AEOI is the exchange of financial account information between tax authorities in relevant countries. The law requires this information to be collected by financial institutions around the world for reporting to tax authorities.
AEOI is made up of two information-sharing frameworks
The Foreign Account Tax Compliance Act (FATCA), which is a US framework to identify US citizens and tax residents with accounts in foreign (non-US) jurisdictions. This has been in place since 1 July 2014; and
The Common Reporting Standard (CRS), under which details of foreign tax resident accounts are shared between participating governments.
Phased implementation of this regime commenced 1 January 2016.
For more information, see www.ird.govt.nz/infoshare
Please note: Invest Direct is unable to give advice on tax related matters. We suggest you seek independent taxation advice from your tax adviser or accountant.