Further to the announcement issued by the Tax Department regarding the classification of Administrative Service Providers (ASPs) as Financial Institutions for Common Reporting Standard (CRS) purposes, CYFA wishes to inform its members that representatives of the Association recently held a meeting with the Tax Department, during which various aspects of the announcement were discussed.
The Tax Department’s announcement requires ASPs to assess whether the relevant provisions, as outlined in the Consolidated text of the Common Reporting Standard (2025) – Standard for Automatic Exchange of Financial Account Information in tax Matters (Consolidated text of the Common Reporting Standard (2025) | OECD ) affect their classification as a Financial Institution for CRS purposes and to inform the Tax Department of the outcome of their assessment.
Following the above meeting and as a first step CYFA would like to draw members’ attention to the following:
- Members who have not yet submitted their response to the Tax Department are encouraged to complete their assessment and submit their response as soon as possible.
- Members who have already submitted a response but, following further consideration, wish to amend or update their original response should proceed accordingly and inform the Tax Department of the revised position.
- Where an ASP determines that it falls within the definition of a Financial Institution for CRS purposes, the necessary steps for registration and compliance with the applicable CRS requirements should be followed.
It is noted that as soon as CYFA receives further and more detailed guidance it will be communicated immediately.
Responses should be communicated to the Tax Department at dac2@tax.mof.gov.cy , using the subject specified in its announcement: “Classification of Administrative Service Providers (ASPs) as Financial Institutions for CRS purposes – [ASP Name]”.
CYFA will continue its engagement with the relevant authorities on matters affecting its members and will provide further information where appropriate.
Ανακοίνωση Τμήματος Φορολογίας για Παρόχους Διοικητικών Υπηρεσιών -ASP (003)
It is noted that each member is obliged to comply with the circulars/guidelines/announcements of the relevant authorities and regulators. Any information contained in this notification/announcement, or any other notifications/announcements or circulars should be assessed on its own merits.
