Textual Amendments
F1Regs. 12A-12F and cross-heading inserted (30.9.2016) by The International Tax Compliance (Client Notification) Regulations 2016 (S.I. 2016/899), regs. 1, 3
12B.—(1) A specified financial institution must identify all of its specified clients.
(2) In order to identify its specified clients, a specified financial institution must use either—
(a)the services approach set out in paragraphs (3) and (4), or
(b)the high value approach set out in paragraph (5).
(3) An individual is a specified client of a specified financial institution under the services approach if—
(a)the specified financial institution reasonably believes that the individual was resident in the United Kingdom for income tax purposes for the tax year 2015-16 or will be so resident for the tax year 2016-17,
(b)the individual is an account holder with the specified financial institution on 30th September 2016, and
(c)in any part of the relevant period, the specified financial institution has—
(i)maintained a financial account in a participating jurisdiction or the United States of America in relation to which the individual is an account holder, or
(ii)referred the individual to another specified financial institution (wherever located) for the other specified financial institution to provide a financial account for the individual in a participating jurisdiction or the United States of America.
(4) In paragraph (3)(c)(i), “financial account” does not include a financial account which the specified financial institution is prevented by legal or regulatory obligations in force on 30th September 2016 from providing as a new account.
(5) An individual is a specified client of a specified financial institution under the high value approach if—
(a)the specified financial institution reasonably believes that the individual was resident in the United Kingdom for income tax purposes for the tax year 2015-16 or will be so resident for the tax year 2016-17, and
(b)the individual is an account holder of a high value account maintained by the specified financial institution on 30th September 2016.]