Common Reporting Standard is developed by the OECD as the global framework for the AEOI.
It sets out how financial institutions must:
- Identify account holders who are tax residents in other jurisdictions
- Collect specific information about those accounts
- Report that information to their local tax authority, which then shares it with the relevant foreign tax authorities.
The CRS applies to banks, custodians, insurance companies, and investment entities classified as Reporting Financial Institutions (RFIs). These institutions must follow due diligence procedures and submit annual reports through Samoa’s MDES platform.
CRS helps ensure transparency and prevent offshore tax evasion by making cross-border financial activity visible to tax authorities.
