New anti-tax evasion measures
Canada is one of 110 signatories to the Common Reporting Standard (CRS), an international agreement to prevent tax evasion that will result in an upcoming amendment to Canada's Income Tax Act.
As of July 1, 2017, the federal government will require all Canadian financial institutions, including Desjardins, to ask clients who open new accounts to declare where they reside for tax purposes.
We will be required to provide this information to the Canada Revenue Agency (CRA), which will exchange it with the tax authorities of the other signatory countries. A similar measure is already in place for individual and business accountholders who have accounts in Canada, but who are U.S. citizens or have a U.S. tax residency
The information exchanged will be subject to protection of personal information laws. It will stay confidential and be used solely for the purpose of the agreement.
Existing accounts will also need to be verified. Members and clients affected will be contacted sometime after July 1, 2017, to certify their tax residency and/or U.S. citizenship.
For information regarding accounts requiring tax residency certification or to learn more about the new measures, go to the Canada Revenue Agency site - External link. This link will open in a new window..
To learn more, see the FAQ - New anti-tax evasion mesures.