We follow the legal norms in force and the principles of good banking practice According to "Know Your Customer" principle we ask our customers various questions both for the fulfilment of legal norms* and for the provision of better service. We have to know who our customer is and what their habitual activities consist of. We ask questions about the registration details, tax residence, beneficial owners as well as area of business activity. We have to monitor to ensure that the transactions our customers perform accord with the type and scope of the economic activities they pursue. If necessary, we ask for additional information about the transactions (e.g. the origin of the assets). From time to time we turn to you with a request that you specify or update your details. *For example, "Money Laundering and Terrorist Financing Prevention Act", "International Sanctions Act", "Tax Information Exchange Act".
In accordance with the FATCA regulations, financial institutions all over the world have to ask their customers whether they are taxable persons of the US. Financial institutions of Estonia communicate information about taxable persons of the US to the Tax and Customs Board, which shares the information with the Internal Revenue Service of the US. More about FATCA: FATCA rules Website of the Ministry of Finance Website of the Internal Revenue Service of the US
The CRS regulates tax information exchange between the Member States of the EU and OECD. Financial institutions of Estonia share information about taxable persons of the corresponding countries with the Tax and Customs Board, which, in turn, shares the information with the tax boards of other countries. More about CRS: Website of the Ministry of Finance Website of the OECD