Summary Definitions
These are selected summaries of defined terms provided to assist you with the completion of this form.
For further detail please refer to the OECD Common Reporting Standard for Automatic Exchange of Financial
Account Information (CRS), the associated Commentary to the CRS, the IRS FATCA Regulations and/or
domestic legislation and guidance.
If you have any questions please contact your tax adviser or domestic tax authority.
| Term | Definition summary |
| Account Holder | The “Account Holder” is the person listed or identified as the holder of a Financial Account. A person, other than a Financial Institution, holding a Financial Account for the benefit of another person as an agent, a custodian, a nominee, a signatory, an investment advisor, an intermediary, or as a legal guardian, is not treated as the Account Holder. In these circumstances that other person is the Account Holder. For example, in the case of a parent/child relationship where the parent is acting as a legal guardian, the child is regarded as the Account Holder. With respect to a jointly held account, each joint holder is treated as an Account Holder. |
| Active Non-Financial Entity (CRS specific) | The term “Active NFE” means any NFE that meets any of the following criteria: 1. less than 50% of the NFE’s gross income for the preceding calendar year or other appropriate reporting period is passive income and less than 50% of the assets held by the NFE during the preceding calendar year or other appropriate reporting period are assets that produce or are held for the production of passive income; 2. the stock of the NFE is regularly traded on an established securities market or the NFE is a Related Entity of an Entity the stock of which is regularly traded on an established securities market; 3. the NFE is a Governmental Entity, an International Organisation, a Central Bank, or an Entity wholly owned by one or more of the foregoing; 4. substantially all of the activities of the NFE consist of holding (in whole or in part) the outstanding stock of, or providing financing and services to, one or more subsidiaries that engage in trades or businesses other than the business of a Financial Institution, except that an Entity does not qualify for this status if the Entity functions (or holds itself out) as an investment fund, such as a private equity fund, venture capital fund, leveraged buyout fund, or any investment vehicle whose purpose is to acquire or fund companies and then hold interests in those companies as capital assets for investment purposes; 5. the NFE is not yet operating a business and has no prior operating history, but is investing capital into assets with the intent to operate a business other than that of a Financial Institution, provided that the NFE does not qualify for this exception after the date that is 24 months after the date of the initial organisation of the NFE; 6. the NFE was not a Financial Institution in the past five years, and is in the process of liquidating its assets or is re-organising with the intent to continue or recommence operations in a business other than that of a Financial Institution; 7. the NFE primarily engages in financing and hedging transactions with, or for, Related Entities that are not Financial Institutions, and does not provide financing or hedging services to any Entity that is not a Related Entity, provided that the group of any such Related Entities is primarily engaged in a business other than that of a Financial Institution; or 8. the NFE meets all of the following requirements: a) it is established and operated in its jurisdiction of residence exclusively for religious, charitable, scientific, artistic, cultural, athletic, or educational purposes; or it is established and operated in its jurisdiction of residence and it is a professional organisation, business league, chamber of commerce, labour organisation, agricultural or horticultural organisation, civic league or an organisation operated exclusively for the promotion of social welfare; b) it is exempt from income tax in its jurisdiction of residence; c) it has no shareholders or members who have a proprietary or beneficial interest in its income or assets; d) the applicable laws of the NFE’s jurisdiction of residence or the NFE’s formation documents do not permit any income or assets of the NFE to be distributed to, or applied for the benefit of, a private person or non-charitable Entity other than pursuant to the conduct of the NFE’s charitable activities, or as payment of reasonable compensation for services rendered, or as payment representing the fair market value of property which the NFE has purchased; and e) the applicable laws of the NFE’s jurisdiction of residence or the NFE’s formation documents require that, upon the NFE’s liquidation or dissolution, all of its assets be distributed to a Governmental Entity or other non-profit organisation, or escheat to the government of the NFE’s jurisdiction of residence or any political subdivision thereof. |
| Active Non-Financial Foreign Entity (FATCA specific) | An “Active NFFE” means any NFFE that meets any of the following criteria: 1. Less than 50 percent of the NFFE’s gross income for the preceding calendar year or other appropriate reporting period is passive income and less than 50 percent of the assets held by the NFFE during the preceding calendar year or other appropriate reporting period are assets that produce or are held for the production of passive income; 2. The stock of the NFFE is regularly traded on an established securities market or the NFFE is a Related Entity of an Entity the stock of which is traded on an established securitiesmarket; 3. The NFFE is organized in a U.S. Territory and all of the owners of the payee are bona fide residents of that U.S.Territory; 4. The NFFE is a non-U.S. government, a government of a U.S. Territory, an international organization, a non-U.S. central bank of issue, or an Entity wholly owned by one or more of the foregoing; 5. Substantially all of the activities of the NFFE consist of holding (in whole or in part) the outstanding stock of, and providing financing and services to, one or more subsidiaries that engage in trades or businesses other than the business of a Financial Institution, except that an NFFE shall not qualify for this status if the NFFE functions (or holds itself out) as an investment fund, such as a private equity fund, venture capital fund, leveraged buyout fund or any investment vehicle whose purpose is to acquire or fund companies and then hold interests in those companies as capital assets for investment purposes; 6. The NFFE is not yet operating a business and has no prior operating history, but is investing capital into assets with the intent to operate a business other than that of a Financial Institution; provided, that the NFFE shall not qualify for this exception after the date that is 24 months after the date of the initial organization of the NFFE; 7. The NFFE was not a Financial Institution in the past five years, and is in the process of liquidating its assets or is reorganizing with the intent to continue or recommence operations in a business other than that of a Financial Institution; 8. The NFFE primarily engages in financing and hedging transactions with or for Related Entities that are not Financial Institutions, and does not provide financing or hedging services to any Entity that is not a Related Entity, provided that the group of any such Related Entities is primarily engaged in a business other than that of a Financial Institution; or 9. The NFFE meets all of the following requirements: a) It is established and maintained in its country of residence exclusively for religious, charitable, scientific, artistic, cultural, or educational purposes; b) It is exempt from income tax in its country of residence c) It has no shareholders or members who have a proprietary or beneficial interest in its income or assets; d) The applicable laws of the Entity’s country of residence or the Entity’s formation documents do not permit any income or assets of the Entity to be distributed to, or applied for the benefit of, a private person or noncharitable Entity other than pursuant to the conduct of the Entity’s charitable activities, or as payment of reasonable compensation for services rendered, or as payment representing the fair market value of property which the Entity has purchased; and e) The applicable laws of the Entity’s country of residence or the Entity’s formation documents require that, upon the Entity’s liquidation or dissolution, all of its assets be distributed to a governmental Entity or other non-profit organization, or escheat to the government of the Entity’s country of residence or any political subdivision thereof. |
| Controlling Persons (including Controlling Person Type) | The term “Controlling Persons” means the natural persons who exercise control over an Entity. In the case of a trust, such term means the settlor(s), the trustee(s), the protector(s) (if any), the beneficiary(ies) or class(es) of beneficiaries, and any other natural person(s) exercising ultimate effective control over the trust, and in the case of a legal arrangement other than a trust, such term means persons in equivalent or similar positions. The term “Controlling Persons” must be interpreted in a manner consistent with the Financial Action Task Force Recommendations. To complete the table in Section E – Controlling Person Information, please select the relevant type of Controlling Persons: a) Controlling Person of a legal person – control byownership b) Controlling Person of a legal person – control by othermeans c) Controlling Person of a legal person – senior managingofficial d) Controlling Person of a trust – settlor e) Controlling Person of a trust – trustee f) Controlling Person of a trust –protector g) Controlling Person of a trust –beneficiary h) Controlling Person of a trust – other i) Controlling Person of a legal agreement (non-trust) – settlor equivalent j) Controlling Person of a legal agreement (non-trust) – trustee equivalent k) Controlling Person of a legal agreement (non-trust) – protector equivalent l) Controlling Person of a legal agreement (non-trust) – beneficiary equivalent m) Controlling Person of a legal agreement (non-trust) – other equivalent. |
| Custodial Institution | The term “Custodial Institution” means any Entity that holds, as a substantial portion of its business, Financial Assets for the account of others. Please refer to the relevant domestic legislation or guidance, IRS FATCA Regulations and the CRS and associated Commentary, as applicable, for further clarification. |
| Depository Institution | The term “Depository Institution” means any Entity that accepts deposits in the ordinary course of a banking or similar business. Please refer to the relevant domestic legislation or guidance, IRS FATCA Regulations and the CRS and associated Commentary, as applicable, for further clarification. |
| Financial Account | For purposes of FATCA and CRS, a Financial Account is an account maintained by a Financial Institution and includes: Depository Accounts; Custodial Accounts; Equity and Debt Interest in certain Investment Entities; Cash Value Insurance Contracts; and Annuity Contracts. |
| Financial Institution | The term “Financial Institution” means a “Custodial Institution”, a “Depository Institution”, an “Investment Entity” or a “Specified Insurance Company”. Please refer to the relevant domestic legislation or guidance, IRS FATCA Regulations and the CRS and associated Commentary, as applicable, for further clarification. |
| GIIN | A “Global Intermediary Identification Number” (GIIN) is a number assigned by the FATCA Registration System to Financial Institutions and direct reporting non-financial foreign entities. |
| Investment Entity (CRS) | The term “Investment Entity” means any Entity: 1. that primarily conducts as a business one or more of the following activities or operations for or on behalf of a customer: a) trading in money market instruments (cheques, bills, certificates of deposit, derivatives, etc.); foreign exchange; exchange, interest rate and index instruments; transferable securities; or commodity futures trading; b) individual and collective portfolio management;or c) otherwise investing, administering, or managing Financial Assets or money on behalf of other persons; or 2. the gross income of which is primarily attributable to investing, reinvesting, or trading in Financial Assets, if the Entity is managed by another Entity that is a Depository Institution, a Custodial Institution, a Specified Insurance Company, or an Investment Entity. An Entity is treated as primarily conducting as a business one or more of the activities, or an Entity’s gross income is primarily attributable to investing, reinvesting, or trading in Financial Assets, if the Entity’s gross income attributable to the relevant activities equals or exceeds 50% of the Entity’s gross income during the shorter of: a) the three-year period ending on 31 December of the year preceding the year in which the determination is made; or b) the period during which the Entity has been in existence. This paragraph shall be interpreted in a manner consistent with similar language set forth in the definition of “financial institution” in the Financial Action Task Force Recommendations. Please refer to the relevant domestic legislation or guidance and the CRS and associated Commentary, as applicable, for further clarification. |
| Investment Entity (FATCA specific) | The term “Investment Entity” means any entity that conducts as a business (or is managed by an entity that conducts as a business) one or more of the following activities or operations for or on behalf of a customer: 1. trading in money market instruments (cheques, bills, certificates of deposit, derivatives, etc.); foreign exchange; exchange, interest rate and index instruments; transferable securities; or commodity futures trading; 2. individual and collective portfolio management; or 3. otherwise investing, administering, or managing funds or money on behalf of other persons. The term “Investment Entity” shall be interpreted in a manner consistent with similar language set forth in the definition of “financial institution” in the Financial Action Task Force Recommendations. Please refer to the relevant domestic legislation or guidance and the IRS FATCA Regulations as applicable, for further clarification. |
| Investment Entity located in a Non-Participating Jurisdiction and managed by another Financial Institution | The term “Investment Entity located in a Non-Participating Jurisdiction and managed by another Financial Institution” means any Entity the gross income of which is primarily attributable to investing, reinvesting, or trading in Financial Assets if the Entity is: 1. managed by a Financial Institution; and 2. not a Participating Jurisdiction Financial Institution. Please refer to the relevant domestic legislation or guidance, IRS FATCA Regulations and the CRS and associated Commentary, as applicable, for further classification. |
| Non-Financial (Foreign) Entity | A “Non-Financial (Foreign) Entity” is any Entity that is not a Financial Institution. |
| Non-Participating Financial Institution (FATCA specific) | A Non-Participating Financial Institution (NPFI) is a Financial Institution that is not FATCA compliant. |
| Non-Reporting Financial Institution | The term “Non-Reporting Financial Institution” means any Financial Institution that is: 1. a Governmental Entity, International Organisation or Central Bank, other than with respect to a payment that is derived from an obligation held in connection with a commercial financial activity of a type engaged in by a Specified Insurance Company, Custodial Institution, or Depository Institution; 2. a Broad Participation Retirement Fund; a Narrow Participation Retirement Fund; a Pension Fund of a Governmental Entity, International Organisation or Central Bank; or a Qualified Credit Card Issuer; 3. any other Entity that presents a low risk of being used to evade tax, has substantially similar characteristics to any of the Entities described in subparagraphs (1) and (2), and is defined in domestic law as a Non-Reporting Financial Institution, provided that the status ofsuch Entity as a Non-Reporting Financial Institution does not frustrate the purposes of the Common Reporting Standard; 4. an Exempt Collective Investment Vehicle; or 5. a trust to the extent that the trustee of the trust is a Reporting Financial Institution and reports all information required to be reported pursuant to Section I with respect to all Reportable Accounts of the trust. Please refer to the relevant domestic legislation or guidance and the CRS and associated Commentary, as applicable, for further clarification. |
| Non-Reporting Financial Institution (FATCA specific) | The term “Non-Reporting Financial Institution” means any Partner Jurisdiction Financial Institution, or other entity resident in a Partner Jurisdiction that is identified in Annex II as a Non-Reporting Financial Institution or that otherwise qualifies as a deemed-compliant FFI, an exempt beneficial owner, or an excepted FFI under relevant U.S. Treasury Regulations. Please refer to the relevant domestic legislation or guidance and the IRS FATCA Regulations as applicable, for further clarification. |
| Participating Jurisdiction | A Participating Jurisdiction means a jurisdiction with which an agreement is in place pursuant to which it will provide the information required on the automatic exchange of financial account information set out in the Common Reporting Standard and that is identified in a published list. |
| Passive Non-Financial (Foreign) Entity | A Passive Non-Financial (Foreign) Entity is any Non-Financial (Foreign) Entity that is not an Active Non-Financial (Foreign) Entity. Under CRS this also includes Investment Entity located in a Non-Participating Jurisdiction that is managed by another Financial Institution. |
| Reportable Jurisdiction | A Reportable Jurisdiction is a jurisdiction with which an obligation to provide financial account information is in place and that is identified in a published list. |
| Reportable Person | A Reportable Person is defined as an individual who is tax resident in a Reportable Jurisdiction under the tax laws of that jurisdiction. Dual resident individuals may rely on the tiebreaker rules contained in tax conventions (if applicable) to solve cases of double residence for purposes of determining their residence for tax purposes. |
| Reporting Financial Institution | The term “Reporting Financial Institution” means any Financial Institution that is not a Non-Reporting Financial Institution. |
| Specified Insurance Company | The term “Specified Insurance Company” means any Entity that is an insurance company (or the holding company of an insurance company) that issues, or is obligated to make payments with respect to, a Cash Value Insurance Contract or an Annuity Contract. Please refer to the relevant domestic legislation or guidance, IRS FATCA Regulations and the CRS and associated Commentary, as applicable, for further clarification. |
| Specified U.S. Person | A “Specified U.S. Person” is a U.S. Person, other than: (i) a corporation the stock of which is regularly traded on one or more established securities markets; (ii) any corporation that is a member of the same expanded affiliated group, as defined in section 1471(e)(2) of the U.S. Internal Revenue Code, as a corporation described in clause(i); (iii) the United States or any wholly owned agency or instrumentality thereof; (iv) any State of the United States, any U.S. Territory, any political subdivision of any of the foregoing, or any wholly owned agency or instrumentality of any one or more of the foregoing; (v) any organization exempt from taxation under section 501(a) or an individual retirement plan as defined in section 7701(a)(37) of the U.S. Internal Revenue Code; (vi) any bank as defined in section 581 of the U.S. Internal Revenue Code; (vii) any real estate investment trust as defined in section 856 of the U.S. Internal Revenue Code; (viii) any regulated investment company as defined in section 851 of the U.S. Internal Revenue Code or any entity registered with the Securities Exchange Commission under the Investment Company Act of 1940 (15 U.S.C. 80a-64); (ix) any common trust fund as defined in section 584(a) of the U.S. Internal Revenue Code; (x) any trust that is exempt from tax under section 664(c) of the U.S. Internal Revenue Code or that is described in section 4947(a)(1) of the U.S. Internal Revenue Code; (xi) a dealer in securities, commodities, or derivative financial instruments (including notional principal contracts, futures, forwards, and options) that is registered as such under the laws of the United States or any State; or (xii) a broker as defined in section 6045(c) of the U.S. Internal Revenue Code. |
| Tax Identification Number | The term “TIN” means Taxpayer Identification Number (or functional equivalent in the absence of a Taxpayer Identification Number). |
| U.S. Person | The term “U.S. Person” means a U.S. citizen or resident individual, a partnership or corporation organized in the United States or under the laws of the United States or any State thereof, a trust if (i) a court within the United States would have authority under applicable law to render orders or judgments concerning substantially all issues regarding administration of the trust; and (ii) one or more U.S. persons have the authority to control all substantial decisions of the trust, or an estate of a decedent that is a citizen or resident of the United States. |