Self-certification is a formal declaration that the account holder makes in connection with his/her tax residence.
According to the due diligence procedures set out in the Inland Revenue Ordinance (Cap. 112), self-certifications would be required from account holders for all new accounts (i.e. accounts opened on or after 1 January 2017). As for pre-existing accounts (i.e. accounts opened before 1 January 2017), if a reporting financial institution has doubts about the tax residence of an account holder, it can seek a self-certification from the account holder to verify his/her tax residence. Each reporting financial institution can design its own self-certification form, but must ensure that the required data is collected.
The relevant data may be furnished by the reporting financial institution to the Inland Revenue Department for transmission to the tax authority of another jurisdiction. The Inland Revenue Department may check the details of the self-certification, if necessary.
The account holder, in making a self-certification to a reporting financial institutions, who knowingly or recklessly provides a statement that is misleading, false or incorrect in a material particular commits an offence and is liable on conviction to a fine at level 3 ($10,000).
Below is a set of sample forms provided for reference and adoption by reporting financial institutions:
You can also click here to understand the meaning of terms and expressions used in Self-Certification Forms.