Tax residency
Automatic Exchange of Information (AEOI)
With the goal of reducing global tax evasion, New Zealand is one of many countries that has committed to international agreements and has enacted legislation to support the exchange of account information with other tax authorities.
The global framework and legislation that support AEOI are the Common Reporting Standard (CRS) and the Foreign Account Tax Compliance Act (FATCA).
Common Reporting Standard (CRS) and Foreign Account Tax Compliance Act (FATCA)
Common Reporting Standard (CRS)
The CRS came into effect on 1 July 2017, and requires NZ banks and financial institutions to identify, collect and report information about customers’ foreign tax residency to Inland Revenue (IR). IR may then share this information with the relevant overseas tax authority.
Collection of this information is referred to as a customer’s self-certification.
Foreign Account Tax Compliance Act (FATCA)
FATCA came into force internationally on 1 July 2014. It is a United States (US) tax law designed to identify US persons who use offshore financial accounts to evade their US tax responsibilities. FATCA requirements have been incorporated into New Zealand law. Under FATCA, financial institutions are required to identify customers who may be ‘US persons’, collect their tax residency information and report account information to IR. IR may then share this information with the US Internal Revenue Services (IRS).
US persons include:
- US citizens, US Green Card holders
- US tax residents
- Persons born in the United States
- US entities or other entities controlled by US persons
What does this mean for customers?
New customers
All new to ASB customers will be required to provide their self-certification before opening an account, this includes controlling parties of certain entities.
Existing customers
Existing customers may be contacted to confirm their self-certification or asked to provide additional documentation to support their self-certification.
When this information is requested, it is important for customers to respond as to whether or not they have foreign tax obligations. We may be required to share information with IR about customers who have not provided us with the requested information. IR can fine customers up to $1,000 NZD when this information has not been provided.
How do I update my tax residency information?
Your tax residency details can be updated by the following methods:
FastNet Classic Internet Banking (Individuals Only)
- Log on to FastNet Classic
- Go to Settings
- Select Update tax details
- Follow the prompts and save the updated information
- Please complete both pages to update
ASB Mobile Banking app (Individuals Only)
- Log on to the ASB Mobile app
- Tap the Setting Icon
- Tap the Profile icon
- Scroll down select Tax details then edit Tax details
- You will be re-directed to log on to FastNet Classic, log on
- Follow the prompts and save the updated information
- Please complete both pages to update
Email us
- Complete the Individual Tax Residency Self Certification Form or Entity Tax Residency Self Certification Form
- Scan or take a photo of your completed form
- Email the image of your completed form to us at: updatedetails@asb.co.nz
Call us
- Call us: 0800 111 373 (or +64 9 337 4564 if you’re calling from overseas.) We’re available between 9:00am and 4:30pm Monday to Friday NZST
- Please have your details ready. See FAQs for more information on what is required
Further information
More information on CRS or FATCA can be found on the following websites or talk to a tax advisor for further advice if you are unsure about your tax residency obligations:
Please note that as a Financial Institution, ASB is not allowed to give tax advice.
For any other questions, please call our Customer Verification Services team on 0800 111 373 or +64 9 337 4564 if calling from overseas. They are available 9am – 4:30pm Monday to Friday NZT.
Frequently Asked Questions
1. Why are we collecting customer tax information?
The Tax Administration Act 1994 supports the implementation of the Common Reporting Standard (CRS) and the Foreign Account Tax Compliance Act (FATCA) in New Zealand. CRS and FATCA require certain New Zealand Financial Institutions to collect and report particular information about its Account Holder’s tax residence.
2. What is a tax resident?
Each country/jurisdiction has its own rules to define tax residence. Generally, for individuals, you'll be tax resident in the country/jurisdiction you live in. However, depending on your situation, you may be a tax resident in more than one country.
3. What is a Taxpayer Identification Number?
Taxpayer Identification Number (TIN) is an international term, which may have a different name in some countries. Your TIN or equivalent number is used to identify you to the Tax Authority in your country of tax residence. In New Zealand the TIN is equivalent to the IRD number.
If you are a tax resident of a country other than New Zealand, you will be asked to provide the TIN issued to you in that country.
Other examples of a TIN or its equivalent for individuals and entities are below. For a full list refer to the OECD website.
|
Country
|
TIN or equivalent individual
|
TIN entity (non-individual) e.g. Company, Partnership or Trust
|
Tax Authority
|
|---|---|---|---|
|
Australia
|
Tax File Number (TFN)
|
Australian Business number (ABN)
|
|
|
China
|
Chinese ID number
|
Uniform Social Credit Code or Tax Identification Number (TIN)
|
|
|
United Kingdom
|
National Insurance Number (NINO) or Unique Taxpayer Reference (UTR)
|
Unique Taxpayer Reference (UTR)
|
|
|
United States
|
Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN)
|
Employer Identification Number (EIN)
|
|
|
India
|
Permanent Account Number (PAN)
|
Permanent Account Number (PAN)
|
|
|
South Korea
|
Resident Registration Number
|
Business Registration Number
|
|
|
South Africa
|
Taxpayer reference Number (TRN/SARS) or South African Identity Number (ID) or South African Passport Number
|
Tax Identification Number (TIN)
|
|
|
Hong Kong
|
Hong Kong ID Number (HKID)
|
Business Registration Number (BR)
|
|
|
Taiwan, Republic of China
|
National ID Card Number or Tax Code
|
Business Administration Number (BAN)
|
|
|
Canada
|
Social Insurance Number (SIN)
|
Tax Identification Number (TIN)
|
4. Where do I find my TIN?
If you are unsure of where to find your TIN, you will need to contact the tax authority for each country you are a tax resident of.
5. What if I am only a tax resident in New Zealand?
You will still be required to confirm your tax residency information. Provision of your New Zealand IRD number is optional.
6. I am an overseas student or only in New Zealand on a temporary visa, what do I need to do?
All customers need to provide their tax residency information when opening an account.
7. Do I need to provide this information for my child/minor?
The child (or their authorised representative) must provide the child’s tax residency information. Being a minor does not exempt them from answering these questions.
8. What is an entity?
An entity is a non-individual, e.g. Company, Partnership, Trust or Incorporated Society.
9. What information do I need to provide?
We will ask you to complete a self-certification to provide us with some additional information.
For individuals we will ask for the following:
- Full legal name
- Date of birth
- Residential address
- Country(ies) of tax residency (including New Zealand)
- Taxpayer identification number(s) (TIN) (not mandatory for New Zealand tax residency)
For entities (non-individuals), we will ask for the following:
- Legal name of the entity
- Country of incorporation/organisation
- Physical address
- Country(ies) of tax residency (including New Zealand)
- Taxpayer identification number(s) (TIN) (optional for New Zealand tax residency)
- Whether the entity is a financial institution http://www.ird.govt.nz/international/exchange/crs/crs-glossary/
- How the entity generates its income
- Information on Controlling Persons, including self certification
10. What happens to this information?
The information collected by ASB will be reported to the New Zealand Inland Revenue (IR).
IR may share this with relevant tax authorities to aid in the reduction of global tax evasion.
11. When do I provide this information?
If you are a new customer you will need to declare your tax residency before your account is opened. If you are an existing customer, you will need to update your tax residency details when requested.
12. What if I am not sure what to declare?
If you are unsure about your tax residency, you should seek advice. We cannot give tax advice to customers.
13. Where can I find more information about United States tax requirements?
You can visit the official IRS website at www.irs.gov for detailed information on United States tax laws, reporting obligations, and forms.
For additional guidance and common enquiries, please visit the State Department's Joint FATCA FAQs page: https://travel.state.gov/content/travel/en/international-travel/while-abroad/Joint-Foreign-Account-Tax-Compliance-FATCA-FAQ.html.
You may also fall under the IRS Relief Procedures for Certain Former Citizens. Please refer to the official IRS https://www.irs.gov/individuals/international-taxpayers/relief-procedures-for-certain-former-citizens information for detailed requirements and steps.