By: Dave Olenzak. President and Founder of TWC.
The CTS is run by the OECD and is used to exchange Common Reporting Standard and was developed to exchange Common Reporting Standard (CRS) data.
It has been expanded from three types of data (CRS Reports, Country-by-Country Reports, and Exchange of Tax Rulings) to now include the exchange of 25 different types of information.
All data messages exchanged by Tax Authorities prior to March, 2021 will need to use the CTS 1.0 format, and all messages exchanged in March, 2021 or later will require the new XML format.
For those Financial Institutions that are submitting CRS XML to their local tax authority and for those Multinational Enterprises submitting Country-by-Country XML Reports, check with your local tax authority about the new formatting requirements. Note that although the changes are minor, any older formatted XML will likely be rejected.
The new CRS XML schema information is available here:
The new CbCR XML schema information is available at: