CRS Countdown! Analysis Meeting on Rapid Response Solutions for Commonwealth Passports
Date: January 18 (Thursday) 14:00
Location: WorldWay Immigration Beijing Company
Reservation Hotline: 400-6622-699
With the arrival of 2018, the countdown to the first implementation of CRS financial account tax information exchange in China in September 2018 has begun, leaving high-net-worth individuals with limited time to respond to the global taxation under CRS.
CRS Global Taxation in Full Swing, Initial Results Emerging
Among the more than 100 countries and regions committed to implementing CRS, the first batch of 50 countries completed the exchange of financial account tax information in September 2017, with the remaining countries set to begin exchanging information in 2018. China, as one of the second batch of countries to conduct the first information exchange, will provide account information of its tax residents held in Chinese financial institutions to 56 countries and regions, including the United Kingdom, in September 2018, while 74 countries and regions, including Switzerland, will provide account information of Chinese tax residents held in their financial accounts to the Chinese government in September 2018.
In fact, CRS global taxation has already shown initial results as early as 2017. According to a tax report released by the Organisation for Economic Co-operation and Development (OECD) during the G20 summit, by July 2017, nearly 2,000 automatic exchange bilateral relationships had been activated, and the progress of information exchange exceeded expectations: approximately 500,000 individuals disclosed offshore assets, resulting in additional tax revenue of about 85 billion euros!
2018 CRS Global Taxation Approaches, Commonwealth Passports Shine
With the first implementation of CRS financial account tax information exchange in China in September 2018, global tax transparency will increase unprecedentedly, and the information on overseas assets of high-net-worth individuals will also become increasingly transparent. Therefore, how to reasonably respond to CRS and avoid the disclosure of overseas asset information has become an urgent issue for high-net-worth individuals to address.
In the context of CRS, Commonwealth passport programs that offer exemption from global taxation, such as the Saint Lucia Passport Program, Dominica Passport Program, Saint Kitts and Nevis Passport Program, Antigua and Barbuda Passport Program, and Vanuatu Passport Program, require an investment starting from $100,000 (Saint Lucia, Dominica, Antigua starting from $100,000; Vanuatu starting from $130,000; Saint Kitts starting from $150,000), allowing families to quickly apply for Commonwealth passports, which are highly sought after by high-net-worth individuals. Among them, the Saint Lucia and Dominica passports, which have low investment costs and high cost-effectiveness, are particularly popular.
These Commonwealth countries have simple tax systems, sharing common features such as exemption from overseas income tax, inheritance tax, and value-added tax, and there are no foreign exchange controls. Opening overseas accounts with a Commonwealth passport identity and holding overseas assets can reasonably respond to the impacts brought by CRS, while also meeting various needs such as children's education, retirement relocation, global asset allocation, and global convenience of travel, making it a win-win situation.
