On 17 September 2026, the Cyprus Tax Department officially announced the withdrawal of its 2017 guidance document titled “Cyprus Administrative Service Providers (ASPs) – Are They FIs under FATCA and CRS” (June 2017). This guide previously assisted Administrative Service Providers (ASPs) in determining their status as Financial Institutions (FIs) under the OECD Common Reporting Standard (CRS) and the US Foreign Account Tax Compliance Act (FATCA). The withdrawal renders the 2017 guidance obsolete for interpreting or applying CRS obligations. Consequently, any references to this document within the 2020 Guidance Notes on the Automatic Exchange of Financial Account Information are no longer applicable. The Tax Department indicated that the Guidance Notes will be updated to align with the latest version of the CRS text. This development is effective immediately and impacts all ASPs operating in Cyprus that previously relied on the 2017 criteria for FI classification.
Key Takeaways
- Immediate Cessation of 2017 Guidance Reliance: Administrative Service Providers must immediately stop using the withdrawn 2017 guide for FATCA/CRS classification purposes. The criteria outlined in that document are no longer valid for determining Financial Institution status under the OECD Common Reporting Standard.
- Update of 2020 Guidance Notes Pending: References to the withdrawn guide in the May 2020 Guidance Notes on Automatic Exchange of Financial Account Information are now void. Taxpayers should anticipate revised Guidance Notes reflecting the current CRS framework and monitor the Tax Department’s official communications for the updated version.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement