Breaking news! The domestic CRS has entered its second half, and a large number of offshore accounts are being urged by banks to close!
China's CRS Implementation Timeline:
Starting January 1, 2017, conduct due diligence on individual and institutional accounts;
Starting December 31, 2017, complete due diligence on existing individual high-net-worth accounts (total balance of 6 million RMB);
Before June 30, 2018, complete the first submission to the State Taxation Administration, and thereafter submit to the State Taxation Administration on a regular annual basis;
Before September 30, 2018, China and other CRS participating countries will complete the first information exchange, and thereafter exchange automatically on a regular annual basis;
Before December 31, 2018, complete due diligence on existing individual low-net-worth accounts and all existing institutional accounts.
What exactly is the Chinese version of CRS?
China will collect and submit account information of foreign tax residents in China to their home country's tax authorities; meanwhile, foreign tax departments will also provide information on the accounts of Chinese tax residents abroad to China's tax authorities. This means that Chinese tax authorities can learn from overseas financial institutions how many assets Chinese citizens have abroad and how much money they have deposited in banks!
In short, all your overseas financial account information will be disclosed to Chinese tax authorities.
Numerous banks are accelerating the clearing of offshore accounts
Recently, many investors have reported that while banks are strictly auditing overseas remittances, multiple banks such as SPD Bank, Ping An Bank, China Merchants Bank, and Bank of Communications have begun to accelerate the clearing of offshore accounts.
Industry insiders state that this is inseparable from the implementation of the Chinese version of the CRS policy! China's CRS global taxation has been fully rolled out, and the overseas financial assets of domestic high-net-worth individuals are being rapidly audited.
According to a tax report released by the Organisation for Economic Co-operation and Development (OECD) during the G20 summit, the progress of CRS is currently faster than expected. The first round of information exchange between countries was completed in September this year, involving more than 50 countries, and the remaining countries will conduct their second exchange in 2018.
Currently, a large number of offshore accounts registered in CRS exchange jurisdictions that are not associated with onshore enterprises are being urged by banks to close. If you want to retain your existing accounts, you must meet the banks' relevant requirements for offshore accounts; otherwise, you cannot avoid the fate of account closure.
With the implementation of the CRS policy, the threshold for opening offshore accounts in non-CRS jurisdictions will also rise, and after opening an offshore account, it is necessary to operate the account in a legal and compliant manner.
How should high-net-worth individuals in China respond proactively?
How can assets be preserved and appreciated?
2018 officially ushered in the era of CRS global taxation. How to allocate assets to achieve preservation and appreciation is a matter of urgent concern for domestic investors. Measures such as investing in overseas real estate, jewelry, art, and other types of non-financial assets; immigrating to suitable tax jurisdictions; and finding assets with lower net value but higher value are all good choices for reasonable risk avoidance.
Commonwealth passports help you easily cope with CRS
Possessing a Commonwealth passport, such as those from Saint Lucia, Dominica, Saint Kitts and Nevis, Antigua and Barbuda, or Vanuatu, and conducting overseas asset allocation as a citizen of a Commonwealth country can help you reasonably cope with CRS. These countries have superior tax systems and are among the few non-global taxation countries, implementing "0" tax on the overseas income of their citizens, which can effectively save on the tax costs of global asset allocation.
With high value and global mobility, Commonwealth passports start from just $100,000 (Saint Lucia, Dominica, and Antigua and Barbuda start from $100,000; Vanuatu starts from $130,000; Saint Kitts and Nevis starts from $150,000). One investment allows the whole family to quickly apply for and obtain a Commonwealth passport, enjoying the generous benefits of Commonwealth citizenship while calmly coping with CRS and planning assets reasonably.
WorldWay Group
is the only officially authorized Chinese immigration agency for Saint Lucia
is your premier choice for obtaining Commonwealth passports, including Saint Lucia's
Immigration is a long and complex process. Choosing a formal immigration agency with good government relations is very important. As a pioneer in Commonwealth passport programs and the only officially authorized Chinese immigration agency for Saint Lucia and Dominica, WorldWay Group has always maintained good interaction, trust, and cooperative relationships with the governments of several Commonwealth countries. We can provide official news in a timely manner, escort investors on their immigration journey, and serve as a solid backing on your path to immigration.
In early November, the Prime Minister of Saint Lucia and the Prime Minister of Dominica, old friends of WorldWay Group, visited WorldWay respectively and attended the Prime Ministerial Afternoon Tea hosted by WorldWay for the two popular Commonwealth passport programs, bringing the most authoritative and cutting-edge investment immigration information to WorldWay clients.
WorldWay is also the only immigration agency to date that has invited the Prime Minister of Saint Lucia to attend an afternoon tea, and the only immigration agency to have been received by the Prime Minister of Saint Lucia, which once again reflects the good trust, interaction, and cooperative relationship between WorldWay and the governments of Commonwealth countries such as Saint Lucia.
Choose WorldWay for obtaining Commonwealth passports such as Saint Lucia's, and make your immigration journey easier! For details, please consult: 400-138-2929.