission of any

Platform Operator within the meaning of point (b) of subparagraph A(4) of

Section I  , subparagraph A(4), point (b)  that commences its activity as a

Platform Operator while failing to register itself pursuant to this paragraph.

Where a Reporting Platform Operator does not comply with the obligation to

register or where its registration has been revoked in accordance with

subparagraph F(7) of this Section, Member States shall, without prejudice to

Article 3425a, take effective, proportionate and dissuasive measures to enforce

compliance within their jurisdiction. The choice of such measures shall remain

within the discretion of Member States. Member States shall also endeavour to

coordinate their actions aimed at enforcing compliance, including the

prevention of the Reporting Platform Operator from being able to operate

within the Union as a last resort.

7. Where a Reporting Platform Operator does not comply with the

obligation to report in accordance with subparagraph A(3) of Section III  ,

subparagraph A(3)  of this Annex after two reminders by the Member State

of single registration,  that  the Member State shall,  in accordance

with  without prejudice to Article 3425a, take the necessary measures to

 ensure that penalties provided are implemented in case of infringements, and

to  revoke the registration of the Reporting Platform Operator made pursuant

to Article  10  8ac(4). The registration shall be revoked not later than

after the expiration of 90 days but not prior to the expiration of 30 days after

the second reminder.

EN 15 EN

 new

8. Member States’ competent authorities shall endeavour to notify the following

information, of which they are aware and which may be useful to the

competent authorities of the other Member States for enforcement purposes, [

in relation to cases of non-compliance] referred to in subparagraphs 6 and 7 :

(a) any identification information of the Reporting Platform Operator,

including the information listed in Section IV, subparagraph F(2), points (a) to

(e);

(b) the type of Relevant Activity within the meaning of Section I,

subparagraph A(8) facilitated by the Platform Operator and, where available,

the Member State(s) in which such Relevant Activities are carried out;

(c) a summary of the case of non-compliance, including a description of

the nature of the infringement, the reportable period to which it relates and any

other information that could assist Member States’ competent authorities

concerned in assessing the case;

(d) any compliance or enforcement action taken towards the Platform

Operator by one or more Member States, and their results if they are known.

EN 1 EN

 2023/2226 Art. 1.19 and Annex

III (adapted)

 new

ANNEX VI

REPORTING REQUIREMENTS, DUE DILIGENCE PROCEDURES AND OTHER

RULES APPLICABLE TO REPORTING CRYPTO-ASSET SERVICE PROVIDERS

This Annex lays down the reporting requirements, due diligence procedures and other rules to

be applied by the Reporting Crypto-Asset Service Providers in order to enable Member States

to communicate, by automatic exchange, the information referred to in Article  12  8ad.

This Annex also lays down the rules and administrative procedures that Member States are to

have in place in order to ensure the effective implementation of, and compliance with, the

reporting requirements and the due diligence procedures set out herein.

SECTION I

OBLIGATIONS OF REPORTING CRYPTO-ASSET SERVICE PROVIDERS

A. A Reporting Crypto-Asset Service Provider as defined in Section IV,

subparagraph B(3), is subject to the reporting and due diligence requirements set out

in Sections II and III, respectively, in a Member State, if it is:

1. an Entity authorised by a Member State in accordance with Article 63

of Regulation (EU) 2023/1114 or allowed to provide Crypto-Asset Services

following a notification to a Member State in accordance with Article 60 of

 that  Regulation (EU) 2023/1114; or

2. not an Entity authorised by a Member State in accordance with

Article 63 of Regulation (EU) 2023/1114 or allowed to provide Crypto-Asset

Services following a notification to a Member State in accordance with

Article 60 of  that  Regulation (EU) 2023/1114, and it is:

(a) an Entity or individual resident for tax purposes in a Member

State;

(b) an Entity that (i) is incorporated or organised under the laws of

a Member State and (ii) either has legal personality in a Member State or

has an obligation to file tax returns or tax information returns to the tax

authorities in a Member State with respect to the income of the Entity;

(c) an Entity managed from a Member State; or

(d) an Entity or individual that has a regular place of business in a

Member State.

B. A Reporting Crypto-Asset Service Provider is subject to the reporting and due

diligence requirements set out in Sections II and III, respectively, in a Member State

with respect to Reportable Transactions effectuated through a Branch based in a

Member State.

C. A Reporting Crypto-Asset Service Provider that is an Entity is not required to

complete the reporting and due diligence requirements set out in Sections II and III,

respectively, in a Member State it is subject to pursuant to subparagraph A(2), point

(b), (c) or (d), if those requirements are completed by such Reporting Crypto-Asset

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Service Provider in any other Member State or in a Qualified Non-Union Jurisdiction

by virtue of it being resident for tax purposes in such Member State or Qualified

Non-Union Jurisdiction.

D. A Reporting Crypto-Asset Service Provider that is an Entity is not required to

complete the reporting and due diligence requirements set out in Sections II and III,

respectively, in a Member State it is subject to pursuant to subparagraph A(2), point

(c) or (d), if those requirements are completed by such Reporting Crypto-Asset

Service Provider in any other Member State or in a Qualified Non-Union Jurisdiction

by virtue of it being an Entity that (a) is incorporated or organised under the laws of

such Member State or Qualified Non-Union Jurisdiction and (b) either has legal

personality in the other Member State or Qualified Non-Union Jurisdiction or has an

obligation to file tax returns or tax information returns to the tax authorities in the

other Member State or Qualified Non-Union Jurisdiction with respect to the income

of the Entity.

E. A Reporting Crypto-Asset Service Provider that is an Entity is not required to

complete the reporting and due diligence requirements set out in Sections II and III,

respectively, in a Member State it is subject to pursuant to subparagraph A(2), point

(d), if those requirements are completed by such Reporting Crypto-Asset Service

Provider in any other Member State or in a Qualified Non-Union Jurisdiction by

virtue of it being managed from such Member State or Qualified Non-Union

Jurisdiction.

F. A Reporting Crypto-Asset Service Provider that is an individual is not required

to complete the reporting and due diligence requirements set out in Sections II and

III, respectively, in a Member State it is subject to pursuant to subparagraph A(2),

point (d), if those requirements are completed by such Reporting Crypto-Asset

Service Provider in any other Member State or in a Qualified Non-Union Jurisdiction

by virtue of it being resident for tax purposes in such Member State or Qualified

Non-Union Jurisdiction.

G. A Reporting Crypto-Asset Service Provider is not required to complete the

reporting and due diligence requirements set out in Sections II and III, respectively,

in a Member State it is subject to pursuant to subparagraph A(2), point (a), (b), (c) or

(d), if it has lodged a notification with a Member State in a format specified by such

Member State confirming that those requirements are completed by such Reporting

Crypto-Asset Service Provider under the rules of any other Member State or

Qualified Non-Union Jurisdiction pursuant to criteria that are substantially similar to

subparagraph A(2), point (a), (b), (c) or (d), respectively.

H. A Reporting Crypto-Asset Service Provider is not required to complete the

reporting and due diligence requirements set out in Sections II and III, respectively,

in a Member State with respect to Reportable Transactions it effectuates through a

Branch in any other Member State or Qualified Non-Union Jurisdiction, if those

requirements are completed by that Branch in such other Member State or Qualified

Non-Union Jurisdiction.

SECTION II

REPORTING REQUIREMENTS

A. A Reporting Crypto-Asset Service Provider within the meaning of Section I,

paragraphs A and B, shall report the information set out in paragraph B of this

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Section to the competent authority of the Member State where it is subject to

reporting requirements in accordance with Section I.

B. For each relevant calendar year or other appropriate reporting period, and

subject to the obligations of Reporting Crypto-Asset Service Providers set out in

Section I and the due diligence procedures set out in Section III, a Reporting Crypto-

Asset Service Provider shall report the following information with respect to its

Crypto-Asset Users that are Reportable Users or that have Controlling Persons that

are Reportable Persons:

1. the name, address, Member State(s) of residence, TIN(s) and, in the

case of an individual, date and place of birth of each Reportable User and, in

the case of any Entity that, after application of the due diligence procedures

laid down in Section III, is identified as having one or more Controlling

Persons that is a Reportable Person, the name, address, Member State(s) of

residence and TIN(s) of the Entity and the name, address, Member State(s) of

residence, TIN(s) and date and place of birth of each Controlling Person of the

Entity that is a Reportable Person, as well as the role(s) by virtue of which each

such Reportable Person is a Controlling Person of the Entity;

notwithstanding subparagraph B(1), first subparagraph, where the Reporting

Crypto-Asset Service Provider reports to a competent authority that uses an

Identification Service and relies on direct confirmation of the identity and

residence of the Reportable Person through an Identification Service made

available by a Member State or the Union to ascertain the identity and all tax

residencies of the Reportable Person, the information to be reported regarding

the Reportable Person is the name, the Identification Service identifier(s) and

the Member State(s) of issuance, as well as the role(s) by virtue of which each

Reportable Person is a Controlling Person of the Entity;

2. the name, address, TIN and, if available, the individual identification

number referred to in Article  13  8ad(7) and the global legal entity

identifier of the Reporting Crypto-Asset Service Provider;

3. for each type of Reportable Crypto-Asset with respect to which the

Reporting Crypto-Asset Service Provider has effectuated Reportable

Transactions during the relevant calendar year or other appropriate reporting

period, where relevant:

(a) the full name of the type of Reportable Crypto-Asset;

(b) the aggregate gross amount paid, the aggregate number of units

and the number of Reportable Transactions in respect of acquisitions

against Fiat Currency;

(c) the aggregate gross amount received, the aggregate number of

units and the number of Reportable Transactions in respect of disposals

against Fiat Currency;

(d) the aggregate fair market value, the aggregate number of units

and the number of Reportable Transactions in respect of acquisitions

against other Reportable Crypto-Assets;

(e) the aggregate fair market value, the aggregate number of units

and the number of Reportable Transactions in respect of disposals against

other Reportable Crypto-Assets;

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(f) the aggregate fair market value, the aggregate number of units

and the number of Reportable Retail Payment Transactions;

(g) the aggregate fair market value, the aggregate number of units

and the number of Reportable Transactions, and subdivided by transfer

type where known by the Reporting Crypto-Asset Service Provider, in

respect of Transfers to the Reportable User not covered by points (b) and

(d);

(h) the aggregate fair market value, the aggregate number of units

and the number of Reportable Transactions, and subdivided by transfer

type where known by the Reporting Crypto-Asset Service Provider, in

respect of Transfers by the Reportable User not covered by points (c), (e)

and (f); and

(i) the aggregate fair market value, as well as the aggregate number

of units of Transfers effectuated by the Reporting Crypto-Asset Service

Provider to distributed ledger addresses referred to in Regulation

(EU) 2023/1114 not known to be associated with a virtual asset service

provider or financial institution.

For the purposes of subparagraph B(3), points (b) and (c), the amount paid or

received shall be reported in the Fiat Currency in which it was paid or received.

In case the amounts were paid or received in multiple Fiat Currencies, the

amounts shall be reported in a single currency, converted at the time of each

Reportable Transaction in a manner that is consistently applied by the

Reporting Crypto-Asset Service Provider.

For the purposes of subparagraph B(3), points (d) to (i), the fair market value

shall be determined and reported in a single currency, valued at the time of

each Reportable Transaction in a manner that is consistently applied by the

Reporting Crypto-Asset Service Provider.

The information reported shall identify the Fiat Currency in which each

amount is reported.

C. Notwithstanding subparagraph B(1), the place of birth is not required to be

reported unless the Reporting Crypto-Asset Service Provider is otherwise required to

obtain and report it under domestic law.

D. The information listed in paragraph B shall be reported annually in the

calendar year following the year to which the information relates. The first

information shall be reported for the relevant calendar year or other appropriate

reporting period as from 1 January 2026.

E. Notwithstanding paragraphs A and D of this Section, a Reporting Crypto-Asset

Service Provider within the meaning of Section I, subparagraph A(2), point (a), (b),

(c) or (d), shall not be required to provide the information set out in paragraph B of

this Section with respect to a Reportable User or Controlling Person for which the

Reporting Crypto-Asset Service Provider completes the reporting of such

information in a non-Union jurisdiction that is covered by an Effective Qualifying

Competent Authority Agreement with the Member State of residence of such

Reportable User or such Controlling Person.

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SECTION III

DUE DILIGENCE PROCEDURES

A Crypto-Asset User is treated as a Reportable User beginning as of the date when it is

identified as such pursuant to the due diligence procedures described in this Section.

A. Due diligence procedures for Individual Crypto-Asset Users

The following procedures apply for the purpose of determining whether the

Individual Crypto-Asset User is a Reportable User.

1. When establishing the relationship with the Individual Crypto-Asset

User, or with respect to Pre-existing Individual Crypto-Asset Users by

1 January 2027, the Reporting Crypto-Asset Service Provider shall obtain a

self-certification that allows the Reporting Crypto-Asset Service Provider to

determine the Individual Crypto-Asset User’s residence(s) for tax purposes and

confirm the reasonableness of such self-certification based on the information

obtained by the Reporting Crypto-Asset Service Provider, including any

documentation collected pursuant to Customer Due Diligence Procedures.

2. If at any point there is a change of circumstances with respect to an

Individual Crypto-Asset User that causes the Reporting Crypto-Asset Service

Provider to know, or have reason to know, that the original self-certification is

incorrect or unreliable, the Reporting Crypto-Asset Service Provider cannot

rely on the original self-certification and shall obtain a valid self-certification,

or a reasonable explanation and, where appropriate, documentation supporting

the validity of the original self-certification.

B. Due diligence procedures for Entity Crypto-Asset Users

The following procedures apply for the purpose of determining whether the Entity

Crypto-Asset User is a Reportable User or an Entity, other than an Excluded Person

or an Active Entity, with one or more Controlling Persons who are Reportable

Persons.

1. Determine whether the Entity Crypto-Asset User is a Reportable

Person.

(a) When establishing the relationship with the Entity Crypto-Asset

User, or with respect to Pre-existing Entity Crypto-Assets Users by

1 January 2027, the Reporting Crypto-Asset Service Provider shall obtain

a self-certification that allows the Reporting Crypto-Asset Service

Provider to determine the Entity Crypto-Asset User’s residence(s) for tax

purposes and confirm the reasonableness of such self-certification based

on the information obtained by the Reporting Crypto-Asset Service

Provider, including any documentation collected pursuant to Customer

Due Diligence Procedures. If the Entity Crypto-Asset User certifies that

it has no residence for tax purposes, the Reporting Crypto-Asset Service

Provider may rely on the place of effective management or the address of

the principal office to determine the residence of the Entity Crypto-Asset

User.

(b) If the self-certification indicates that the Entity Crypto-Asset

User is resident in a Member State, the Reporting Crypto-Asset Service

Provider shall treat the Entity Crypto-Asset User as a Reportable User,

unless it reasonably determines based on the self-certification or on

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information in its possession or that is publicly available, that the Entity

Crypto-Asset User is an Excluded Person.

2. Determine whether the Entity has one or more Controlling Persons who

are Reportable Persons. With respect to an Entity Crypto-Asset User, other

than an Excluded Person, the Reporting Crypto-Asset Service Provider shall

determine whether it has one or more Controlling Persons who are Reportable

Persons, unless it determines that the Entity Crypto-Asset User is an Active

Entity, based on a self-certification from the Entity Crypto-Asset User.

(a) Determining the Controlling Persons of the Entity Crypto-Asset

User. For the purpose of determining the Controlling Persons of the

Entity Crypto-Asset User, a Reporting Crypto-Asset Service Provider

may rely on information collected and maintained pursuant to Customer

Due Diligence Procedures, provided that such procedures are consistent

with Regulation (EU) 2024/1624 Directive (EU) 2015/849. If the

Reporting Crypto-Asset Service Provider is not legally required to apply

Customer Due Diligence Procedures that are consistent with Regulation

(EU) 2024/1624 Directive (EU) 2015/849, it shall apply substantially

similar procedures for the purpose of determining the Controlling

Persons.

(b) Determining whether a Controlling Person of an Entity Crypto-

Asset User is a Reportable Person. For the purpose of determining

whether a Controlling Person is a Reportable Person, a Reporting Crypto-

Asset Service Provider shall rely on a self-certification from the Entity

Crypto-Asset User or such Controlling Person that allows the Reporting

Crypto-Asset Service Provider to determine the Controlling Person’s

residence(s) for tax purposes and confirm the reasonableness of such

self-certification based on the information obtained by the Reporting

Crypto-Asset Service Provider, including any documentation collected

pursuant to Customer Due Diligence Procedures.

3. If at any point there is a change of circumstances with respect to an

Entity Crypto-Asset User or its Controlling Persons that causes the Reporting

Crypto-Asset Service Provider to know, or have reason to know, that the

original self-certification is incorrect or unreliable, the Reporting Crypto-Asset

Service Provider cannot rely on the original self-certification and shall obtain a

valid self-certification, or a reasonable explanation and, where appropriate,

documentation supporting the validity of the original self-certification.

C. Requirements for validity of self-certifications

1. A self-certification provided by an Individual Crypto-Asset User or

Controlling Person is valid only if it is signed or otherwise positively affirmed

by the Individual Crypto-Asset User or Controlling Person, it is dated at the

latest at the date of receipt and it contains the following information with

respect to the Individual Crypto-Asset User or Controlling Person:

(a) first and last name;

(b) residence address;

(c) Member State(s)  or other jurisdiction(s)  of residence for

tax purposes;

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(d) with respect to each Reportable Person, the TIN with respect to

each Member State  or other jurisdiction  ;

(e) date of birth.

2. A self-certification provided by an Entity Crypto-Asset User is valid

only if it is signed or otherwise positively affirmed by the Entity Crypto-Asset

User, it is dated at the latest at the date of receipt and it contains the following

information with respect to the Entity Crypto-Asset User:

(a) legal name;

(b) address;

(c) Member State(s)  or other jurisdiction(s)  of residence for

tax purposes;

(d) with respect to each Reportable Person, the TIN with respect to

each Member State  or other jurisdiction  ;

(e) in the case of an Entity Crypto-Asset User other than an Active

Entity or an Excluded Person, the information described in subparagraph

C(1) with respect to each Controlling Person of the Entity Crypto-Asset

User, unless such Controlling Person has provided a self-certification

pursuant to subparagraph C(1), as well as the role(s) by virtue of which

each Reportable Person is a Controlling Person of the Entity, if not

already determined on the basis of Customer Due Diligence Procedures;

(f) if applicable, information as to the criteria it meets to be treated

as an Active Entity or Excluded Person.

D. General due diligence requirements

1. A Reporting Crypto-Asset Service Provider that is also a Financial

Institution for the purposes of this Directive may rely on the due diligence

procedures completed pursuant to Sections IV and VI of Annex I for the

purposes of the due diligence procedures pursuant to this Section. A Reporting

Crypto-Asset Service Provider may also rely on a self-certification already

collected for other tax purposes, provided such self-certification meets the

requirements of paragraph C of this Section.

2. A Reporting Crypto-Asset Service Provider may rely on a third party to

fulfil the due diligence obligations set out in this Section, but such obligations

remain the responsibility of the Reporting Crypto-Asset Service Provider.

SECTION IV

DEFINED TERMS

The following terms have the meaning set out below:

A. Reportable Crypto-Asset

1. ‘Crypto-Asset’ means crypto-asset as defined in Article 3(1), point (5),

of Regulation (EU) 2023/1114.

2. ‘Central Bank Digital Currency’ means any digital Fiat Currency issued

by a Central Bank or other monetary authority.

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3. ‘Central Bank’ means an institution that is by law or government

sanction the principal authority, other than the government of the jurisdiction

itself, issuing instruments intended to circulate as currency. Such an institution

may include an instrumentality that is separate from the government of the

jurisdiction, whether or not owned in whole or in part by the jurisdiction.

4. ‘Reportable Crypto-Asset’ means any Crypto-Asset other than a

Central Bank Digital Currency, Electronic Money, or any Crypto-Asset for

which the Reporting Crypto-Asset Service Provider has adequately determined

that it cannot be used for payment or investment purposes.

5. For the purposes of this Annex, ‘Electronic Money’ or ‘E-money’

means any Crypto-Asset that is:

(a) a digital representation of a single Fiat Currency;

(b) issued on the receipt of funds for the purpose of making

payment transactions;

(c) represented by a claim on the issuer denominated in the same

Fiat Currency;

(d) accepted in payment by a natural or legal person other than the

issuer; and

(e) by virtue of regulatory requirements to which the issuer is

subject, redeemable at any time and at par value for the same Fiat

Currency upon request of the holder of the product.

The term ‘Electronic money’ or ‘E-money’ does not include a product created

for the sole purpose of facilitating the transfer of funds from a customer to

another person pursuant to instructions of the customer. A product is not

created for the sole purpose of facilitating the transfer of funds if, in the

ordinary course of business of the transferring Entity, either the funds

connected with such product are held longer than 60 days after receipt of

instructions to facilitate the transfer, or, if no instructions are received, the

funds connected with such product are held longer than 60 days after receipt of

the funds.

B. Reporting Crypto-Asset Service Provider

1. ‘Crypto-Asset Service Provider’ means crypto-asset service provider as

defined in Article 3(1), point (15), of Regulation (EU) 2023/1114.

2. ‘Crypto-Asset Operator’ means a provider of Crypto-Asset Services

other than a Crypto-Asset Service Provider.

3. ‘Reporting Crypto-Asset Service Provider’ means any Crypto-Asset

Service Provider and any Crypto-Asset Operator that conducts one or more

Crypto-Asset Services effectuating Exchange Transactions for or on behalf of a

Reportable User.

4. ‘Crypto-Asset Service’ means crypto-asset service as defined in

Article 3(1), point (16), of Regulation (EU) 2023/1114, including staking and

lending.

C. Reportable Transaction

1. ‘Reportable Transaction’ means any:

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(a) Exchange Transaction; and

(b) Transfer of Reportable Crypto-Assets.

2. ‘Exchange Transaction’ means any:

(a) exchange between Reportable Crypto-Assets and Fiat

Currencies; and

(b) exchange between one or more forms of Reportable Crypto-

Assets.

3. ‘Reportable Retail Payment Transaction’ means a Transfer of

Reportable Crypto-Assets in consideration of goods or services for a value

exceeding USD 50000 (or the equivalent amount in any other currency).

4. ‘Transfer’ means a transaction that moves a Reportable Crypto-Asset

from or to the Crypto-Asset address or account of one Crypto-Asset User, other

than one maintained by the Reporting Crypto-Asset Service Provider on behalf

of the same Crypto-Asset User, where, based on the knowledge available to the

Reporting Crypto-Asset Service Provider at the time of transaction, the

Reporting Crypto-Asset Service Provider cannot determine that the transaction

is an Exchange Transaction.

5. ‘Fiat Currency’ means the official currency of a jurisdiction, issued by

a jurisdiction or by a jurisdiction’s designated Central Bank or monetary

authority, as represented by physical banknotes or coins or by money in

different digital forms, including bank reserves and Central Bank Digital

Currencies. The term also includes commercial bank money and electronic

money products (Electronic Money).

D. Reportable User

1. ‘Reportable User’ means a Crypto-Asset User that is a Reportable

Person resident in a Member State.

2. ‘Crypto-Asset User’ means an individual or Entity that is a customer of

a Reporting Crypto-Asset Service Provider for the purpose of carrying out

Reportable Transactions. An individual or Entity, other than a Financial

Institution or a Reporting Crypto-Asset Service Provider, acting as a Crypto-

Asset User for the benefit or account of another individual or Entity as agent,

custodian, nominee, signatory, investment advisor, or intermediary, is not

treated as a Crypto-Asset User, and such other individual or Entity is treated as

the Crypto-Asset User. Where a Reporting Crypto-Asset Service Provider

provides a service effectuating Reportable Retail Payment Transactions for or

on behalf of a merchant, the Reporting Crypto-Asset Service Provider shall

also treat the customer that is the counterparty to the merchant for such

Reportable Retail Payment Transactions as the Crypto-Asset User with respect

to such Reportable Retail Payment Transaction, provided that the Reporting

Crypto-Asset Service Provider is required to verify the identity of such

customer by virtue of the Reportable Retail Payment Transaction pursuant to

domestic anti-money laundering rules.

3. ‘Individual Crypto-Asset User’ means a Crypto-Asset User that is an

individual.

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4. ‘Pre-existing Individual Crypto-Asset User’ means an Individual

Crypto-Asset User that has established a relationship with the Reporting

Crypto-Asset Service Provider as of 31 December 2025.

5. ‘Entity Crypto-Asset User’ means a Crypto-Asset User that is an

Entity.

6. ‘Pre-existing Entity Crypto-Asset User’ means an Entity Crypto-Asset

User that has established a relationship with the Reporting Crypto-Asset

Service Provider as of 31 December 2025.

7. ‘Reportable Person’ means a Member State Person other than an

Excluded Person.

8. ‘Member State Person’ with regard to each Member State means an

Entity or individual that is resident in any Member State under the tax laws of

that Member State, or an estate of a decedent that was a resident of any

Member State. For that purpose, an Entity such as a partnership, limited

liability partnership or similar legal arrangement that has no residence for tax

purposes shall be treated as resident in the jurisdiction in which its place of

effective management is situated.

9. ‘Controlling Persons’ means the natural persons who exercise control

over an Entity. In the case of a trust, such term means the settlor(s), the

trustee(s), the protector(s) (if any), the beneficiary(ies) or class(es) of

beneficiaries, and any other natural person(s) exercising ultimate effective

control over the trust, and in the case of a legal arrangement other than a trust,

such term means persons in equivalent or similar positions. The term

‘Controlling Persons’ shall be interpreted in a manner consistent with the term

of ‘beneficial owner’ as defined in Article 2(1), point 28 of Regulation (EU)

2024/1624 Article 3, point (6), of Directive (EU) 2015/849, as far as Reporting

Crypto-Asset Service Providers are concerned.

10. ‘Active Entity’ means any Entity that meets any of the following

criteria:

(a) less than 50 % of the Entity’s gross income for the preceding

calendar year or other appropriate reporting period is passive income and

less than 50 % of the assets held by the Entity during the preceding

calendar year or other appropriate reporting period are assets that

produce or are held for the production of passive income;

(b) substantially all of the activities of the Entity consist of holding

(in whole or in part) the outstanding stock of, or providing financing and

services to, one or more subsidiaries that engage in trades or businesses

other than the business of a Financial Institution, except that an Entity

does not qualify for this status if the Entity functions (or holds itself out)

as an investment fund, such as a private equity fund, venture capital fund,

leveraged buyout fund, or any investment vehicle whose purpose is to

acquire or fund companies and then hold interests in those companies as

capital assets for investment purposes;

(c) the Entity is not yet operating a business and has no prior

operating history, but is investing capital into assets with the intent to

operate a business other than that of a Financial Institution, provided that

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the Entity does not qualify for this exception after the date that is 24

months after the date of the initial organisation of the Entity;

(d) the Entity was not a Financial Institution in the past five years,

and is in the process of liquidating its assets or is reorganising with the

intent to continue or recommence operations in a business other than that

of a Financial Institution;

(e) the Entity primarily engages in financing and hedging

transactions with, or for, Related Entities that are not Financial

Institutions, and does not provide financing or hedging services to any

Entity that is not a Related Entity, provided that the group of any such

Related Entities is primarily engaged in a business other than that of a

Financial Institution; or

(f) the Entity meets all of the following requirements:

(i) it is established and operated in its jurisdiction of residence

exclusively for religious, charitable, scientific, artistic, cultural,

athletic, or educational purposes; or it is established and operated in

its jurisdiction of residence, and it is a professional organisation,

business league, chamber of commerce, labour organisation,

agricultural or horticultural organisation, civic league or an

organisation operated exclusively for the promotion of social

welfare;

(ii) it is exempt from income tax in its jurisdiction of residence;

(iii) it has no shareholders or members who have a

proprietary or beneficial interest in its income or assets;

(iv) the applicable laws of the Entity’s jurisdiction of

residence or the Entity’s formation documents do not permit any

income or assets of the Entity to be distributed to, or applied for the

benefit of, a private person or non-charitable Entity other than

pursuant to the conduct of the Entity’s charitable activities, or as

payment of reasonable compensation for services rendered, or as

payment representing the fair market value of property which the

Entity has purchased; and

(v) the applicable laws of the Entity’s jurisdiction of residence or

the Entity’s formation documents require that, upon the Entity’s

liquidation or dissolution, all of its assets be distributed to a

Governmental Entity or other non-profit organisation, or escheat to

the government of the Entity’s jurisdiction of residence or any

political subdivision thereof.

E. Excluded Person

1. ‘Excluded Person’ means:

(a) an Entity the stock of which is regularly traded on one or more

established securities markets;

(b) any Entity that is a Related Entity of an Entity described in

point (a);

(c) a Governmental Entity;

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(d) an International Organisation;

(e) a Central Bank; or

(f) a Financial Institution other than an Investment Entity described

in subparagraph E(5), point (b).

2. ‘Financial Institution’ means a Custodial Institution, a Depository

Institution, an Investment Entity, or a Specified Insurance Company.

3. ‘Custodial Institution’ means any Entity that holds, as a substantial

portion of its business, Financial Assets for the account of others. An Entity

holds Financial Assets for the account of others as a substantial portion of its

business if the Entity’s gross income attributable to the holding of Financial

Assets and related financial services equals to or exceeds 20 % of the Entity’s

gross income during the shorter of: (i) the three-year period that ends on 31

December (or the final day of a non-calendar year accounting period) prior to

the year in which the determination is being made; or (ii) the period during

which the Entity has been in existence.

4. ‘Depository Institution’ means any Entity that:

(a) accepts deposits in the ordinary course of a banking or similar

business; or

(b) holds Electronic Money or Central Bank Digital Currencies for

the benefit of customers.

5. ‘Investment Entity’ means any Entity:

(a) that primarily conducts as a business one or more of the

following activities or operations for or on behalf of a customer:

(i) trading in money market instruments (cheques, bills, certificates

of deposit, derivatives, etc.); foreign exchange; exchange, interest

rate and index instruments; transferable securities; or commodity

futures trading;

(ii) individual and collective portfolio management; or

(iii) otherwise investing, administering, or managing

Financial Assets, money, or Reportable Crypto-Assets on behalf of

other persons; or

(b) the gross income of which is primarily attributable to investing,

reinvesting, or trading in Financial Assets or Reportable Crypto-Assets, if

the Entity is managed by another Entity that is a Depository Institution, a

Custodial Institution, a Specified Insurance Company, or an Investment

Entity described in subparagraph E(5), point (a).

An Entity is treated as primarily conducting as a business one or more of the

activities described in subparagraph E(5), point (a), or an Entity’s gross income

is primarily attributable to investing, reinvesting, or trading in Financial Assets

or Reportable Crypto-Assets for the purposes of subparagraph E(5), point (b),

if the Entity’s gross income attributable to the relevant activities equals to or

exceeds 50 % of the Entity’s gross income during the shorter of: (i) the three-

year period ending on 31 December of the year preceding the year in which the

EN 13 EN

determination is made; or (ii) the period during which the Entity has been in

existence.

For the purposes of subparagraph E(5), point (a)(iii), the term ‘otherwise

investing, administering, or managing Financial Assets, money, or Reportable

Crypto-Assets on behalf of other persons’ does not include the provision of

services effectuating Exchange Transactions for or on behalf of customers. The

term ‘Investment Entity’ does not include an Entity that is an Active Entity

because it meets any of the criteria in subparagraph D(10), points (b) to (e).

This subparagraph shall be interpreted in a manner consistent with the similar

language set out in the definition of ‘financial institution’ in  Article 2(1),

point 6 of Regulation (EU) 2024/1624  Article 3, point (2), of Directive

(EU) 2015/849.

6. ‘Specified Insurance Company’ means any Entity that is an insurance

company (or the holding company of an insurance company) that issues, or is

obligated to make payments with respect to, a Cash Value Insurance Contract

or an Annuity Contract.

7. ‘Governmental Entity’ means the government of a jurisdiction, any

political subdivision of a jurisdiction (which, for the avoidance of doubt,

includes a state, province, county, or municipality), or any wholly owned

agency or instrumentality of a jurisdiction or of any one or more of the

foregoing. This category is comprised of the integral parts, controlled entities,

and political subdivisions of a jurisdiction.

(a) An ‘integral part’ of a jurisdiction means any person,

organisation, agency, bureau, fund, instrumentality, or other body,

however designated, that constitutes a governing authority of a

jurisdiction. The net earnings of the governing authority shall be credited

to its own account or to other accounts of the jurisdiction, with no portion

inuring to the benefit of any private person. An integral part does not

include any individual who is a sovereign, official, or administrator

acting in a private or personal capacity.

(b) A ‘controlled entity’ means an Entity that is separate in form

from the jurisdiction or that otherwise constitutes a separate juridical

entity, provided that:

(i) the Entity is wholly owned and controlled by one or more

Governmental Entities directly or through one or more controlled

entities;

(ii) the Entity’s net earnings are credited to its own account or to

the accounts of one or more Governmental Entities, with no portion

of its income inuring to the benefit of any private person; and

(iii) the Entity’s assets vest in one or more Governmental

Entities upon dissolution.

(c) Income does not inure to the benefit of private persons if such

persons are the intended beneficiaries of a governmental programme, and

the programme activities are performed for the general public with

respect to the common welfare or relate to the administration of some

phase of government. Notwithstanding the foregoing, however, income is

EN 14 EN

considered to inure to the benefit of private persons if the income is

derived from the use of a governmental entity to conduct a commercial

business, such as a commercial banking business, that provides financial

services to private persons.

8. ‘International Organisation’ means any international organisation or

wholly owned agency or instrumentality thereof. This category includes any

intergovernmental organisation (including a supranational organisation):

(a) that is comprised primarily of governments;

(b) that has in effect a headquarters or substantially similar

agreement with the jurisdiction; and

(c) the income of which does not inure to the benefit of private

persons.

9. ‘Financial Asset’ includes a security (for example, a share of stock in a

corporation; partnership or beneficial ownership interest in a widely held or

publicly traded partnership or trust; note, bond, debenture, or other evidence of

indebtedness), partnership interest, commodity, swap (for example, interest rate

swaps, currency swaps, basis swaps, interest rate caps, interest rate floors,

commodity swaps, equity swaps, equity index swaps, and similar agreements),

Insurance Contract or Annuity Contract, or any interest (including a futures or

forward contract or option) in a security, Reportable Crypto-Asset, partnership

interest, commodity, swap, Insurance Contract, or Annuity Contract. The term

‘Financial Asset’ does not include a non-debt, direct interest in real property.

10. ‘Equity Interest’ means, in the case of a partnership that is a Financial

Institution, either a capital or profits interest in the partnership. In the case of a

trust that is a Financial Institution, an Equity Interest is considered to be held

by any person treated as a settlor or beneficiary of all or a portion of the trust,

or any other natural person exercising ultimate effective control over the trust.

A Reportable Person will be treated as being a beneficiary of a trust if such

Reportable Person has the right to receive directly or indirectly (for example,

through a nominee) a mandatory distribution or may receive, directly or

indirectly, a discretionary distribution from the trust.

11. ‘Insurance Contract’ means a contract (other than an Annuity Contract)

under which the issuer agrees to pay an amount upon the occurrence of a

specified contingency involving mortality, morbidity, accident, liability, or

property risk.

12. ‘Annuity Contract’ means a contract under which the issuer agrees to

make payments for a period of time determined in whole or in part by reference

to the life expectancy of one or more individuals. The term also includes a

contract that is considered to be an Annuity Contract in accordance with the

law, regulation, or practice of the Member State or other jurisdiction in which

the contract was issued, and under which the issuer agrees to make payments

for a term of years.

13. ‘Cash Value Insurance Contract’ means an Insurance Contract (other

than an indemnity reinsurance contract between two insurance companies) that

has a Cash Value.

EN 15 EN

14. ‘Cash Value’ means the greater of (i) the amount that the policyholder

is entitled to receive upon surrender or termination of the contract (determined

without reduction for any surrender charge or policy loan) and (ii) the amount

the policyholder can borrow under or with regard to the contract.

Notwithstanding the foregoing, the term ‘Cash Value’ does not include an

amount payable under an Insurance Contract:

(a) solely by reason of the death of an individual insured under a

life insurance contract;

(b) as a personal injury or sickness benefit or other benefit

providing indemnification of an economic loss incurred upon the

occurrence of the event insured against;

(c) as a refund of a previously paid premium (less cost of insurance

charges whether or not actually imposed) under an Insurance Contract

(other than an investment-linked life insurance or annuity contract) due

to cancellation or termination of the contract, decrease in risk exposure

during the effective period of the contract, or arising from the correction

of a posting or similar error with regard to the premium for the contract;

(d) as a policyholder dividend (other than a termination dividend)

provided that the dividend relates to an Insurance Contract under which

the only benefits payable are described in point (b); or

(e) as a return of an advance premium or premium deposit for an

Insurance Contract for which the premium is payable at least annually if

the amount of the advance premium or premium deposit does not exceed

the next annual premium that will be payable under the contract.

F. Miscellaneous

1. ‘Customer Due Diligence Procedures’ means the customer due

diligence procedures of a Reporting Crypto-Asset Service Provider pursuant to

Regulation (EU) 2024/1624Directive (EU) 2015/849 or similar requirements to

which such Reporting Crypto-Asset Service Provider is subject.

2. ‘Entity’ means a legal person or a legal arrangement, such as a

corporation, partnership, trust, or foundation.

3. An Entity is a ‘Related Entity’ of another Entity if either Entity controls

the other Entity, or the two Entities are under common control. For this

purpose, control includes direct or indirect ownership of more than 50 % of the

vote and value in an Entity.

4. ‘Branch’ means a unit, business or office of a Reporting Crypto-Asset

Service Provider that is treated as a branch under the regulatory regime of a

jurisdiction or that is otherwise regulated under the laws of a jurisdiction as

separate from other offices, units, or branches of the Reporting Crypto-Asset

Service Provider. All units, businesses, or offices of a Reporting Crypto-Asset

Service Provider in a single jurisdiction shall be treated as a single branch.

5. ‘Effective Qualifying Competent Authority Agreement’ means an

agreement between the competent authorities of a Member State and a non-

Union jurisdiction that requires the automatic exchange of information

corresponding to that specified in Section II, paragraph B, of this Annex, as

EN 16 EN

determined by an implementing act in accordance with Article  14. 

8ad(11).

6. ‘Qualified Non-Union Jurisdiction’ means a non-Union jurisdiction that

has in effect an Effective Qualifying Competent Authority Agreement with the

competent authorities of all Member States which are identified as reportable

jurisdictions in a list published by the non-Union jurisdiction.

7. ‘TIN’ means Taxpayer Identification Number (or functional equivalent

in the absence of a Taxpayer Identification Number). The TIN is any number

or code that a competent authority uses to identify a taxpayer.

8. ‘Identification Service’ means an electronic process made available

free of charge by a Member State or the Union to a Reporting Crypto-Asset

Service Provider for the purpose of ascertaining the identity and tax residence

of a Crypto-Asset User.

SECTION V

EFFECTIVE IMPLEMENTATION

A. Rules to enforce the collection and verification requirements laid down in

Section III

1. Member States shall take the necessary measures to require Reporting

Crypto-Asset Service Providers to enforce the collection and verification

requirements under Section III in relation to their Crypto-Asset Users.

2. Where a Crypto-Asset User does not provide the information required

under Section III after two reminders following the initial request by the

Reporting Crypto-Asset Service Provider, but not prior to the expiration of 60

days, the Reporting Crypto-Asset Service Provider shall prevent the Crypto-

Asset User from performing Reportable Transactions.

B. Rules requiring Reporting Crypto-Asset Service Providers to keep records of

the steps undertaken and any information relied upon for the performance of the

reporting requirements and due diligence procedures and adequate measures to

obtain those records

1. Member States shall take the necessary measures to require Reporting

Crypto-Asset Service Providers to keep records of the steps undertaken and

any information relied upon for the performance of the reporting requirements

and due diligence procedures set out in Sections II and III, respectively. Such

records shall remain available for a sufficiently long period of time and in any

event for a period of not less than five years but not more than 10 years

following the end of the period within which the Reporting Crypto-Asset

Service Provider is required to report the information if the information is

reportable pursuant to Section II.

2. Member States shall take the necessary measures, including the

possibility of addressing an order for reporting to Reporting Crypto-Asset

Service Providers, in order to ensure that all necessary information is reported

to the competent authority so that the latter can comply with the obligation to

communicate information in accordance with Article 128ad(3).

EN 17 EN

C. Administrative procedures to verify compliance of Reporting Crypto-Asset

Service Providers with the reporting requirements and due diligence procedures

Member States shall lay down administrative procedures to verify the compliance of

Reporting Crypto-Asset Service Providers with the reporting requirements and due

diligence procedures set out in Sections II and III, respectively.

D. Administrative procedures to follow up with Reporting Crypto-Asset Service

Providers where incomplete or inaccurate information is reported

Member States shall lay down procedures for following up with Reporting Crypto-

Asset Service Providers where the reported information is incomplete or inaccurate.

E. Administrative procedure for authorisation of a Crypto-Asset Service Provider

The competent authority of a Member State providing authorisation to Crypto-Asset

Service Providers in accordance with Regulation (EU) 2023/1114 shall communicate

on a regular basis and at the latest before 31 December of the relevant calendar year

or other appropriate reporting period to the competent authority under this Directive,

if that is a different authority, a list of all authorised Crypto-Asset Service Providers.

F. Administrative procedure for single registration of a Crypto-Asset Operator

1. A Crypto-Asset Operator that is a Reporting Crypto-Asset Service

Provider as defined in Section IV, subparagraph B(3), shall register, pursuant

to Article  13  8ad(7), with the competent authority of the Member State,

determined in accordance with Section I, subparagraph A(2), point (a), (b), (c)

or (d), or paragraph B, before the end of the period within which such Crypto-

Asset Operator must report the information set out in Section II, paragraph B.

If such Crypto-Asset Operator fulfils the conditions in Section I, subparagraph

A(2), point (a), (b), (c) or (d), or paragraph B, respectively, in more than one

Member State, it shall register, pursuant to Article  13  8ad(7),with the

competent authority of one of those Member States, before the end of the

period within which the Crypto-Asset Operator must report the information set

out in Section II, paragraph B.

Notwithstanding subparagraph F(1), first subparagraph, a Crypto-Asset

Operator that is a Reporting Crypto-Asset Service Provider as defined in

Section IV, subparagraph B(3), shall not register with the competent authority

of a Member State in which such Crypto-Asset Operator is not required to

complete the reporting and due diligence requirements set out in Sections II

and III, respectively, pursuant to Section I, paragraph C, D, E, F, G or H, by

virtue of such requirements being completed by such Crypto-Asset Operator in

any other Member State  or in a Qualified Non-Union Jurisdiction  .

2. Upon registration, the Crypto-Asset Operator shall communicate to the

Member State of its single registration, determined in accordance with

subparagraph F(1), the following information:

(a) name;

(b) postal address;

(c) electronic addresses, including websites;

(d) any TIN issued to the Crypto-Asset Operator;

EN 18 EN

(e) Member States in which Reportable Users are residents within

the meaning of Section III, paragraphs A and B;

(f) any Qualified Non-Union Jurisdiction as referred to in Section

I, paragraph C, D, E, F or H.

3. The Crypto-Asset Operator shall notify the Member State of single

registration of any changes in the information provided under subparagraph

F(2).

4. The Member State of single registration shall allocate an individual

identification number to the Crypto-Asset Operator and shall notify it to the

competent authorities of all Member States by electronic means.

5. The Member State of single registration shall be able to remove a

Crypto-Asset Operator from the Crypto-Asset Operator register in the

following cases:

(a) the Crypto-Asset Operator notifies that Member State that it no

longer has Reportable Users in the Union;

(b) in the absence of a notification pursuant to point (a), there are

grounds to assume that the activity of a Crypto-Asset Operator has

ceased;

(c) the Crypto-Asset Operator no longer meets the conditions laid

down in Section IV, subparagraph B(2);

(d) the Member State revoked the registration with its competent

authority pursuant to subparagraph F(7).

6. Each Member State shall forthwith notify the Commission of any

Crypto-Asset Operator within the meaning of Section IV, subparagraph B(2),

that has Reportable Users resident in the Union while failing to register itself

pursuant to this paragraph. Where a Crypto-Asset Operator does not comply

with the obligation to register or where its registration has been revoked in

accordance with subparagraph F(7) of this Section, Member States shall,

without prejudice to Article 3425a, take effective, proportionate and dissuasive

measures to enforce compliance within their jurisdiction. The choice of such

measures shall remain within the discretion of Member States. Member States

shall also endeavour to coordinate their actions aimed at enforcing compliance,

including the prevention of the Crypto-Asset Operator from being able to

operate within the Union as a last resort.

7. Where a Crypto-Asset Operator does not comply with the obligation to

report in accordance with Section II, paragraph B, of this Annex after two

reminders by the Member State of single registration, the Member State of

single registration shall, without prejudice to Article 3425a, take the necessary

measures to revoke the registration of the Crypto-Asset Operator made

pursuant to Article  13  8ad(7).The registration shall be revoked not later

than after the expiration of 90 days but not prior to the expiration of 30 days

after the second reminder.

EN 1 EN

 2025/872 Art. 1.11 and Annex

(adapted)

ANNEX VII

Filing rules and standard template for Top-up tax information return

SECTION I

DEFINITIONS

For the purposes of this Annex, the following definitions apply:

(1) ‘Implementing Member State’ means a Member State that has implemented

either a qualified income inclusion rule (IIR) or a qualified undertaxed profit rule

(UTPR), as defined in Article 3, points (18) and (43), respectively, of Directive (EU)

2022/2523, or both, for the given Reporting fiscal year;

(2) ‘Qualified domestic top-up tax (QDTT)-only Member State’ means a Member

State that has only implemented a qualified domestic top-up tax, as defined in

Article 3, point (28), of Directive (EU) 2022/2523 for the given Reporting fiscal

year;

(3) ‘Top-up tax information return’ means the information return filed by an

ultimate parent entity, designated filing entity, designated local entity or constituent

entity for which a standard template is set  Article 15 of this Directive  out in

Section IV of this Annex;

(4) ‘General section’ means the section of the Top-up tax information return that

contains general information on the MNE group as a whole, including its corporate

structure and a high-level summary of the application of Directive (EU) 2022/2523,

such section being consistent with Section 1 of the standard template for the Top-up

tax information return;

(5) ‘Jurisdictional sections’ means the sections of the Top-up tax information

return that contain information on the detailed application of the qualified IIR,

qualified UTPR and qualified domestic top-up tax in respect of each jurisdiction

where the MNE group is operating, such sections being consistent with Sections 2

and 3 of the standard template for the Top-up tax information return;

(6) ‘Reporting fiscal year’ means the fiscal year to which the Top-up tax

information return relates.

SECTION II

FILING REQUIREMENTS

The constituent entity filing the Top-up tax information return shall identify the relevant

sections and the relevant Member States that the information shall be distributed to pursuant

to the dissemination approach set out in Article 158ae.

EN 2 EN

SECTION III

FILING FORMAT AND EXCHANGE OF INFORMATION FOR LARGE-SCALE

DOMESTIC GROUPS WITH JOINT VENTURES

When a parent entity of a large-scale domestic group holds a direct or indirect ownership

interest in a joint venture or joint venture affiliate that is subject to a qualified domestic top-up

tax in a Member State other than the Member State where the large-scale domestic group is

located, such large-scale domestic group shall use the standard  form  template for the

Top-up tax information return  as defined  set out in  Article 15  Section IV of

this Annex.

In cases covered by the first subparagraph, Member States shall take the necessary measures

to ensure that Article 158ae (2) and Article 229a apply.

SECTION IV

DATA POINTS

1. MNE group information

1.1. Identification of the filing constituent entity

1. UPE

is the filing

constituent

entity

2.

Nam

e of the

filing

constituent

entity

3.

T

ax

identific

ation

number

4.

Role

5. Jurisdiction

where the filing

constituent entity is

located

6. Recipient

Jurisdictions for

Exchange of

Information (if

relevant)

Yes/No

1.2. MNE group general information

1.2.1. MNE group and Reporting fiscal year

1. Name of the

MNE group

2. Start date of the

Reporting fiscal year

3. End date of the

Reporting fiscal year

4.

Amende

d return

Yes/No

1.2.2. MNE general accounting information

1. Consolidated

financial statements of

the UPE (type)

2. Financial accounting

standard used for the

consolidated financial

statements of the UPE

3. Presentation currency used

for the consolidated financial

statements of the UPE (ISO code)

EN 3 EN

1.3. Corporate structure

1.3.1. Ultimate parent entity

1. UPE Jurisdiction

2. Applicable rules?

3. Name of the UPE

4. TIN of the UPE

5. TIN of the UPE in the filing jurisdiction (if different, and if any)

6. Status for purposes of the rules

7. If the UPE is an excluded entity – Type

8. The jurisdiction in which a dual resident parent entity is deemed to be subject to

qualified IIR (if based on the rules that parent entity is deemed to be located in another

jurisdiction where it is in not subject to qualified IIR) (if any)

1.3.2. Group entities (other than the UPE) and members of joint venture groups

1.3.2.1. Constituent entities and members of joint venture groups

Changes 1. Changes from previous Reporting fiscal

year?

Yes/No

Jurisdiction 2. Jurisdiction

3. Applicable rules?

Identification of the

constituent entity, joint

venture or joint venture

affiliate

4. Name of constituent entity, joint venture or

joint venture affiliate

5. TIN

6 TIN for filing jurisdiction (if any)

7. Status for purposes of the rules

Ownership structure of the

constituent entity, joint

venture or joint venture

affiliate

For each entity holding ownership interests in the

constituent entity, joint venture or joint venture

affiliate:

8. Type

9. TIN (for constituent entities or

members of joint venture groups)

10. Ownership interest held

(percentage)

EN 4 EN

If the constituent entity is

a partially owned parent

entity or an intermediate

parent entity, is the entity

required to apply a qualified

IIR?

11. Parent entity status

12. If the intermediate parent entity shall not

apply IIR, because the UPE is subject to qualified

IIR or there is another intermediate parent entity

that owns a controlling interest in it and is subject

to qualified IIR, identify the UPE or the other

intermediate parent entity (TIN)

13. If the partially owned parent entity shall not

apply IIR, because another partially owned parent

entity that is subject to qualified IIR holds 100 %

of its ownership interests, identify the other

partially owned parent entity required to apply

a qualified IIR (TIN)

Is UTPR applicable in

respect of the entity?

14. Initial phase of international activity

applicable?

Yes/No

15. Aggregate ownership interests (respectively

allocable share of top-up taxes) of parent entities

required to apply a qualified IIR in respect of the

constituent entity (respectively member of joint

venture group) (in percentage)

16. Are the UPE's ownership interests in the

constituent entity (respectively UPE’s allocable

share of top-up tax for the member of joint venture

group) greater than the aggregate ownership

interests (respectively allocable share) of parent

entities required to apply a qualified IIR in that

constituent entity (respectively member of joint

venture group)?

Yes/No

1.3.2.2. Excluded entities

1. Changes from previous Reporting fiscal

year?

Yes/No

2. Name of the excluded entity

3. Type of the excluded entity

1.3.3. Changes in the corporate structure that occurred during the Reporting fiscal year

Were changes in the corporate structure that occurred during the Reporting fiscal

year not reported because they neither affected the effective tax rate computation or

the computation or allocation of top-up tax?

Yes/No

EN 5 EN

1.

Name

of the

constitu

ent

entity

(or

other

entity

of the

MNE

group)

or

member

of joint

venture

group

2.

TIN

3.

Effectiv

e date

of the

change

4.

Status

before

the

change

5.

S

tatus

after the

change

6.

Entities

holding

owners

hip

interests

in that

constitu

ent

entity

(or

other

entity)

or

member

of joint

venture

group

before

or after

the

change

7.

Owners

hip

interests

held in

that

constitu

ent

entity

(or

other

entity)

or

member

of joint

venture

group

before

the

change

(Percent

age)

8. Ownership

interests held in

that constituent

entity (or other

entity) or member

of joint venture

group after the

change

(Percentage)

1.4. High-level summary of information

1.

Name

of the

jurisdict

ion

2.

Type of

subgrou

p (if

any)

3.

I

dentific

ation of

subgrou

p (if

any)

4.

Name(s

) of

jurisdict

ion(s)

with

taxing

rights

5.

S

afe

harbour

or

exclusio

n

applied?

6.

Effectiv

e tax

rate

range

7.

Has

applicat

ion of

substan

ce-

based

income

exclusio

n

resulted

in no

top- up

tax

arising?

8.

Top-up

tax

payable

(qualifi

ed

domesti

c top-up

tax) –

range

9.

Top-up

tax

payable

(qualifi

ed IIR/

qualifie

d

UTPR)

– range

[Insert

relevant

option]

[Insert

relevant

option]

Yes/No [Insert

relevant

option]

[Insert

relevant

option]

EN 6 EN

2. Jurisdictional safe harbours and exclusions

2.1. Characteristics of the jurisdiction

1. Name of the jurisdiction

2. Type of subgroup (if any)

3. Identification of subgroup (if any)

4. Jurisdiction with taxing rights

5. Existence of reportable differences

(Yes/No)

2.2. Jurisdictional exceptions applicable in respect of this jurisdiction (top-up tax reduced

to zero)

2.2.1. Safe harbour jurisdiction election

2.2.1.1. Safe harbour election

1. Safe Harbour

elected

[insert the relevant option]

2.2.1.2. Permanent safe harbours

Simplified calculation for non-material constituent entities

1. Total revenue of all

non-material constituent

entities in the jurisdiction

2. Aggregate simplified tax of

all non-material constituent entities

in the jurisdiction

a. Reporting fiscal

year

b. 1st preceding

fiscal year (if

applicable)

n.a.

c. 2nd preceding

fiscal year (if

applicable)

n.a.

d. Average of the

three fiscal years (if

applicable)

n.a.

EN 7 EN

2.2.1.3. Transitional safe harbours

(a) Transitional Country-by-Country Reporting (CbCR) safe harbour

1. Total revenue

2. Profit (loss) before

income tax

3. Simplified covered taxes

(b) Transitional UTPR safe harbour

1. Corporate income

tax rate

2.2.2. Election for de minimis exclusion

Election to apply the de minimis exclusion for the Reporting fiscal year

Simplified calculations for non-material constituent entities – constituent entities that

are not non-material constituent entities

1.

Revenu

e (financial

accounts)

2.

Qualifyi

ng revenue

3. Financial

accounting net

income or loss

4.

Qualifyin

g income or loss

a. Reporting

fiscal year

b. 1st

preceding fiscal

year (if applicable)

c. 2nd

preceding fiscal

year (if applicable)

d. Average of

the three fiscal

years

2.3. MNE group in the initial phase of international activity (if applicable)

1. First day of the first fiscal year in which the

MNE group originally falls within the scope of the rules

2. Reference jurisdiction

EN 8 EN

3. Net book value of tangible assets in reference

jurisdiction for the fiscal year in which the MNE group

originally falls within the scope of the rules

4. Number of jurisdictions where the MNE group

has constituent entities for the fiscal year in which the

MNE group originally falls within the scope of the rules

5. Tangible assets of constituent entities located

outside the reference jurisdiction for the fiscal year in

which the MNE group originally falls within the scope

of the rules

a. Jurisdiction

b. Net book values of tangible

assets of all constituent entities

located in each jurisdiction

6. Number of jurisdictions where the MNE group

has constituent entities during the Reporting fiscal year

7. Sum of the net book values of tangible assets of

all constituent entities located in other jurisdictions than

the reference jurisdiction during the Reporting fiscal

year

3. Computations

3.1. Characteristics of the jurisdiction

1. Name of the jurisdiction

2. Type of subgroup (if any)

3. Identification of subgroup (if any) for the effective tax rate and top-up tax

computation

4. Jurisdiction with taxing rights

5. Effective tax rate

6. Adjusted covered taxes

7. Net qualifying income or loss

8. Substance-based income exclusion

9. Additional current top-up tax

10. Top-up tax amount under domestic legislation

11. Elections

12. Aggregate current tax expense with respect to covered taxes after allocations of

covered taxes incurred by certain types of constituent entities

EN 9 EN

13. Qualified refundable tax credits or marketable transferable tax credits (tax expense)

14. Other tax credits (tax expense)

15. Deferred tax expense amount

16. Qualified refundable tax credits or marketable transferable tax credits (income)

17. Excess negative tax expense carry-forward

18. Transition rules

3.2. Effective tax rate computation

3.2.1. Effective tax rate

a. Financial

accounting net income

or loss

b. Net

qualifying

income or loss

c. Income

tax expense

d. Adjusted

covered taxes

e.

Effecti

ve tax rate

[A] [B] [C]=[B]/[A]

3.2.1.1. Computation of the qualifying income or loss

1. Aggregate financial accounting net income or loss amount after

allocations (All constituent entities in the jurisdiction)

2. Adjustments Net amount

(a) Net taxes expense

(b) Excluded dividends

(c) Excluded equity gain or loss

(d) Included revaluation method gain or loss

(e) Gain or loss from disposition of assets and liabilities excluded due to

reorganisation

(f) Asymmetric foreign currency gains or losses

(g) Policy disallowed expenses

(h) Prior period errors

(i) Changes in accounting principles

(j) Accrued pension expense

EN 10 EN

(k) Debt releases

(l) Stock-based compensation

(m) Arm’s length adjustments

(n) Qualified refundable tax credit or marketable transferable tax credit

(o) Election for gains and losses using realisation principle

(p) Election for adjusted asset gain

(q) Intragroup financing arrangement expense

(r) Election for intragroup transactions in same jurisdiction

(s) Insurance company taxes charged to policyholders

(t) Increase/decrease to equity attributed to additional tier one and

restricted tier one capital distributions paid/payable or received/receivable

(u) Constituent entities joining and leaving an MNE group

(v) Reduction of qualifying income of the UPE that is a flow-through

entity

(w) Reduction of qualifying income of the UPE that is subject to

a deductible dividend regime

(x) Taxable distribution method election

(y) International shipping income

(z) Transactions between constituent entities

3. Net qualifying income or loss of the jurisdiction

3.2.1.2. Computation of adjusted covered taxes

(a) Total amount of adjusted covered taxes

1. Aggregate current tax expense with respect to covered taxes after

allocations (All constituent entities in the jurisdiction)

2. Adjustments Net amount

(a) Covered tax accrued as an expense in the profit before taxation in the

financial accounts

(b) Qualifying loss deferred tax asset established or used

EN 11 EN

(c) Covered taxes for uncertain tax position recorded as a reduction to

covered taxes in prior year

(d) Qualified refundable tax credit or marketable transferable tax credits

recorded as a reduction to current tax expense

(e) Qualified flow-through tax benefits of qualified ownership interests

(f) Current tax expense on income excluded from qualifying income or

loss

(g) Non-qualified refundable tax credit, non-marketable transferable tax

credit or other tax credits not recorded as a reduction to current tax expense

(h) Covered taxes refunded or credited (except for any qualified

refundable tax credit, or marketable transferable tax credits) not treated as an

adjustment to current tax expense

(i) Current tax expense related to uncertain tax position

(j) Current tax expense not expected to be paid within three years

(k) Post-filing adjustments

(l) Covered taxes relating to net asset gain or net asset loss

(m) Reduction of covered taxes of the UPE that is a flow-through entity

(n) Covered taxes for qualifying income of the UPE that is reduced under

a deductible dividend regime

(o) Deemed distribution tax

(p) Taxable distribution method election

(q) Total deferred tax adjustment amount

(r) Increase or decrease in covered taxes recorded in equity or other

comprehensive income relating to amounts included in qualifying income or

loss that will be subject to tax under local tax rules

(s) Excess negative tax expense carry-forward generated

(t) Decrease in covered taxes (but not below zero) by the remaining

balance of the excess negative tax expense carry-forward

3. Adjusted covered taxes

EN 12 EN

(b) Excess negative tax expense carry-forward

1. Balance from prior years [A]

2. Excess negative tax expense carry-forward generated in the

Reporting fiscal year

[B]

3. Excess negative tax expense carry-forward utilised for the

Reporting fiscal year

[C]

4. Excess negative tax expense carry-forward remaining for

subsequent years

[D]=[A]+[B]-

[C]

(c) Transitional blended controlled foreign company (CFC) regime calculation (if any)

1. CFC

jurisdictions

2.

Subg

roup

3. Aggregated taxes allocated to that subgroup under

a blended CFC tax regime

Total

3.2.2. Jurisdictional computations relating to deferred tax accounting

3.2.2.1. Deferred tax adjustments

(a) High-level summary

1. Deferred tax

expense for purposes of the

rules before recasting and

adjustments

(a) Deferred tax expense in the financial

accounts

[A]

(b) Deferred tax expense in relation to

assets or liabilities for which the carrying

value based on the rules is different to the

accounting carrying value

[B]

(c) Deferred tax expense based on the

carrying value of assets or liabilities as

determined based on the rules

[C]

(d) Deferred tax expense for purposes of

the rules before recasting and adjustments

[D]=[A]-

[B]+[C]

2. Total amount of the adjustments [E]

3. Recasting the

deferred tax expense to the

minimum tax rate

(e) Deferred tax expense for purposes of

the rules before recasting

[F]=[D]+[E]

(f) Difference between deferred tax [G]

EN 13 EN

expense recorded at a lower tax rate than the

minimum tax rate and recast at the minimum

tax rate

(g) Difference between deferred tax

expense recorded at a higher tax rate than

the minimum tax rate and recast at the

minimum tax rate

[H]

4. Total deferred tax adjustment amount [I]=[F]+[G]-[H]

(b) Breakdown of the adjustments

1. Adjustments to deferred tax expense Net amount

(a) Deferred tax expense related to items excluded from qualifying

income or loss

(b) Deferred tax expense related to disallowed accruals

(c) Deferred tax expense related to unclaimed accruals

(d) Valuation adjustment or accounting recognition adjustment related to

a deferred tax asset

(e) Deferred tax expense arising from a re-measurement related to

changes in the tax rate

(f) Deferred tax expense related to the generation and use of tax credits

(g) Substitute loss carry-forward deferred tax asset or deemed substitute

loss carry-forward deferred tax asset

(h) Disallowed accruals or unclaimed accruals paid during the fiscal year

(i) Recapture deferred tax liability paid during the fiscal year

(j) Recognition of a loss deferred tax asset not included in the financials

(k) Deferred tax expense adjustment resulting from a reduction to a tax

rate

(l) Deferred tax expense adjustment resulting from an increase to a tax

rate

(m) Constituent entities joining and leaving an MNE group

(n) Deferred tax expense of the UPE that is a flow-through entity

(o) Deferred tax expense of the UPE that is subject to deductible dividend

regime

EN 14 EN

(p) Deferred tax adjustment resulting from transactions between

constituent entities

2. Total amount of the adjustments [E]

(c) Loss carry-backs

1. Deemed deferred tax

assets attributable to loss carry

backs

2. Covered tax refund

relating to loss carry backs

a. Amount attributed

to prior fiscal year X

b. Amount attributed

to prior fiscal year Y, etc.

c. Total

3.2.2.2. Recapture mechanism

(a) Annual amount of deferred tax liabilities subject to recapture rule

1. Amount of deferred tax liabilities subject to recapture rule claimed in the fifth fiscal

year preceding the Reporting fiscal year

2. Amount of recaptured deferred tax liability determined in the Reporting fiscal year in

relation to the fifth fiscal year preceding the Reporting fiscal year

3. Amount of deferred tax liabilities subject to recapture rule claimed for the Reporting

fiscal year

(b) Aggregate deferred tax liability recapture accounts

1. Reporting

fiscal year

2. Prior

fiscal year

a. Amount of pre-transition year deferred

tax liabilities

b. Amount of outstanding balance

c. Amount of unjustified balance

EN 15 EN

3.2.2.3. Transition rules

1. Transition

year

(a) Deferred tax assets and deferred tax liabilities at the beginning of the transition year

Deferred tax liabilities

1. Deferred tax liabilities at the beginning of the

transition year

2. Deferred tax liabilities

recast at the minimum tax rate (if

applicable)

Deferred tax assets

3. Deferred tax

assets at the

beginning of the

transition year

4. Deferred tax

assets recast at the

minimum tax rate (if

applicable)

5. Deferred tax

assets arising from

excluded items

6. Deferred tax

assets taken into

account for purposes

of the rules

[A] [B] [C] [D] = [[A] or [B], if

applicable] - [C]

(b) Transfer of assets after 30 November 2021 and before the commencement of

a transition year

1.

Jurisdict

ion of the

disposing

entities

2.

Ta

x paid in

respect of

the

transaction

(s)

3. Net

deferred tax asset

or liability

reflected in the

financial

accounts of the

disposing

constituent

entity(ies)

4. Carrying

value of the

transferred assets

for purposes of

the rules

5. Net deferred

tax asset or liability

is determined with

respect to the

transferred assets for

purposes of the rules

for acquiring

constituent entity(ies)

3.2.3. Jurisdictional elections (if any)

3.2.3.1. Jurisdictional elections

(a) Elections

1. Annual elections

a. Aggregate asset gain election

EN 16 EN

b. Immaterial decrease in covered taxes election

c. Election not to apply the substance-based income exclusion

d. Negative tax expense carry-forward

2. Five-year elections 3. Election year 4.

Revocatio

n year

e. Equity investment inclusion

election

f. Stock-based compensation election

g. Realisation-principle election

h. Intra-group transactions election

i. Election not to allocate cross-

border deferred tax

5. Other

elections

6. Election year 7. Revocation year

j. Qualifying

loss election

(b) Information requirements related to jurisdictional elections

1. Inclusion of equity gain or loss with respect to an equity

investment inclusion election

2. Balance of the owner’s investment in a qualified ownership interest

from prior years

[A]

3. Additions to the owner’s investment in a qualified ownership

interest

[B]

4. Reductions to the owner’s investment in a qualified ownership

interest

[C]

5. Outstanding balance of the owner’s investment in a qualified

ownership interest

[D]=[A]+[B]-

[C]

3.2.3.2. Deemed distribution tax election

1. Deemed distribution tax

election

EN 17 EN

(a) Recapture mechanism

1.

Fisca

l year

2.

Amo

unt of

deemed

distribution

tax

3. Deemed distribution tax paid or

used

4. Outstanding

balance of

a deemed

distribution tax

recapture account

3rd

precedi

ng

fiscal

year

2nd

precedi

ng

fiscal

year

1st

precedi

ng

fiscal

year

Reporting

fiscal year

4th

preceding

fiscal year

3rd

preceding

fiscal year

Not

applica

ble

2nd

preceding

fiscal year

Not

applica

ble

Not

applica

ble

1st

preceding

fiscal year

Not

applica

ble

Not

applica

ble

Not

applica

ble

Reporting

fiscal year

Not

applica

ble

Not

applica

ble

Not

applica

ble

Not

applicable

Not applicable

(b) Recalculation of effective tax rate and top-up tax

1. Reduction to the adjusted covered

taxes for a prior fiscal year

2. Incremental

top-up tax

3. Disposition

recapture ratio

[A] [B] [C]

3.2.4. Constituent entity computations

(a) Election for the transitional simplified jurisdictional reporting framework

1. Does the MNE group elect to apply the transitional simplified

jurisdictional reporting framework?

Yes/No

EN 18 EN

(b) Aggregated reporting for tax consolidated groups

1. Tax consolidated group

(TIN)

2. Consolidated entities

(TIN)

3.2.4.1. Qualifying income or loss

(a) Adjustments to the financial accounting net income or loss

1. Constituent entity or member of joint venture group

(TIN)

2. Financial accounting net income or loss amount after

allocations

3. Adjustments Additions Reductions

(a) Net taxes expense

(b) Excluded dividends

(c) Excluded equity gain or loss

(d) Included revaluation method gain or loss

(e) Gain or loss from disposition of assets and liabilities

excluded due to reorganisation

(f) Asymmetric foreign currency gains or losses

(g) Policy disallowed expenses

(h) Prior period errors

(i) Changes in accounting principles

(j) Accrued pension expense

(k) Debt releases

(l) Stock-based compensation

(m) Arm’s length adjustments

(n) Qualified refundable tax credit or marketable transferable

tax credits

(o) Election for gains and losses using realisation principle

(p) Election for adjusted asset gain

EN 19 EN

(q) Intragroup financing arrangement expense

(r) Election for intragroup transactions in same jurisdiction

(s) Insurance company taxes charged to policyholders

(t) Increase/decrease to equity attributed to additional tier

one and restricted tier one capital distributions paid/payable or

received/receivable

(u) Constituent entities joining and leaving an MNE group

(v) Reduction of qualifying income of the UPE that is

a flow-through entity

(w) Reduction of qualifying income of the UPE that is

subject to a deductible dividend regime

(x) Taxable distribution method election

(y) International shipping income

(z) Transactions between constituent entities

4. Qualifying income or loss of the constituent entity or

member of joint venture group

(b) Cross-border allocation of income or loss between a main entity and a permanent

establishment and of a flow-through entity

1.

C

onstituent

entity or

members

of joint

venture

groups

located in

this

jurisdictio

n or

stateless

constituen

t entity

(TIN)

2.

F

inancial

accounti

ng net

income

or loss

before

the

adjustme

nt

3.

Ba

sis for the

adjustmen

t

4.

O

ther

constitue

nt entity

or

member

of joint

venture

group

(TIN)

5.

Ju

risdiction

of other

constituen

t entity or

member

of joint

venture

group

(ISO)

6.

A

dditions

to this

constitue

nt entity

7.

Re

ductions

to this

constituen

t entity

8.

F

inancial

accounti

ng net

income

or loss

after the

adjustme

nt

EN 20 EN

(c) Cross-border adjustments

1.

Constitu

ent entity or

member of joint

venture group

(TIN)

2.

B

asis for

the

adjustme

nt

3.

Oth

er

constituent

entity or

member of

joint

venture

group

(TIN)

4.

Jurisdict

ion of other

constituent

entity (ISO)

5.

Additi

ons to this

constituent

entity

6.

Reduct

ions to this

constituent

entity

(d) Adjustments to the qualifying income of the UPE that is a flow-through entity or is

subject to a deductible dividend regime

1. Constituent

entity (or member of

joint venture group)

located in this

jurisdiction (TIN)

2.

B

asis for

reductio

n

3. Identification

of holders of

ownership interests

or dividend recipients

4.

Ownersh

ip interest

directly held (in

percentage)

5.

Reducti

ons for this

constituent

entity

3.2.4.2. Adjusted covered taxes

(a) Adjustments to the current tax expense in the financial accounts

1. Constituent entity or member of joint venture group

(TIN)

2. Current tax expense with respect to covered taxes after

allocations

3. Adjustments Additions Reductions

(a) Covered tax accrued as an expense in the profit before

taxation in the financial accounts

(b) Covered taxes for uncertain tax position recorded as

a reduction to covered taxes in prior year

(c) Qualified refundable tax credit or marketable transferable

tax credits recorded as a reduction to current tax expense

(d) Qualified flow-through tax benefits of qualified

ownership interests

(e) Current tax expense on income excluded from qualifying

EN 21 EN

income or loss

(f) Non-qualified refundable tax credit, non-marketable

transferable tax credits or other tax credits not recorded as

a reduction to current tax expense

(g) Covered taxes refunded or credited (except for any

qualified refundable tax credit, or marketable transferable tax

credits) not treated as an adjustment to current tax expense

(h) Current tax expense related to uncertain tax position

(i) Current tax expense not expected to be paid within three

years

(j) Post-filing adjustments

(k) Covered taxes relating to net asset gain or net asset loss

(l) Reduction of covered taxes of the UPE that is a flow-

through entity

(m) Covered taxes for qualifying income of the UPE that is

reduced under a deductible dividend regime

(n) Deemed distribution tax

(o) Taxable distribution method election

(p) Total deferred tax adjustment amount

(q) Increase or decrease in covered taxes recorded in equity

or other comprehensive income relating to amounts included in

qualifying income or loss that will be subject to tax under local

tax rules

4. Adjusted covered taxes

(b) Cross allocation of taxes

1.

C

onstituent

entity

located in

this

jurisdictio

n or

stateless

constituen

t entity

2.

C

overed

taxes of

the

constitue

nt entity

(or

member

of joint

venture

3.

Ba

sis for the

adjustmen

t

4.

O

ther

constitue

nt entity

(or

member

of joint

venture

group)

5.

Ju

risdiction

of other

constituen

t entity

(or

member

of joint

venture

group)

6.

A

dditions

to this

constitue

nt entity

7.

Re

ductions

to this

constituen

t entity

8.

C

overed

taxes of

the

constitue

nt entity

(or

member

of joint

venture

EN 22 EN

(or

member

of joint

venture

group)

(TIN)

group)

before

the

adjustme

nt

(TIN) (ISO) group)

after the

adjustme

nt

(c) Deferred tax expense

1. Constituent entity or member of joint venture group

(TIN)

2. Deferred tax expense amount for purposes of the rules

3. Adjustments to deferred tax expense Additions Reductions

(a) Deferred tax expense related to items excluded from

qualifying income or loss

(b) Deferred tax expense related to disallowed accruals

(c) Deferred tax expense related to unclaimed accruals

(d) Valuation adjustment or accounting recognition

adjustment related to a deferred tax asset

(e) Deferred tax expense arising from a re-measurement

related to changes in the tax rate

(f) Deferred tax expense related to the generation and use of

tax credits

(g) Substitute loss carry forward DTA or deemed substitute

loss carry forward DTA

(h) Disallowed accruals or unclaimed accruals paid during

the fiscal year

(i) Recapture deferred tax liability paid during the fiscal year

(j) Recognition of a loss deferred tax asset not included in

the financials

(k) Deferred tax expense adjustment resulting from

a reduction to a tax rate

(l) Deferred tax expense adjustment resulting from an

increase to a tax rate

(m) Constituent entities joining and leaving an MNE group

EN 23 EN

(n) Deferred tax expense of the UPE that is a flow-through

entity

(o) Deferred tax expense of the UPE that is subject to

deductible dividend regime

(p) Deferred tax adjustment resulting from transactions

between constituent entities

4. Difference between deferred tax expense recorded at

a lower tax rate than the minimum tax rate and recast at

minimum tax rate

5. Difference between deferred tax expense recorded at

a higher tax rate than the minimum tax rate and recast at

minimum tax rate

6. Total deferred tax adjustment amount

3.2.4.3. Constituent entity elections (or elections that apply to a joint venture group)

1. Constituent entities (or member of joint venture

group) for which an election is made (TIN)

2. Annual

elections

a. Election to apply the simplified

calculations for non-material constituent

entities (simplified calculations safe

harbour)

b. Debt release election

c. Unclaimed accrual election

3. Five-

year elections

4.

Elec

tion year

5.

Revoca

tion year

d. Not treating an entity as an excluded

entity election

e. Inclusion of all dividends with

respect to portfolio shareholdings

f. Treating foreign exchange gains or

losses attributable to hedging as an

excluded equity gain or loss

g. Investment entity tax transparency

election

EN 24 EN

h. Taxable distribution method

election

i. Unclaimed accrual five-year

election

6. Other

elections

j. Qualifying loss election

k. Fair value election

1. Constituent entities (or members

of joint venture groups) for which the

election is made (TIN)

2. Fiscal

year of the

triggering event

3. Inclusion in the fiscal

year of the triggering event or

five-year inclusion

3.2.4.4. International shipping income exclusion

(a) International shipping income exclusion

1. Constituent entity or member of joint venture group located in this

jurisdiction (TIN)

International shipping

income

2. Category

3. Revenue [A]

4. Costs [B]

5. International shipping income [C]=[A]-[B]

Qualified ancillary

international shipping

income

6. Category

7. Revenue [D]

8. Costs [E]

9. Qualified ancillary international shipping

income

[F]=[D]-[E]

Effect on substance-

based income

exclusion

10. Payroll costs attributable to the excluded

international shipping income or qualified ancillary

international shipping income

11. Carrying value of tangible assets used in the

generation of the excluded international shipping

income or qualified ancillary international shipping

income

Covered taxes 12. Covered taxes attributable to the excluded

EN 25 EN

international shipping income or qualified ancillary

international shipping income

(b) Jurisdictional cap for the qualified ancillary international shipping income exclusion

1. Total international shipping income for all constituent entities (or

members of joint venture group)

[A]

2. 50 % cap 50 %x[A]

3. Total qualified ancillary international shipping income for all

constituent entities (or members of joint venture group)

[B]

4. Excess of the cap if B exceeds 50 % of A [B]-50 %x[A]

3.2.4.5. Information for purposes of election to apply taxable distribution method (if

applicable)

Taxable distribution method election

1. Constituent

entity-owner (or

member of joint

venture group) for

which an election

is made (TIN)

2.

Investme

nt entity for

which the

election is made

(TIN)

3. Actual

and deemed

distributions of

the investment

entity’s

qualifying

income received

by the

constituent

entity-owner

4.

Lo

cal

creditable

tax gross-

up

incurred

by the

investment

entity

5. Constituent

entity-owner’s

proportionate share

of the investment

entity’s

undistributed net

qualifying income

3.2.4.6. Other accounting standard

1. Constituent entity (or member of joint venture group)

with financial accounting net income or loss based on

a different accounting standard (TIN)

2. Acceptable or

authorised financial

accounting standard

3.3. Top-up tax computation

3.3.1. Top-up tax

a.

To

p-up tax

percentage

b. Substance-

based income

exclusion

c.

Ex

cess

profit

d.

Addit

ional top-up

tax

e.

Pay

able

domestic

f. Top-up

tax

EN 26 EN

top-up tax

[A]=15 %

- effective

tax rate

[B] [C] = net

qualifying

income or

loss -[B]

[D] [E] =[A]x[C]+[D]-

[E]

3.3.2. Computation of substance-based income exclusion (if applicable)

3.3.2.1. Total amount of the substance-based income exclusion

Payroll carve-out Tangible assets carve-out Total

1.

Releva

nt eligible

payroll costs

of eligible

employees

performing

activities in

the jurisdiction

2.

Applicat

ion of relevant

mark-up

percentage for

the Reporting

fiscal year

3.

Carryin

g value of

relevant

eligible

tangible assets

located in the

jurisdiction

4.

Applicati

on of relevant

mark-up

percentage for

the Reporting

fiscal year

5. Substance-

based income

exclusion

[A] [B] [C] [D] [E]=[A]x[B]+[C]x[D

]

3.3.2.2. Allocation of eligible payroll costs and carrying value of eligible tangible assets to

permanent establishments for purposes of the substance-based income exclusion

1.

Rele

vant eligible

payroll costs

2.

Carryin

g value of

relevant

eligible

tangible assets

3.

Jurisdictio

n of permanent

establishments

4. Relevant

eligible payroll

costs allocated to

permanent

establishments

5. Carrying

value of relevant

eligible tangible

assets allocated to

permanent

establishments

3.3.2.3. Allocation of eligible payroll costs and carrying value of eligible tangible assets of

a flow-through entity for purposes of the substance-based income exclusion

1.

Rele

vant eligible

payroll costs

2.

Carryin

g value of

relevant

eligible

tangible assets

3. Jurisdiction

of constituent entity

owners (or

members of joint

venture group)

4. Relevant

eligible payroll

costs allocated

to constituent

entity owner (or

excluded)

5. Carrying

value of relevant

eligible tangible

assets allocated to

constituent entity

owner (or

excluded)

EN 27 EN

3.3.3. Additional current top-up tax

3.3.3.1. Additional top-up tax other than in case of a net qualifying loss in the Reporting

fiscal year

1.

Releva

nt

Article

s

2.

Releva

nt year

3.

As

previo

usly

reporte

d or

recalcu

lated

4.

Net

qualify

ing

income

/loss

5.

Adjust

ed

covere

d taxes

6.

Effecti

ve tax

rate

7.

Excess

profit

8.

Top-up

tax

percent

age

9.

Top-up

tax

10.

Additi

onal

top-up

tax

Prior

fiscal

year X

a.

Previo

usly

reporte

d

b.

Recalc

ulated

3.3.3.2. Additional top-up tax in case of a net qualifying loss for the Reporting fiscal year

1. Adjusted covered taxes for the jurisdiction (if

negative)

[A]

2. Qualifying loss for the jurisdiction [B]

3. Expected adjusted covered taxes [C]=[B]×15

%

4. Additional top-up tax [D]=[C]-[A]

3.3.4. Qualified domestic top-up tax

1. Financial accounting standard

2. Qualified domestic top-up tax amount

payable

EN 28 EN

3. Qualified domestic top-up tax minimum

tax rate (if higher than 15 %)

4. Basis for the blending of income and

taxes (if different from the IIR rules)

5. Currency used (if different from

consolidated financial statement presentation

currency)

6. Five-year election to use the consolidated

financial statement currency or the local currency

Currency Election

year

Revocation

year

7 Substance-based income exclusion

available?

Yes/No

8. De-minimis available? Yes/No

3.4. Top-up tax allocation and attribution (if any)

3.4.1. Application of the IIR in respect of this jurisdiction

1. Group entity

allocated top-up tax

a. Low-taxed constituent entity or

member of joint venture group (TIN)

b. Qualifying income of the low

taxed constituent entity or member of

joint venture group

[A]

c. Top-up tax of the low-taxed

constituent entity or the member of the

joint venture group

[C] = [T] x

[A]/[A+B+etc.]

2. Parent entities

required to apply

a qualified IIR

a. Parent entity (TIN) [Parent entity 1]

b. Parent entity jurisdiction Jurisdiction B

c. The amount of qualifying income

attributable to ownership interests held

by other owners

[D]

d. Parent entity’s inclusion ratio [F]=([A]-

[D])/[A]

3. IIR top-up tax a. Parent entity’s allocable share of

the top-up tax

[G]=[C]×[F]

b. IIR offset [H]

c. Top-up tax payable by parent

entity

[I]=[G]-[H]

EN 29 EN

3.4.2. Total UTPR top-up tax amount in respect of this jurisdiction

1. Low taxed constituent entity (or member of joint venture group) for which the

reduction of UTPR to zero does not apply (TIN)

2. Top-up tax taken into account for calculating the total UTPR top-up tax for each low-

taxed constituent entity

3. Total UTPR top-up tax amount in respect of this jurisdiction

3.4.3. Attribution of top-up tax under the UTPR

1.

U

TPR

jurisdicti

ons

2.

U

TPR top-

up tax

carry-

forward

3.

Nu

mber of

employees

4.

Net

book

value

of

tangib

le

assets

5.

U

TPR

percenta

ge

6.

U

TPR top-

up tax

amount

attribute

d for the

Reportin

g fiscal

year

7.

Additi

onal cash tax

expense

incurred by

constituent

entities in

UTPR

jurisdiction

8.

U

TPR top-

up tax

left to be

carried

forward

Total

EN 1 EN



ANNEX VIII

Part A

Repealed Directive with list of the successive amendments thereto

(referred to in Article 57)

Council Directive 2011/16/EU

(OJ L 64, 11.3.2011, p. 1, ELI: http://data.europa.eu/eli/dir/2011/16/oj)

Council Directive 2014/107/EU

OJ L 359, 16.12.2014, pp. 1–29, ELI: http://data.europa.eu/eli/dir/2014/107/oj

Council Directive (EU) 2015/2376

OJ L 332, 18.12.2015, pp. 1–10, ELI: http://data.europa.eu/eli/dir/2015/2376/oj

Council Directive (EU) 2016/881

OJ L 146, 3.6.2016, pp. 8–21, ELI: http://data.europa.eu/eli/dir/2016/881/oj

Council Directive (EU) 2016/2258

OJ L 342, 16.12.2016, pp. 1–3, ELI: http://data.europa.eu/eli/dir/2016/2258/oj

Council Directive (EU) 2018/822

OJ L 139, 5.6.2018, pp. 1–13, ELI: http://data.europa.eu/eli/dir/2018/822/oj

Council Directive (EU) 2020/876

OJ L 204, 26.6.2020, pp. 46–48, ELI: http://data.europa.eu/eli/dir/2020/876/oj

Council Directive (EU) 2021/514

OJ L 104, 25.3.2021, pp. 1–26, ELI: http://data.europa.eu/eli/dir/2021/514/oj

Council Directive (EU) 2023/2226

OJ L, 2023/2226, 24.10.2023, ELI: http://data.europa.eu/eli/dir/2023/2226/oj

Council Directive (EU) 2025/872

OJ L, 2025/872, 6.5.2025, ELI: http://data.europa.eu/eli/dir/2025/872/oj

Part B

Time-limits for transposition into national law and dates of application

EN 2 EN

(referred to in Article 57)

Directive Time-limit for

transposition

Date of application

Council Directive 2011/16/EU

1 January 2013

(1 January 2015 as

regards Article 8)

Council Directive 2014/107/EU

31 December 2015 1 January 2016

(1 January 2017 as

far as Austria is

concerned)

Council Directive (EU) 2015/2376 31 December 2016 1 January 2017

Council Directive (EU) 2016/881 4 June 2017 5 June 2017

Council Directive (EU) 2016/2258 31 December 2017 1 January 2018

Council Directive (EU) 2018/822 31 December 2019 1 July 2020

Council Directive (EU) 2020/876 27 June 2020

Council Directive (EU) 2021/514

31 December 2022

[31 December 2023 as

regards Article 1,

point (1)(d), insofar as

it concerns Article 3,

point (26), of

Directive 2011/16/EU,

and Article 1, point

(12)]

1 January 2023.

[1 January 2024 as

regards Article 1,

point (1)(d), insofar

as it concerns Article

3, point (26), of

Directive

2011/16/EU, and

Article 1, point (12)]

Council Directive (EU) 2023/2226

31 December 2025

[31 December 2027 as

regards Article 1,

point (11), and Article

1, point (16), insofar

as it concerns Article

27c, points (3) and (4),

of Directive

1 January 2026

[1 January 2028 as

regards Article 1,

point (11), and

Article 1, point (16),

insofar as it concerns

Article 27c, points (3)

and (4), of Directive

EN 3 EN

2011/16/EU]

[31 December 2029 as

regards Article 1,

point (16), insofar as it

concerns Article 27c,

point (2), of Directive

2011/16/EU]

2011/16/EU]

[1 January 2030 as

regards Article 1,

point (16), insofar as

it concerns Article

27c, point (2), of

Directive

2011/16/EU]

Council Directive (EU) 2025/872

31 December 2025

[31 December 2027 as

regards Article 1,

point (8)]

[Pillar Two linkage:

transposition applies

upon national

implementation of the

Pillar Two Directive,

where relevant

coordination

provisions depend on

it (Article 2(4)]

1 January 2026.

[1 January 2028 as

regards Article 1,

point (8)]

[Pillar Two

dependency clause:

application of

relevant coordination

provisions takes

effect from the date

Member States

implement the Pillar

Two Directive in

national law (Article

2(4)]

_____________

EN 1 EN

ANNEX IX

CORRELATION TABLE

Directive 2011/16/EU This Directive

Article 1 Article 1

Article 2 Article 2

Article 3 Article 3

Article 4 Article 29

Article 5 Article 17

Article 5a Article 18

Article 6 Article 19

Article 7 Article 20

Article 8 Article 4

Article 8(3) Article 5

Article 8a Article 6

Article 8aa Article 7

Article 8ab Article 8

Article 8ac (1), (2), (3) Article 9

Article 8ac (4), (5), (6) Article 10

Article 8ac (7) Article 11

Article 8ad (1), (2), (3), (5) Article 12

Article 8ad (7), (8), (9), (10) Article 13

Article 8ad (11), (12) Article 14

Article 8ae Article 15

--- Article 16

Article 8b Article 46

Article 9 Article 21

Article 9a Article 22

EN 2 EN

Article 10 Article 23

Article 11 Article 24

Article 12 Article 25

Article 12a Article 26

Article 13 Article 27

Article 14 Article 28

Article 15 Article 45

Article 16 Article 30

Article 17 Article 31

Article 18 Article 32

Article 19 Article 33

Article 20 (1) – (4) Article 42

Article 20 (4) Article 43

Article 21(1) – (3) Article 44

Article 21 (7) Article 47

Article 22 Article 37

--- Article 38

--- Article 39

Article 23 Article 48

Article 23a Article 49

Article 24 Article 50

Article 25 (1) – (5) Article 40

Article 25 (6), (7), (8) Article 41

Article 25a Article 34

Article 26 Article 51

--- Article 52

Article 27 Article 53

EN 3 EN

Article 27a ---

Article 27b ---

Article 27c Article 35

--- Article 36

Article 27d Article 54

Article 28 Article 57

Article 29 Article 55

Article 2 Directive 2025/872/EU Article 56

Article 30 Article 58

Article 31 Article 59

Annex I Annex I

Annex II Annex II

Annex III Annex III

Annex IV Annex IV

Annex V Annex V

Annex VI Annex VI

Annex VII Annex VII

_____________

11060/26 ADD 1

ECOFIN.2.B EN

Council of the European Union

Brussels, 24 June 2026 (OR. en)

11060/26 ADD 1

FISC 235 ECOFIN 895

Interinstitutional File: 2026/0168 (CNS)

COVER NOTE

From: Secretary-General of the European Commission, signed by Ms Martine DEPREZ, Director

date of receipt: 24 June 2026

To: Ms Thérèse BLANCHET, Secretary-General of the Council of the European Union

No. Cion doc.: COM(2026) 308 annex

Subject: ANNEXES to the Proposal for a COUNCIL DIRECTIVE on administrative cooperation in the field of taxation (recast)

EN EN

EUROPEAN COMMISSION

Brussels, 24.6.2026

COM(2026) 308 final

ANNEXES 1 to 9

ANNEXES

to the

Proposal for a COUNCIL DIRECTIVE

on administrative cooperation in the field of taxation

(recast)

{SEC(2026) 186 final} - {SWD(2026) 164 final} - {SWD(2026) 165 final} -

{SWD(2026) 166 final}

EN 1 EN

 2014/107/EU Art. 1.6 and

Annex (adapted)

ANNEX I

REPORTING AND DUE DILIGENCE RULES FOR FINANCIAL ACCOUNT

INFORMATION

This Annex lays down the reporting and due diligence rules that have to be applied by

Reporting Financial Institutions in order to enable the Member States to communicate, by

automatic exchange, the information referred to in Article  5  8(3a) of this Directive.

This Annex also describes the rules and administrative procedures that Member States shall

have in place to ensure effective implementation of, and compliance with, the reporting and

due diligence procedures set out below.

SECTION I

GENERAL REPORTING REQUIREMENTS

 2023/2226 Art. 1.17 and Annex

I.1(a)

A. Subject to paragraphs C to F, each Reporting Financial Institution shall report

to the competent authority of its Member State with respect to each Reportable

Account of such Reporting Financial Institution:

1. the following information:

(a) the name, address, Member State(s) of residence, TIN(s) and

date and place of birth (in the case of an individual) of each Reportable

Person that is an Account Holder of the account and whether the Account

Holder has provided a valid self-certification;

(b) in the case of any Entity that is an Account Holder and that,

after application of the due diligence procedures consistent with Sections

V, VI and VII, is identified as having one or more Controlling Persons

that is a Reportable Person, the name, address, Member State(s) and (if

any) other jurisdiction(s) of residence and TIN(s) of the Entity and the

name, address, Member State(s) of residence, TIN(s) and date and place

of birth of each Reportable Person, as well as the role(s) by virtue of

which each Reportable Person is a Controlling Person of the Entity and

whether a valid self-certification has been provided for each Reportable

Person;

(c) whether the account is a joint account, including the number of

joint Account Holders;

2. the account number (or functional equivalent in the absence of an

account number), the type of account and whether the account is a Pre-existing

Account or a New Account;

EN 2 EN

 2014/107/EU Art. 1.6 and

Annex

3. the name and identifying number (if any) of the Reporting Financial

Institution;

4. the account balance or value (including, in the case of a Cash Value

Insurance Contract or Annuity Contract, the Cash Value or surrender value) as

of the end of the relevant calendar year or other appropriate reporting period or,

if the account was closed during such year or period, the closure of the

account;

5. in the case of any Custodial Account:

(a) the total gross amount of interest, the total gross amount of

dividends, and the total gross amount of other income generated with

respect to the assets held in the account, in each case paid or credited to

the account (or with respect to the account) during the calendar year or

other appropriate reporting period; and

(b) the total gross proceeds from the sale or redemption of

Financial Assets paid or credited to the account during the calendar year

or other appropriate reporting period with respect to which the Reporting

Financial Institution acted as a custodian, broker, nominee, or otherwise

as an agent for the Account Holder;

 2023/2226 Art. 1.17 and Annex

I.1(a)

6. in the case of any Depository Account, the total gross amount of

interest paid or credited to the account during the calendar year or other

appropriate reporting period;

 2023/2226 Art. 1.17 and Annex

I.1(a)

76a. in the case of any Equity Interest held in an Investment Entity that is a

legal arrangement, the role(s) by virtue of which the Reportable Person is an

Equity Interest holder; and

 2014/107/EU Art. 1.6 and

Annex

87. in the case of any account not described in subparagraph A(5) or (6),

the total gross amount paid or credited to the Account Holder with respect to

the account during the calendar year or other appropriate reporting period with

respect to which the Reporting Financial Institution is the obligor or debtor,

including the aggregate amount of any redemption payments made to the

Account Holder during the calendar year or other appropriate reporting period.

B. The information reported must identify the currency in which each amount is

denominated.

EN 3 EN

 2023/2226 Art. 1.17 and Annex

I.1(b)

C. Notwithstanding subparagraph A(1), with respect to each Reportable Account

that is a Pre-existing Account, the TIN(s) or date of birth is not required to be

reported if such TIN(s) or date of birth is not in the records of the Reporting

Financial Institution and is not otherwise required to be collected by such Reporting

Financial Institution under domestic law or any Union legal instrument. However, a

Reporting Financial Institution is required to use reasonable efforts to obtain the

TIN(s) and date of birth with respect to Pre-existing Accounts by the end of the

second calendar year following the year in which Pre-existing Accounts were

identified as Reportable Accounts and whenever it is required to update the

information relating to the Pre-existing Account pursuant to domestic anti-money

laundering legislation and “know-your-customer” (AML/KYC) Procedures.

 2014/107/EU Art. 1.6 and

Annex

D. Notwithstanding subparagraph A(1), the TIN is not required to be reported if a

TIN is not issued by the relevant Member State or other jurisdiction of residence.

E. Notwithstanding subparagraph A(1), the place of birth is not required to be

reported unless:

(1) the Reporting Financial Institution is otherwise required to obtain and

report it under domestic law or the Reporting Financial Institution is or has

been otherwise required to obtain and report it under any Union legal

instrument in effect or that was in effect on 5 January 2015; and

(2) it is available in the electronically searchable data maintained by the

Reporting Financial Institution.

 2023/2226 Art. 1.17 and Annex

I.1(c) (adapted)

F. Notwithstanding subparagraph A(5), point (b), and unless the Reporting

Financial Institution elects otherwise with respect to any clearly identified group of

accounts, the gross proceeds from the sale or redemption of a Financial Asset are not

required to be reported to the extent such gross proceeds from the sale or redemption

of such Financial Asset are reported by the Reporting Financial Institution in

accordance with Article  12  8ad.

 2014/107/EU Art. 1.6 and

Annex (adapted)

SECTION II

GENERAL DUE DILIGENCE REQUIREMENTS

A. An account is treated as a Reportable Account beginning as of the date it is

identified as such pursuant to the due diligence procedures in Sections II tothrough

EN 4 EN

VII and, unless otherwise provided, information with respect to a Reportable

Account must be reported annually in the calendar year following the year to which

the information relates.

B. The balance or value of an account is determined as of the last day of the

calendar year or other appropriate reporting period.

C. Where a balance or value threshold is to be determined as of the last day of a

calendar year, the relevant balance or value must be determined as of the last day of

the reporting period that ends with or within that calendar year.

D. Each Member State may allow Reporting Financial Institutions to use service

providers to fulfil the reporting and due diligence obligations imposed on such

Reporting Financial Institutions, as contemplated in domestic law, but these

obligations shall remain the responsibility of the Reporting Financial Institutions.

E. Each Member State may allow Reporting Financial Institutions to apply the

due diligence procedures for New Accounts to Pre-existing Accounts, and the due

diligence procedures for High Value Accounts to Lower Value Accounts. Where a

Member State allows New Account due diligence procedures to be used for Pre-

existing Accounts, the rules otherwise applicable to Pre-existing Accounts continue

to apply.

SECTION III

DUE DILIGENCE FOR PRE-EXISTING INDIVIDUAL ACCOUNTS

A. Introduction. The following procedures apply for purposes of identifying

Reportable Accounts among Pre-existing Individual Accounts.

B. Lower Value Accounts. The following procedures apply with respect to Lower

Value Accounts.

1. Residence Address. If the Reporting Financial Institution has in its

records a current residence address for the individual Account Holder based on

Documentary Evidence, the Reporting Financial Institution may treat the

individual Account Holder as being a resident for tax purposes of the Member

State or other jurisdiction in which the address is located for purposes of

determining whether such individual Account Holder is a Reportable Person.

2. Electronic Record Search. If the Reporting Financial Institution does

not rely on a current residence address for the individual Account Holder based

on Documentary Evidence as set forth in subparagraph B(1), the Reporting

Financial Institution must review electronically searchable data maintained by

the Reporting Financial Institution for any of the following indicia and apply

subparagraphs B(3) to (6):

(a) identification of the Account Holder as a resident of a Member

State;

(b) current mailing or residence address (including a post office

box) in a Member State;

(c) one or more telephone numbers in a Member State and no

telephone number in the Member State of the Reporting Financial

Institution;

EN 5 EN

(d) standing instructions (other than with respect to a Depository

Account) to transfer funds to an account maintained in a Member State;

(e) currently effective power of attorney or signatory authority

granted to a person with an address in a Member State; or

(f) a ‘hold mail’ instruction or ‘in-care-of’ address in a Member

State if the Reporting Financial Institution does not have any other

address on file for the Account Holder.

3. If none of the indicia listed in subparagraph B(2) are discovered in the

electronic search, then no further action is required until there is a change in

circumstances that results in one or more indicia being associated with the

account, or the account becomes a High Value Account.

4. If any of the indicia listed in subparagraph B(2)(a) tothrough (e) are

discovered in the electronic search, or if there is a change in circumstances that

results in one or more indicia being associated with the account, then the

Reporting Financial Institution must treat the Account Holder as a resident for

tax purposes of each Member State for which an indicium is identified, unless

it elects to apply subparagraph B(6) and one of the exceptions in that

subparagraph applies with respect to that account.

5. If a ‘hold mail’ instruction or ‘in-care-of’ address is discovered in the

electronic search and no other address and none of the other indicia listed in

subparagraph B(2)(a) tothrough (e) are identified for the Account Holder, the

Reporting Financial Institution must, in the order most appropriate to the

circumstances, apply the paper record search described in subparagraph C(2),

or seek to obtain from the Account Holder a self-certification or Documentary

Evidence to establish the residence(s) for tax purposes of such Account Holder.

If the paper search fails to establish an indicium and the attempt to obtain the

self-certification or Documentary Evidence is not successful, the Reporting

Financial Institution must report the account to the competent authority of its

Member State as an undocumented account.

6. Notwithstanding a finding of indicia under subparagraph B(2), a

Reporting Financial Institution is not required to treat an Account Holder as a

resident of a Member State if:

(a) the Account Holder information contains a current mailing or

residence address in that Member State, one or more telephone numbers

in that Member State (and no telephone number in the Member State of

the Reporting Financial Institution) or standing instructions (with respect

to Financial Accounts other than Depository Accounts) to transfer funds

to an account maintained in a Member State, and the Reporting Financial

Institution obtains, or has previously reviewed and maintains, a record of:

(i) a self-certification from the Account Holder of the Member

State(s) or other jurisdiction(s) of residence of such Account

Holder that does not include that Member State; and

(ii) Documentary Evidence establishing the Account Holder's non-

reportable status;

(b) the Account Holder information contains a currently effective

power of attorney or signatory authority granted to a person with an

EN 6 EN

address in that Member State, and the Reporting Financial Institution

obtains, or has previously reviewed and maintains, a record of:

(i) a self-certification from the Account Holder of the Member

State(s) or other jurisdiction(s) of residence of such Account

Holder that does not include that Member State; or

(ii) Documentary Evidence establishing the Account Holder's non-

reportable status.

C. Enhanced Review Procedures for High Value Accounts. The following

enhanced review procedures apply with respect to High Value Accounts.

1. Electronic Record search. With respect to High Value Accounts, the

Reporting Financial Institution must review electronically searchable data

maintained by the Reporting Financial Institution for any of the indicia

described in subparagraph B(2).

2. Paper Record Search. If the Reporting Financial Institution's

electronically searchable databases include fields for, and capture all of the

information described in subparagraph C(3), then a further paper record search

is not required. If the electronic databases do not capture all of this

information, then with respect to a High Value Account, the Reporting

Financial Institution must also review the current customer master file and, to

the extent not contained in the current customer master file, the following

documents associated with the account and obtained by the Reporting Financial

Institution within the last five years for any of the indicia described in

subparagraph B(2):

(a) the most recent Documentary Evidence collected with respect to

the account;

(b) the most recent account opening contract or documentation;

(c) the most recent documentation obtained by the Reporting

Financial Institution pursuant to AML/KYC Procedures or for other

regulatory purposes;

(d) any power of attorney or signature authority forms currently in

effect; and

(e) any standing instructions (other than with respect to a

Depository Account) to transfer funds currently in effect.

3. Exception To The Extent Databases Contain Sufficient Information. A

Reporting Financial Institution is not required to perform the paper record

search described in subparagraph C(2) to the extent the Reporting Financial

Institution's electronically searchable information includes the following:

(a) the Account Holder's residence status;

(b) the Account Holder's residence address and mailing address

currently on file with the Reporting Financial Institution;

(c) the Account Holder's telephone number(s) currently on file, if

any, with the Reporting Financial Institution;

(d) in the case of Financial Accounts other than Depository

Accounts, whether there are standing instructions to transfer funds in the

EN 7 EN

account to another account (including an account at another branch of the

Reporting Financial Institution or another Financial Institution);

(e) whether there is a current ‘in-care-of’ address or ‘hold mail’

instruction for the Account Holder; and

(f) whether there is any power of attorney or signatory authority for

the account.

4. Relationship Manager Inquiry for Actual Knowledge. In addition to the

electronic and paper record searches described in subparagraphs C(1) and (2),

the Reporting Financial Institution must treat as a Reportable Account any

High Value Account assigned to a relationship manager (including any

Financial Accounts aggregated with that High Value Account) if the

relationship manager has actual knowledge that the Account Holder is a

Reportable Person.

5. Effect of Finding Indicia.

(a) If none of the indicia listed in subparagraph B(2) are discovered

in the enhanced review of High Value Accounts described in paragraph

C, and the account is not identified as held by a Reportable Person in

subparagraph C(4), then further action is not required until there is a

change in circumstances that results in one or more indicia being

associated with the account.

(b) If any of the indicia listed in subparagraphs B(2)(a) tothrough

(e) are discovered in the enhanced review of High Value Accounts

described in paragraph C, or if there is a subsequent change in

circumstances that results in one or more indicia being associated with

the account, then the Reporting Financial Institution must treat the

account as a Reportable Account with respect to each Member State for

which an indicium is identified unless it elects to apply subparagraph

B(6) and one of the exceptions in that subparagraph applies with respect

to that account.

(c) If a ‘hold mail’ instruction or ‘in-care-of’ address is discovered

in the enhanced review of High Value Accounts described in paragraph

C, and no other address and none of the other indicia listed in

subparagraphs B(2)(a) tothrough (e) are identified for the Account

Holder, the Reporting Financial Institution must obtain from such

Account Holder a self-certification or Documentary Evidence to establish

the residence(s) for tax purposes of the Account Holder. If the Reporting

Financial Institution cannot obtain such self-certification or Documentary

Evidence, it must report the account to the competent authority of its

Member State as an undocumented account.

6. If a Pre-existing Individual Account is not a High Value Account as of

31 December 2015, but becomes a High Value Account as of the last day of a

subsequent calendar year, the Reporting Financial Institution must complete

the enhanced review procedures described in paragraph C with respect to such

account within the calendar year following the year in which the account

becomes a High Value Account. If based on this review such account is

identified as a Reportable Account, the Reporting Financial Institution must

report the required information about such account with respect to the year in

EN 8 EN

which it is identified as a Reportable Account and subsequent years on an

annual basis, unless the Account Holder ceases to be a Reportable Person.

7. Once a Reporting Financial Institution applies the enhanced review

procedures described in paragraph C to a High Value Account, the Reporting

Financial Institution is not required to reapply such procedures, other than the

relationship manager inquiry described in subparagraph C(4), to the same High

Value Account in any subsequent year unless the account is undocumented

where the Reporting Financial Institution should reapply them annually until

such account ceases to be undocumented.

8. If there is a change of circumstances with respect to a High Value

Account that results in one or more indicia described in subparagraph B(2)

being associated with the account, then the Reporting Financial Institution

must treat the account as a Reportable Account with respect to each Member

State for which an indicium is identified unless it elects to apply subparagraph

B(6) and one of the exceptions in that subparagraph applies with respect to that

account.

9. A Reporting Financial Institution must implement procedures to ensure

that a relationship manager identifies any change in circumstances of an

account. For example, if a relationship manager is notified that the Account

Holder has a new mailing address in a Member State, the Reporting Financial

Institution is required to treat the new address as a change in circumstances

and, if it elects to apply subparagraph B(6), is required to obtain the

appropriate documentation from the Account Holder.

D. Review of Pre-existing High Value Individual Accounts must be completed by

31 December 2016. Review of Pre-existing Lower Value Individual Accounts must

be completed by 31 December 2017.

DE. Any Pre-existing Individual Account that has been identified as a Reportable

Account under this Section must be treated as a Reportable Account in all subsequent

years, unless the Account Holder ceases to be a Reportable Person.

SECTION IV

DUE DILIGENCE FOR NEW INDIVIDUAL ACCOUNTS

The following procedures apply for purposes of identifying Reportable Accounts among New

Individual Accounts.

A. With respect to New Individual Accounts, upon account opening, the

Reporting Financial Institution must obtain a self-certification, which may be part of

the account opening documentation, that allows the Reporting Financial Institution to

determine the Account Holder's residence(s) for tax purposes and confirm the

reasonableness of such self-certification based on the information obtained by the

Reporting Financial Institution in connection with the opening of the account,

including any documentation collected pursuant to AML/KYC Procedures.

B. If the self-certification establishes that the Account Holder is resident for tax

purposes in a Member State, the Reporting Financial Institution must treat the

account as a Reportable Account and the self-certification must also include the

Account Holder's TIN with respect to such Member State (subject to  Section

I,  paragraph D of Section I) and date of birth.

EN 9 EN

C. If there is a change of circumstances with respect to a New Individual Account

that causes the Reporting Financial Institution to know, or have reason to know, that

the original self-certification is incorrect or unreliable, the Reporting Financial

Institution cannot rely on the original self-certification and must obtain a valid self-

certification that establishes the residence(s) for tax purposes of the Account Holder.

SECTION V

DUE DILIGENCE FOR PRE-EXISTING ENTITY ACCOUNTS

The following procedures apply for purposes of identifying Reportable Accounts among Pre-

existing Entity Accounts.

A. Entity Accounts Not Required to Be Reviewed, Identified or Reported. Unless

the Reporting Financial Institution elects otherwise, either with respect to all Pre-

existing Entity Accounts or, separately, with respect to any clearly identified group

of such accounts, a Pre-existing Entity Account with an aggregate account balance or

value that does not exceed, as of 31 December 2015, an amount denominated in the

domestic currency of each Member State that corresponds to USD 250000, is not

required to be reviewed, identified, or reported as a Reportable Account until the

aggregate account balance or value exceeds that amount as of the last day of any

subsequent calendar year.

B. Entity Accounts Subject to Review. A Pre-existing Entity Account that has an

aggregate account balance or value that exceeds, as of 31 December 2015, an amount

denominated in the domestic currency of each Member State that corresponds to

USD 250000, and a Pre-existing Entity Account that does not exceed, as of 31

December 2015, that amount but the aggregate account balance or value of which

exceeds such amount as of the last day of any subsequent calendar year, must be

reviewed in accordance with the procedures set forth in paragraph D.

C. Entity Accounts With Respect to Which Reporting Is Required. With respect

to Pre-existing Entity Accounts described in paragraph B, only accounts that are held

by one or more Entities that are Reportable Persons, or by Passive non-financial

entities (NFEs) with one or more Controlling Persons who are Reportable Persons,

shall be treated as Reportable Accounts.

D. Review Procedures for Identifying Entity Accounts With Respect to Which

Reporting Is Required. For Pre-existing Entity Accounts described in paragraph B, a

Reporting Financial Institution must apply the following review procedures to

determine whether the account is held by one or more Reportable Persons, or by

Passive NFEs with one or more Controlling Persons who are Reportable Persons:

1. Determine Whether the Entity Is a Reportable Person.

(a) Review information maintained for regulatory or customer

relationship purposes (including information collected pursuant to

AML/KYC Procedures) to determine whether the information indicates

that the Account Holder is resident in a Member State. For this purpose,

information indicating that the Account Holder is resident in a Member

State includes a place of incorporation or organisation, or an address in a

Member State.

(b) If the information indicates that the Account Holder is resident

in a Member State, the Reporting Financial Institution must treat the

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account as a Reportable Account unless it obtains a self-certification

from the Account Holder, or reasonably determines based on information

in its possession or that is publicly available, that the Account Holder is

not a Reportable Person.

2. Determine Whether the Entity is a Passive NFE with One or More

Controlling Persons who are Reportable Persons. With respect to an Account

Holder of a Pre-existing Entity Account (including an Entity that is a

Reportable Person), the Reporting Financial Institution must determine

whether the Account Holder is a Passive NFE with one or more Controlling

Persons who are Reportable Persons. If any of the Controlling Persons of a

Passive NFE is a Reportable Person, then the account must be treated as a

Reportable Account. In making these determinations the Reporting Financial

Institution must follow the guidance in subparagraphs D(2)(a)  , (b) and 

through (c) in the order most appropriate under the circumstances.

(a) Determining whether the Account Holder is a Passive NFE. For

purposes of determining whether the Account Holder is a Passive NFE,

the Reporting Financial Institution must obtain a self-certification from

the Account Holder to establish its status, unless it has information in its

possession or that is publicly available, based on which it can reasonably

determine that the Account Holder is an Active NFE or a Financial

Institution other than an Investment Entity described in subparagraph

A(6)(b) of Section VIII  , subparagraph A(6)(b)  that is not a

Participating Jurisdiction Financial Institution.

(b) Determining the Controlling Persons of an Account Holder. For

the purposes of determining the Controlling Persons of an Account

Holder, a Reporting Financial Institution may rely on information

collected and maintained pursuant to AML/KYC Procedures.

(c) Determining whether a Controlling Person of a Passive NFE is

a Reportable Person. For the purposes of determining whether a

Controlling Person of a Passive NFE is a Reportable Person, a Reporting

Financial Institution may rely on:

(i) information collected and maintained pursuant to AML/KYC

Procedures in the case of a Pre-existing Entity Account held by one

or more NFEs with an aggregate account balance or value that does

not exceed an amount denominated in the domestic currency of

each Member State that corresponds to USD 1000000; or

(ii) a self-certification from the Account Holder or such Controlling

Person of the Member State(s) or other jurisdiction(s) in which the

controlling person is resident for tax purposes.

E. Timing of Review and Additional Procedures Applicable to Pre-existing Entity

Accounts

1. Review of Pre-existing Entity Accounts with an aggregate account

balance or value that exceeds, as of 31 December 2015, an amount

denominated in the domestic currency of each Member State that corresponds

to USD 250000, must be completed by 31 December 2017.

2. Review of Pre-existing Entity Accounts with an aggregate account

balance or value that does not exceed, as of 31 December 2015, an amount

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denominated in the domestic currency of each Member State that corresponds

to USD 250000 but exceeds that amount as of 31 December of a subsequent

year, must be completed within the calendar year following the year in which

the aggregate account balance or value exceeds such amount.

3. If there is a change of circumstances with respect to a Pre-existing

Entity Account that causes the Reporting Financial Institution to know, or have

reason to know, that the self-certification or other documentation associated

with an account is incorrect or unreliable, the Reporting Financial Institution

must re-determine the status of the account in accordance with the procedures

set forth in paragraph D.

SECTION VI

DUE DILIGENCE FOR NEW ENTITY ACCOUNTS

The following procedures apply for purposes of identifying Reportable Accounts among New

Entity Accounts.

Review Procedures for Identifying Entity Accounts With Respect to Which Reporting Is

Required. For New Entity Accounts, a Reporting Financial Institution must apply the

following review procedures to determine whether the account is held by one or more

Reportable Persons, or by Passive NFEs with one or more Controlling Persons who are

Reportable Persons:

1. Determine Whether the Entity Is a Reportable Person.

(a) Obtain a self-certification, which may be part of the account opening

documentation, that allows the Reporting Financial Institution to determine the

Account Holder's residence(s) for tax purposes and confirm the reasonableness

of such self-certification based on the information obtained by the Reporting

Financial Institution in connection with the opening of the account, including

any documentation collected pursuant to AML/KYC Procedures. If the Entity

certifies that it has no residence for tax purposes, the Reporting Financial

Institution may rely on the address of the principal office of the Entity to

determine the residence of the Account Holder.

(b) If the self-certification indicates that the Account Holder is resident in a

Member State, the Reporting Financial Institution must treat the account as a

Reportable Account, unless it reasonably determines based on information in

its possession or that is publicly available that the Account Holder is not a

Reportable Person with respect to such Member State.

2. Determine Whether the Entity is a Passive NFE with One or More Controlling

Persons Who Are Reportable Persons. With respect to an Account Holder of a New

Entity Account (including an Entity that is a Reportable Person), the Reporting

Financial Institution must determine whether the Account Holder is a Passive NFE

with one or more Controlling Persons who are Reportable Persons. If any of the

Controlling Persons of a Passive NFE is a Reportable Person, then the account must

be treated as a Reportable Account. In making these determinations the Reporting

Financial Institution must follow the guidance in subparagraphs A(2)(a)  , (b)

and  through (c) in the order most appropriate under the circumstances.

(a) Determining whether the Account Holder is a Passive NFE. For

purposes of determining whether the Account Holder is a Passive NFE, the

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Reporting Financial Institution must rely on a self-certification from the

Account Holder to establish its status, unless it has information in its

possession or that is publicly available, based on which it can reasonably

determine that the Account Holder is an Active NFE or a Financial Institution

other than an Investment Entity described in subparagraph A(6)(b) of Section

VIII  , subparagraph A(6)(b)  that is not a Participating Jurisdiction

Financial Institution.

 2023/2226 Art. 1.17 and Annex

I.2 (adapted)

(b) Determining the Controlling Persons of an Account Holder. For the

purpose of determining the Controlling Persons of an Account Holder, a

Reporting Financial Institution may rely on information collected and

maintained pursuant to AML/KYC Procedures, provided that such procedures

are consistent with the Directive (EU)  Regulation (EU) 2024/1624 

2015/849. If the Reporting Financial Institution is not legally required to

apply AML/KYC Procedures that are consistent with the Directive

(EU)  Regulation (EU)2024/1624  2015/849, it shall apply substantially

similar procedures for the purpose of determining the Controlling Persons.

 2014/107/EU Art. 1.6 and

Annex

(c) Determining whether a Controlling Person of a Passive NFE is a

Reportable Person. For purposes of determining whether a controlling person

of a Passive NFE is a Reportable Person, a Reporting Financial Institution may

rely on a self-certification from the Account Holder or such Controlling

Person.

SECTION VII

SPECIAL DUE DILIGENCE RULES

The following additional rules apply in implementing the due diligence procedures described

above:

A. Reliance on Self-Certifications and Documentary Evidence. A Reporting

Financial Institution may not rely on a self-certification or Documentary Evidence if

the Reporting Financial Institution knows or has reason to know that the self-

certification or Documentary Evidence is incorrect or unreliable.

 2023/2226 Art. 1.17 and Annex

I.3

BAa. Temporary lack of self-certification. In exceptional circumstances where a

self-certification cannot be obtained by a Reporting Financial Institution in respect of

a New Account in time to meet its due diligence and reporting obligations with

respect to the reporting period during which the account was opened, the Reporting

Financial Institution shall apply the due diligence procedures for Pre-existing

Accounts, until such self-certification is obtained and validated.

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 2014/107/EU Art. 1.6 and

Annex (adapted)

CB. Alternative Procedures for Financial Accounts held by Individual Beneficiaries

of a Cash Value Insurance Contract or an Annuity Contract and for a Group Cash

Value Insurance Contract or Group Annuity Contract. A Reporting Financial

Institution may presume that an individual beneficiary (other than the owner) of a

Cash Value Insurance Contract or an Annuity Contract receiving a death benefit is

not a Reportable Person and may treat such Financial Account as other than a

Reportable Account unless the Reporting Financial Institution has actual knowledge,

or reason to know, that the beneficiary is a Reportable Person. A Reporting Financial

Institution has reason to know that a beneficiary of a Cash Value Insurance Contract

or an Annuity Contract is a Reportable Person if the information collected by the

Reporting Financial Institution and associated with the beneficiary contains indicia

as described in paragraph B of Section III  , paragraph B  . If a Reporting

Financial Institution has actual knowledge, or reason to know, that the beneficiary is

a Reportable Person, the Reporting Financial Institution must follow the procedures

in paragraph B of Section III  , paragraph B  .

A Reporting Financial Institution may treat a Financial Account that is a member's

interest in a Group Cash Value Insurance Contract or Group Annuity Contract as a

Financial Account that is not a Reportable Account until the date on which an

amount is payable to the employee/certificate holder or beneficiary, if the Financial

Account that is a member's interest in a Group Cash Value Insurance Contract or

Group Annuity Contract meets the following requirements:

(i) the Group Cash Value Insurance Contract or Group Annuity Contract is

issued to an employer and covers 25 or more employees/certificate holders;

(ii) the employee/certificate holders are entitled to receive any contract

value related to their interests and to name beneficiaries for the benefit payable

upon the employee's death; and

(iii) the aggregate amount payable to any employee/certificate holder or

beneficiary does not exceed an amount denominated in the domestic currency

of each Member State that corresponds to USD 1000000.

The term ‘Group Cash Value Insurance Contract’ means a Cash Value Insurance

Contract that (i) provides coverage on individuals who are affiliated through an

employer, trade association, labour union, or other association or group; and (ii)

charges a premium for each member of the group (or member of a class within the

group) that is determined without regard to the individual health characteristics other

than age, gender, and smoking habits of the member (or class of members) of the

group.

The term ‘Group Annuity Contract’ means an Annuity Contract under which the

obligees are individuals who are affiliated through an employer, trade association,

labour union, or other association or group.

DC. Account Balance Aggregation and Currency Rules

1. Aggregation of Individual Accounts. For purposes of determining the

aggregate balance or value of Financial Accounts held by an individual, a

Reporting Financial Institution is required to aggregate all Financial Accounts

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maintained by the Reporting Financial Institution, or by a Related Entity, but

only to the extent that the Reporting Financial Institution's computerised

systems link the Financial Accounts by reference to a data element such as

client number or TIN, and allow account balances or values to be aggregated.

Each holder of a jointly held Financial Account shall be attributed the entire

balance or value of the jointly held Financial Account for purposes of applying

the aggregation requirements described in this subparagraph.

2. Aggregation of Entity Accounts. For purposes of determining the

aggregate balance or value of Financial Accounts held by an Entity, a

Reporting Financial Institution is required to take into account all Financial

Accounts that are maintained by the Reporting Financial Institution, or by a

Related Entity, but only to the extent that the Reporting Financial Institution's

computerised systems link the Financial Accounts by reference to a data

element such as client number or TIN, and allow account balances or values to

be aggregated. Each holder of a jointly held Financial Account shall be

attributed the entire balance or value of the jointly held Financial Account for

purposes of applying the aggregation requirements described in this

subparagraph.

3. Special Aggregation Rule Applicable to Relationship Managers. For

purposes of determining the aggregate balance or value of Financial Accounts

held by a person to determine whether a financial account is a High Value

Account, a Reporting Financial Institution is also required, in the case of any

Financial Accounts that a relationship manager knows, or has reason to know,

are directly or indirectly owned, controlled, or established (other than in a

fiduciary capacity) by the same person, to aggregate all such accounts.

4. Amounts Read to Include Equivalent in Other Currencies. All amounts

denominated in the domestic currency of each Member State shall be read to

include equivalent amounts in other currencies, as determined by domestic law.

SECTION VIII

DEFINED TERMS

The following terms have the meanings set forth below:

A. Reporting Financial Institution

1. The term ‘Reporting Financial Institution’ means any Member State Financial

Institution that is not a Non-Reporting Financial Institution. The term ‘Member State

Financial Institution’ means: (i) any Financial Institution that is resident in a Member

State, but excludes any branch of that Financial Institution that is located outside that

Member State; and (ii) any branch of a Financial Institution that is not resident in a

Member State, if that branch is located in that Member State.

2. The term ‘Participating Jurisdiction Financial Institution’ means (i) any

Financial Institution that is resident in a Participating Jurisdiction, but excludes any

branch of that Financial Institution that is located outside such Participating

Jurisdiction; and (ii) any branch of a Financial Institution that is not resident in a

Participating Jurisdiction, if that branch is located in such Participating Jurisdiction.

3. The term ‘Financial Institution’ means a Custodial Institution, a Depository

Institution, an Investment Entity, or a Specified Insurance Company.

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4. The term ‘Custodial Institution’ means any Entity that holds, as a substantial

portion of its business, Financial Assets for the account of others. An Entity holds

Financial Assets for the account of others as a substantial portion of its business if

the Entity's gross income attributable to the holding of Financial Assets and related

financial services equals or exceeds 20 % of the Entity's gross income during the

shorter of: (i) the three-year period that ends on 31 December (or the final day of a

non-calendar year accounting period) prior to the year in which the determination is

being made; or (ii) the period during which the Entity has been in existence.

 2023/2226 Art. 1.17 and Annex

I.4(a) (adapted)

5. The term ‘Depository Institution’ means any Entity that:

(a) accepts deposits in the ordinary course of a banking or similar business;

or

(b) holds E-money or Central Bank Digital Currencies for the benefit of

customers.

6. The term ‘Investment Entity’ means any Entity:

(a) which primarily conducts as a business one or more of the following

activities or operations for or on behalf of a customer:

(i) trading in money market instruments (cheques, bills, certificates

of deposit, derivatives, etc.); foreign exchange; exchange, interest rate

and index instruments; transferable securities; or commodity futures

trading;

(ii) individual and collective portfolio management; or

(iii) otherwise investing, administering, or managing Financial

Assets, money, or Reportable Crypto-Assets on behalf of other persons;

or

(b) the gross income of which is primarily attributable to investing,

reinvesting, or trading in Financial Assets or Reportable Crypto-Assets, if the

Entity is managed by another Entity that is a Depository Institution, a Custodial

Institution, a Specified Insurance Company, or an Investment Entity described

in subparagraph A(6), point (a).

An Entity is treated as primarily conducting as a business one or more of the

activities described in subparagraph A(6), point (a), or an Entity’s gross income is

primarily attributable to investing, reinvesting, or trading in Financial Assets or

Reportable Crypto-Assets for the purposes of subparagraph A(6), point (b), if the

Entity’s gross income attributable to the relevant activities equals or exceeds 50 % of

the Entity’s gross income during the shorter of: (i) the three-year period ending on 31

December of the year preceding the year in which the determination is made; or (ii)

the period during which the Entity has been in existence. For the purposes of

subparagraph A(6), point (a)(iii), the term ‘otherwise investing, administering, or

managing Financial Assets, money, or Reportable Crypto-Assets on behalf of other

persons’ does not include the provision of services effectuating Exchange

Transactions for or on behalf of customers. The term ‘Investment Entity’ does not

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include an Entity that is an Active NFE because that Entity meets any of the criteria

in subparagraph D(8), points (d) to (g).

This subparagraph shall be interpreted in a manner consistent with the similar

language set out in the definition of ‘financial institution’ in Directive

(EU)  Regulation (EU) 2024/1624 2015/849.

7. The term ‘Financial Asset’ includes a security (for example, a share of stock in

a corporation; partnership or beneficial ownership interest in a widely held or

publicly traded partnership or trust; note, bond, debenture, or other evidence of

indebtedness), partnership interest, commodity, swap (for example, interest rate

swaps, currency swaps, basis swaps, interest rate caps, interest rate floors,

commodity swaps, equity swaps, equity index swaps, and similar agreements),

Insurance Contract or Annuity Contract, or any interest (including a futures or

forward contract or option) in a security, Reportable Crypto-Asset, partnership

interest, commodity, swap, Insurance Contract, or Annuity Contract. The term

‘Financial Asset’ does not include a non-debt, direct interest in real property.

 2014/107/EU Art. 1.6 and

Annex

8. The term ‘Specified Insurance Company’ means any Entity that is an insurance

company (or the holding company of an insurance company) which issues, or is

obligated to make payments with respect to, a Cash Value Insurance Contract or an

Annuity Contract.

 2023/2226 Art. 1.17 and Annex

I.4(b)

9. For the purposes of this Annex, the term ‘Electronic Money’ or ‘E-money’

means any product that is:

(a) a digital representation of a single Fiat Currency;

(b) issued on the receipt of funds for the purpose of making payment

transactions;

(c) represented by a claim on the issuer denominated in the same Fiat

Currency;

(d) accepted in payment by a natural or legal person other than the issuer;

and

(e) by virtue of regulatory requirements to which the issuer is subject,

redeemable at any time and at par value for the same Fiat Currency upon

request of the holder of the product.

The term ‘Electronic Money’ or ‘E-money’ does not include a product created for the

sole purpose of facilitating the transfer of funds from a customer to another person

pursuant to instructions of the customer. A product is not created for the sole purpose

of facilitating the transfer of funds if, in the ordinary course of business of the

transferring Entity, either the funds connected with such product are held longer than

60 days after receipt of instructions to facilitate the transfer, or, if no instructions are

received, the funds connected with such product are held longer than 60 days after

receipt of the funds.

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10. The term ‘Fiat Currency’ means the official currency of a jurisdiction, issued

by a jurisdiction or by a jurisdiction’s designated Central Bank or monetary

authority, as represented by physical banknotes or coins or by money in different

digital forms, including bank reserves and Central Bank Digital Currencies. The term

also includes commercial bank money and electronic money products (Electronic

Money).

11. The term ‘Central Bank Digital Currency’ means any digital Fiat Currency

issued by a Central Bank or other monetary authority.

12. The term ‘Crypto-Asset’ means crypto-asset as defined in Article 3(1), point

(5), of Regulation (EU) 2023/1114.

13. The term ‘Reportable Crypto-Asset’ means any Crypto-Asset other than a

Central Bank Digital Currency, Electronic Money, or any Crypto-Asset for which the

Reporting Crypto-Asset Service Provider has adequately determined that it cannot be

used for payment or investment purposes.

14. The term ‘Exchange Transaction’ means any:

(a) exchange between Reportable Crypto-Assets and Fiat Currencies; and

(b) exchange between one or more forms of Reportable Crypto-Assets.

 2014/107/EU Art. 1.6 and

Annex

B. Non-Reporting Financial Institution

1. The term ‘Non-Reporting Financial Institution’ means any Financial Institution

which is:

 2023/2226 Art. 1.17 and Annex

I.4(c)

(a) a Governmental Entity, International Organisation or Central Bank,

other than:

(i) with respect to a payment that is derived from an obligation

held in connection with a commercial financial activity of a type engaged

in by a Specified Insurance Company, Custodial Institution, or

Depository Institution; or

(ii) with respect to the activity of maintaining Central Bank Digital

Currencies for Account Holders which are not Financial Institutions,

Governmental Entities, International Organisations or Central Banks;

 2014/107/EU Art. 1.6 and

Annex (adapted)

 new

(b) a Broad Participation Retirement Fund; a Narrow Participation

Retirement Fund; a Pension Fund of a Governmental Entity, International

Organisation or Central Bank; or a Qualified Credit Card Issuer;

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(c) any other Entity that presents a low risk of being used to evade tax, has

substantially similar characteristics to any of the Entities described in

subparagraphs B(1)  points  (a) and (b)  of this subparagraph  , and

is included in the list of Non-Reporting Financial Institutions referred to in

Article  5  8(7a) of this Directive, provided that the status of such Entity

as a Non-Reporting Financial Institution does not frustrate the purposes of this

Directive;

(d) an Exempt Collective Investment Vehicle; or

(e) a trust to the extent that the trustee of the trust is a Reporting Financial

Institution and reports all information required to be reported pursuant to

Section I with respect to all Reportable Accounts of the trust.

2. The term ‘Governmental Entity’ means the government of a Member State or

other jurisdiction, any political subdivision of a Member State or other jurisdiction

(which, for the avoidance of doubt, includes a state, province, county, or

municipality), or any wholly owned agency or instrumentality of a Member State or

other jurisdiction or of any one or more of the foregoing (each, a ‘Governmental

Entity’). This category is comprised of the integral parts, controlled entities, and

political subdivisions of a Member State or other jurisdiction.

(a) An ‘integral part’ of a Member State or other jurisdiction means any

person, organisation, agency, bureau, fund, instrumentality, or other body,

however designated, that constitutes a governing authority of a Member State

or other jurisdiction. The net earnings of the governing authority must be

credited to its own account or to other accounts of the Member State or other

jurisdiction, with no portion inuring to the benefit of any private person. An

integral part does not include any individual who is a sovereign, official, or

administrator acting in a private or personal capacity.

(b) A ‘controlled entity’ means an Entity which is separate in form from

the Member State or other jurisdiction or which otherwise constitutes a

separate juridical entity, provided that:

(i) the Entity is wholly owned and controlled by one or more

Governmental Entities directly or through one or more controlled

entities;

(ii) the Entity's net earnings are credited to its own account or to the

accounts of one or more Governmental Entities, with no portion of its

income inuring to the benefit of any private person; and

(iii) the Entity's assets vest in one or more Governmental Entities

upon dissolution.

(c) Income does not inure to the benefit of private persons if such persons

are the intended beneficiaries of a governmental programme, and the

programme activities are performed for the general public with respect to the

common welfare or relate to the administration of some phase of government.

Notwithstanding the foregoing, however, income is considered to inure to the

benefit of private persons if the income is derived from the use of a

Governmental Entity to conduct a commercial business, such as a commercial

banking business, that provides financial services to private persons.

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3. The term ‘International Organisation’ means any international organisation or

wholly owned agency or instrumentality thereof. This category includes any

intergovernmental organisation (including a supranational organisation) (i) that is

comprised primarily of governments; (ii) that has in effect a headquarters or

substantially similar agreement with the Member State  or other jurisdiction  ;

and (iii) the income of which does not inure to the benefit of private persons.

4. The term ‘Central Bank’ means an institution that is by law or government

sanction the principal authority, other than the government of the Member State  or

other jurisdiction  itself, issuing instruments intended to circulate as currency. Such

an institution may include an instrumentality that is separate from the government of

the Member State  or other jurisdiction  , whether or not owned in whole or in

part by the Member State  or other jurisdiction  .

5. The term ‘Broad Participation Retirement Fund’ means a fund established to

provide retirement, disability, or death benefits, or any combination thereof, to

beneficiaries who are current or former employees (or persons designated by such

employees) of one or more employers in consideration for services rendered,

provided that the fund:

(a) does not have a single beneficiary with a right to more than 5 % of the

fund's assets;

(b) is subject to government regulation and provides information reporting

to the tax authorities; and

(c) satisfies at least one of the following requirements:

(i) the fund is generally exempt from tax on investment income, or

taxation of such income is deferred or taxed at a reduced rate, due to its

status as a retirement or pension plan;

(ii) the fund receives at least 50 % of its total contributions (other

than transfers of assets from other plans described in subparagraphs B

 (5), (6) and  through (7) or from retirement and pension accounts

described in subparagraph C(17)  , point  (a) from the sponsoring

employers;

(iii) distributions or withdrawals from the fund are allowed only

upon the occurrence of specified events related to retirement, disability,

or death (except rollover distributions to other retirement funds described

in subparagraphs B(5) through (7) or retirement and pension accounts

described in subparagraph C(17)(a)), or penalties apply to distributions or

withdrawals made before such specified events; or

(iv) contributions (other than certain permitted make-up

contributions) by employees to the fund are limited by reference to

earned income of the employee or may not exceed, annually, an amount

denominated in the domestic currency of each Member State that

corresponds to USD 50000, applying the rules set forth in paragraph C of

Section VII  , subparagraph C  for account aggregation and

currency translation.

6. The term ‘Narrow Participation Retirement Fund’ means a fund established to

provide retirement, disability, or death benefits to beneficiaries who are current or

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former employees (or persons designated by such employees) of one or more

employers in consideration for services rendered, provided that:

(a) the fund has fewer than 50 participants;

(b) the fund is sponsored by one or more employers that are not Investment

Entities or Passive NFEs;

(c) the employee and employer contributions to the fund (other than

transfers of assets from retirement and pension accounts described in

subparagraph C(17)  , point  (a)) are limited by reference to earned

income and compensation of the employee, respectively;

(d) participants that are not residents of the Member State in which the

fund is established are not entitled to more than 20 % of the fund's assets; and

(e) the fund is subject to government regulation and provides information

reporting to the tax authorities.

7. The term ‘Pension Fund of a Governmental Entity, International Organisation

or Central Bank’ means a fund established by a Governmental Entity, International

Organisation or Central Bank to provide retirement, disability, or death benefits to

beneficiaries or participants who are current or former employees (or persons

designated by such employees), or who are not current or former employees, if the

benefits provided to such beneficiaries or participants are in consideration of

personal services performed for the Governmental Entity, International Organisation

or Central Bank.

8. The term ‘Qualified Credit Card Issuer’ means a Financial Institution

satisfying the following requirements:

(a) the Financial Institution is a Financial Institution solely because it is an

issuer of credit cards that accepts deposits only when a customer makes a

payment in excess of a balance due with respect to the card and the

overpayment is not immediately returned to the customer; and

(b) beginning on or before 1 January 2016, the Financial Institution

implements policies and procedures either to prevent a customer from making

an overpayment in excess of an amount denominated in the domestic currency

of each Member State that corresponds to USD 50000, or to ensure that any

customer overpayment in excess of that amount is refunded to the customer

within 60 days, in each case applying the rules set forth in paragraph C of

Section VII for account aggregation and currency translation. For this purpose,

a customer overpayment does not refer to credit balances to the extent of

disputed charges but does include credit balances resulting from merchandise

returns.

9. The term ‘Exempt Collective Investment Vehicle’ means an Investment Entity

that is regulated as a collective investment vehicle, provided that all of the interests

in the collective investment vehicle are held by or through individuals or Entities that

are not Reportable Persons, except a Passive NFE with Controlling Persons who are

Reportable Persons.

An Investment Entity that is regulated as a collective investment vehicle does not fail

to qualify under subparagraph B(9) as an Exempt Collective Investment Vehicle,

solely because the collective investment vehicle has issued physical shares in bearer

form, provided that:

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(a) the collective investment vehicle has not issued, and does not issue, any

physical shares in bearer form after 31 December 2015;

(b) the collective investment vehicle retires all such shares upon surrender;

(c) the collective investment vehicle performs the due diligence procedures

set forth in Sections II tothrough VII and reports any information required to be

reported with respect to any such shares when such shares are presented for

redemption or other payment; and

(d) the collective investment vehicle has in place policies and procedures

to ensure that such shares are redeemed or immobilised as soon as possible,

and in any event prior to 1 January 2018.

C. Financial Account

1. The term ‘Financial Account’ means an account maintained by a Financial

Institution, and includes a Depository Account, a Custodial Account and:

(a) in the case of an Investment Entity, any equity or debt interest in the

Financial Institution. Notwithstanding the foregoing, the term ‘Financial

Account’ does not include any equity or debt interest in an Entity that is an

Investment Entity solely because it (i) renders investment advice to, and acts

on behalf of; or (ii) manages portfolios for, and acts on behalf of, a customer

for the purpose of investing, managing, or administering Financial Assets

deposited in the name of the customer with a Financial Institution other than

such Entity;

(b) in the case of a Financial Institution not described in  point 

subparagraph C(1)(a), any equity or debt interest in the Financial Institution, if

the class of interests was established with the purpose of avoiding reporting in

accordance with Section I; and

(c) any Cash Value Insurance Contract and any Annuity Contract issued or

maintained by a Financial Institution, other than a non-investment-linked, non-

transferable immediate life annuity that is issued to an individual and

monetises a pension or disability benefit provided under an account that is an

Excluded Account.

The term ‘Financial Account’ does not include any account that is an Excluded

Account.

 2023/2226 Art. 1.17 and Annex

I.4(d)

2. The term ‘Depository Account’ includes any commercial, checking, savings,

time, or thrift account, or an account that is evidenced by a certificate of deposit,

thrift certificate, investment certificate, certificate of indebtedness, or other similar

instrument maintained by a Depository Institution. A Depository Account also

includes:

(a) an amount held by an insurance company pursuant to a guaranteed

investment contract or similar agreement to pay or credit interest therein;

(b) an account or notional account that represents all E-money held for the

benefit of a customer; and

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(c) an account that holds one or more Central Bank Digital Currencies for

the benefit of a customer.

 2014/107/EU Art. 1.6 and

Annex (adapted)

3. The term ‘Custodial Account’ means an account (other than an Insurance

Contract or Annuity Contract) which holds one or more Financial Assets for the

benefit of another person.

4. The term ‘Equity Interest’ means, in the case of a partnership that is a

Financial Institution, either a capital or profits interest in the partnership. In the case

of a trust that is a Financial Institution, an Equity Interest is considered to be held by

any person treated as a settlor or beneficiary of all or a portion of the trust, or any

other natural person exercising ultimate effective control over the trust. A Reportable

Person will be treated as being a beneficiary of a trust if such Reportable Person has

the right to receive directly or indirectly (for example, through a nominee) a

mandatory distribution or may receive, directly or indirectly, a discretionary

distribution from the trust.

5. The term ‘Insurance Contract’ means a contract (other than an Annuity

Contract) under which the issuer agrees to pay an amount upon the occurrence of a

specified contingency involving mortality, morbidity, accident, liability, or property

risk.

6. The term ‘Annuity Contract’ means a contract under which the issuer agrees to

make payments for a period of time determined in whole or in part by reference to

the life expectancy of one or more individuals. The term also includes a contract that

is considered to be an Annuity Contract in accordance with the law, regulation, or

practice of the Member State or other jurisdiction in which the contract was issued,

and under which the issuer agrees to make payments for a term of years.

7. The term ‘Cash Value Insurance Contract’ means an Insurance Contract (other

than an indemnity reinsurance contract between two insurance companies) that has a

Cash Value.

8. The term ‘Cash Value’ means the greater of (i) the amount that the

policyholder is entitled to receive upon surrender or termination of the contract

(determined without reduction for any surrender charge or policy loan); and (ii) the

amount the policyholder can borrow under or with regard to the contract.

Notwithstanding the foregoing, the term ‘Cash Value’ does not include an amount

payable under an Insurance Contract:

(a) solely by reason of the death of an individual insured under a life

insurance contract;

(b) as a personal injury or sickness benefit or other benefit providing

indemnification of an economic loss incurred upon the occurrence of the event

insured against;

(c) as a refund of a previously paid premium (less cost of insurance

charges whether or not actually imposed) under an Insurance Contract (other

than an investment-linked life insurance or annuity contract) due to

cancellation or termination of the contract, decrease in risk exposure during the

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effective period of the contract, or arising from the correction of a posting or

similar error with regard to the premium for the contract;

(d) as a policyholder dividend (other than a termination dividend) provided

that the dividend relates to an Insurance Contract under which the only benefits

payable are described in  point  subparagraph C(8)(b); or

(e) as a return of an advance premium or premium deposit for an Insurance

Contract for which the premium is payable at least annually if the amount of

the advance premium or premium deposit does not exceed the next annual

premium that will be payable under the contract.

 2023/2226 Art. 1.17 and Annex

I.4(e) (adapted)

9. The term ‘Pre-existing Account’ means:

(a) a Financial Account maintained by a Reporting Financial Institution as

of 31 December 2015 or, if the account is treated as a Financial Account solely

by virtue of the amendments to this Directive made by Council Directive

(EU) 2023/22261, as of 31 December 2025;

(b) any Financial Account of an Account Holder, regardless of the date

such Financial Account was opened, if:

(i) the Account Holder also holds with the Reporting Financial

Institution (or with a Related Entity within the same Member State as the

Reporting Financial Institution) a Financial Account that is a Pre-existing

Account under subparagraph C(9), point (a);

(ii) the Reporting Financial Institution (and, as applicable, the

Related Entity within the same Member State as the Reporting Financial

Institution) treats both of the aforementioned Financial Accounts, and

any other Financial Accounts of the Account Holder that are treated as

Pre-existing Accounts under subparagraph C(9), point (b)  of this

subparagraph  , as a single Financial Account for the purpose of

satisfying the standards of knowledge requirements set out in Section

VII, paragraph A, and for the purpose of determining the balance or

value of any of the Financial Accounts when applying any of the account

thresholds;

(iii) with respect to a Financial Account that is subject

to AML/KYC Procedures, the Reporting Financial Institution is

permitted to satisfy such AML/KYC Procedures for the Financial

Account by relying upon the AML/KYC Procedures performed for the

Pre-existing Account described in subparagraph C(9), point (a); and

(iv) the opening of the Financial Account does not require the

provision of new, additional or amended customer information by the

Account Holder other than for the purposes of this Directive.

1 Council Directive (EU) 2023/2226 of 17 October 2023 amending Directive 2011/16/EU on

administrative cooperation in the field of taxation (OJ L, 2023/2226, 24.10.2023, ELI:

http://data.europa.eu/eli/dir/2023/2226/oj).

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10. The term ‘New Account’ means a Financial Account maintained by a

Reporting Financial Institution opened on or after 1 January 2016 or, if the account is

treated as a Financial Account solely by virtue of the amendments to this Directive

made by Directive (EU) 2023/2226, on or after 1 January 2026.

 2014/107/EU Art. 1.6 and

Annex (adapted)

11. The term ‘Pre-existing Individual Account’ means a Pre-existing Account held

by one or more individuals.

12. The term ‘New Individual Account’ means a New Account held by one or

more individuals.

13. The term ‘Pre-existing Entity Account’ means a Pre-existing Account held by

one or more Entities.

14. The term ‘Lower Value Account’ means a Pre-existing Individual Account

with an aggregate balance or value as of 31 December 2015 that does not exceed an

amount denominated in the domestic currency of each Member State that

corresponds to USD 1000000.

15. The term ‘High Value Account’ means a Pre-existing Individual Account with

an aggregate balance or value that exceeds, as of 31 December 2015, or 31

December of any subsequent year, an amount denominated in the domestic currency

of each Member State that corresponds to USD 1000000.

16. The term ‘New Entity Account’ means a New Account held by one or more

Entities.

17. The term ‘Excluded Account’ means any of the following accounts:

(a) a retirement or pension account that satisfies the following

requirements:

(i) the account is subject to regulation as a personal retirement

account or is part of a registered or regulated retirement or pension plan

for the provision of retirement or pension benefits (including disability or

death benefits);

(ii) the account is tax-favoured (i.e., contributions to the account

that would otherwise be subject to tax are deductible or excluded from

the gross income of the Account Holder or taxed at a reduced rate, or

taxation of investment income from the account is deferred or taxed at a

reduced rate);

(iii) information reporting is required to the tax authorities with

respect to the account;

(iv) withdrawals are conditioned on reaching a specified retirement

age, disability, or death, or penalties apply to withdrawals made before

such specified events; and

(v) either (i) annual contributions are limited to an amount

denominated in the domestic currency of each Member State that

corresponds to USD 50000 or less; or (ii) there is a maximum lifetime

contribution limit to the account of an amount denominated in the

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domestic currency of each Member State that corresponds to USD

1000000 or less, in each case applying the rules set forth in paragraph C

of Section VII  , paragraph C  or account aggregation and currency

translation.

A Financial Account that otherwise satisfies the requirement of subparagraph

C(17)  , point  (a)(v) will not fail to satisfy such requirement solely

because such Financial Account may receive assets or funds transferred from

one or more Financial Accounts that meet the requirements of subparagraph

C(17)  , point  (a) or (b) or from one or more retirement or pension funds

that meet the requirements of any of subparagraphs B(5) tothrough (7);

(b) an account that satisfies the following requirements:

(i) the account is subject to regulation as an investment vehicle for

purposes other than for retirement and is regularly traded on an

established securities market, or the account is subject to regulation as a

savings vehicle for purposes other than for retirement;

(ii) the account is tax-favoured (i.e., contributions to the account

that would otherwise be subject to tax are deductible or excluded from

the gross income of the Account Holder or taxed at a reduced rate, or

taxation of investment income from the account is deferred or taxed at a

reduced rate);

(iii) withdrawals are conditioned on meeting specific criteria related

to the purpose of the investment or savings account (for example, the

provision of educational or medical benefits), or penalties apply to

withdrawals made before such criteria are met; and

(iv) annual contributions are limited to an amount denominated in

the domestic currency of each Member State that corresponds to USD

50000 or less, applying the rules set forth in paragraph C of Section VII,

 paragraph C  for account aggregation and currency translation.

A Financial Account that otherwise satisfies the requirement of subparagraph

C(17)  , point  (b)(iv) will not fail to satisfy such requirement solely

because such Financial Account may receive assets or funds transferred from

one or more Financial Accounts that meet the requirements of subparagraph

C(17)  , point  (a) or (b) or from one or more retirement or pension funds

that meet the requirements of any of subparagraphs B(5) tothrough (7);

(c) a life insurance contract with a coverage period that will end before the

insured individual attains age 90, provided that the contract satisfies the

following requirements:

(i) periodic premiums, which do not decrease over time, are

payable at least annually during the period the contract is in existence or

until the insured attains age 90, whichever is shorter;

(ii) the contract has no contract value that any person can access

(by withdrawal, loan, or otherwise) without terminating the contract;

(iii) the amount (other than a death benefit) payable upon

cancellation or termination of the contract cannot exceed the aggregate

premiums paid for the contract, less the sum of mortality, morbidity, and

expense charges (whether or not actually imposed) for the period or

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periods of the contract's existence and any amounts paid prior to the

cancellation or termination of the contract; and

(iv) the contract is not held by a transferee for value;

(d) an account that is held solely by an estate if the documentation for such

account includes a copy of the deceased's will or death certificate;

(e) an account established in connection with any of the following:

(i) a court order or judgment.

(ii) a sale, exchange, or lease of real or personal property, provided

that the account satisfies the following requirements:

– the account is funded solely with a down payment, earnest money,

deposit in an amount appropriate to secure an obligation directly

related to the transaction, or a similar payment, or is funded with a

Financial Asset that is deposited in the account in connection with

the sale, exchange, or lease of the property,

– the account is established and used solely to secure the obligation

of the purchaser to pay the purchase price for the property, the

seller to pay any contingent liability, or the lessor or lessee to pay

for any damages relating to the leased property as agreed under the

lease,

– the assets of the account, including the income earned thereon, will

be paid or otherwise distributed for the benefit of the purchaser,

seller, lessor, or lessee (including to satisfy such person's

obligation) when the property is sold, exchanged, or surrendered,

or the lease terminates,

– the account is not a margin or similar account established in

connection with a sale or exchange of a Financial Asset, and

– the account is not associated with an account described in

subparagraph C(17)  , point  (f);

(iii) an obligation of a Financial Institution servicing a loan secured

by real property to set aside a portion of a payment solely to facilitate the

payment of taxes or insurance related to the real property at a later time;

(iv) an obligation of a Financial Institution solely to facilitate the

payment of taxes at a later time;

 2023/2226 Art. 1.17 and Annex

I.4(f)

(v) a foundation or capital increase of a company provided that the

account satisfies the following requirements:

– the account is used exclusively to deposit capital that is to be used

for the purposes of the foundation or capital increase of a company,

as prescribed by law;

EN 27 EN

– any amounts held in the account are blocked until the Reporting

Financial Institution obtains an independent confirmation regarding

the foundation or capital increase;

– the account is closed or transformed into an account in the name of

the company after the foundation or capital increase;

– any repayments resulting from a failed foundation or capital

increase, net of service provider and similar fees, are made solely

to the persons who contributed the amounts; and

– the account has not been established more than 12 months ago;

 2023/2226 Art. 1.17 and Annex

I.4(f)

(fea) a Depository Account that represents all Electronic Money held for the

benefit of a customer, if the rolling average 90 days end-of-day aggregate

account balance or value during any period of 90 consecutive days did not

exceed USD 10000 at any day during the calendar year or other appropriate

reporting period;

 2014/107/EU Art. 1.6 and