The Inland Revenue Board (“IRB”) has recently published the final list of reportable jurisdictions for 2018 financial reporting.
In order to prevent tax evasion and to protect the integrity of tax systems, the Organisation for Economic Development and Cooperation (OECD) has developed the Common Reporting Standards (CRS) for the automatic exchange of financial information. Malaysia has committed to apply these CRS from 2018 onwards.
Under the CRS, financial institutions - also known as MYFI - are required to collect and to report to the IRB financial account information on non-resident account holders.
The IRB will then exchange the information with the participating foreign jurisdictions.
For this purpose, the IRB has published a list of jurisdictions with whom it will share information in the beginning of 2018. This list has been updated on 29 June 2018. In total, Malaysia will share information with 42 jurisdictions. The U.S.A. do not apply the CRS and are therefore not listed (however, information will still be exchanged under the FATCA regulations):
<link http: www.luther-services.com en people team caroline-pelaez.html external-link-new-window>Caroline Pelaez