Bank Аccounts

CRS (Common Reporting Standard) is a unified standard developed by the Organisation for Economic Co-operation and Development (OECD) for reporting, due diligence, and exchanging information about financial accounts between tax authorities of different countries. It has been implemented in various countries as an agreement for international exchange of tax information.

CRS (Common Reporting Standard) is a global standard for automatic exchange of financial account information designed to reduce the risk of tax evasion globally. Under CRS, banks are required to transmit information through the Armenian tax authority about customers who are tax residents of other countries to the tax authorities of those countries that have joined the CRS system.

Currently, more than 120 countries have joined CRS, including:

1. Almost all European countries (all EU countries),
2. Many Asian countries (e.g., China, India, Japan),
3. Several African countries (e.g., South Africa),
4. Certain countries of the American continent (e.g., Canada, Brazil).
   The United States (USA) has not joined CRS but instead has its separate regulation under the Foreign Account Tax Compliance Act (FATCA) for US taxpayers.
   Armenia joined the system recently, and the data exchange will occur for the first time in 2025, for the 2024 reporting period. However, the number of CRS-participating countries is continuously increasing, and the final list can be found on the OECD's official website:
   OECD Official CRS Implementation List

Reporting persons are:
1.    Individuals/individual entrepreneurs who are tax residents of a CRS-participating country,
2.    Legal entities (hereinafter referred to as Organizations) that, or whose controlling person(s) are tax residents of a CRS-participating country.

Following amendments to the Armenian Tax Code, the Bank is now obligated to submit financial account information of account holders who are tax residents of a foreign country (territory) to the Armenian tax authority. This means that if you are a customer of the Bank and also a tax resident of a foreign country (territory), your data must be provided by the Bank to the Armenian tax authority.

Following amendments to the Armenian Tax Code, the Bank is obligated to provide financial account information of account holders who are tax residents of a foreign country (territory) to the Armenian tax authority. This means that if an Organization is a customer of the Bank and at the same time a tax resident of a foreign country (territory), or if the controlling person of a passive non-financial Organization is a tax resident of a foreign country (territory), the Organization’s data must be provided by the Bank to the Armenian tax authority.

Non-financial Organizations are considered passive if more than 50% of their gross income for the previous calendar year or other reporting period consists of passive income (e.g., dividends, interest, royalties, rental income, capital gains, annuities, and similar types of income).

Controlling persons are individuals who exercise control over the Organization. Specifically, they include individuals who directly or indirectly own 20% or more of the voting shares (stocks, stakes) or have 20% or more participation in the statutory capital, or otherwise exercise actual (effective) control over the Organization. If no individual meets these criteria, the controlling person is considered to be the official responsible for the overall or ongoing management of the Organization.

Criteria for determining foreign tax residency of an individual or controlling person of an Organization may differ by country. The main indicative criteria generally include:
For individuals:
1.    Having a postal or actual residence address in a CRS member country,
2.    The center of vital interests (workplace, family, property) is located in a CRS member country,
3.    Country where the individual has tax registration or Tax Identification Number (TIN).
For Organizations:
1.    The Organization’s registered address or actual place of business is in a CRS member country.

Determination of tax residency can vary by country; however, clients themselves declare their tax residency status.

The following information about each reportable person who is a tax resident of a foreign country (territory) will be transmitted to tax authorities:
1.    Identification details,
2.    Information about accounts and certain transactions performed on those accounts.

The Bank will provide information about customers who have:

1. New accounts opened after January 1, 2024 (regardless of the balance),
2. Existing accounts that meet one of the following criteria:
• Account balance exceeds USD 250,000 (or equivalent in AMD/other currency) as of the beginning or end of 2023, or
• Total account inflows exceed USD 250,000 (or equivalent in AMD/other currency), or
• Total account outflows exceed USD 250,000 (or equivalent in AMD/other currency).

Under Armenian tax legislation, the Bank is obligated to provide information about a client's financial accounts if they meet CRS standard criteria. If a client refuses to provide required information upon account opening, the Bank has the right to refuse opening the account. For existing accounts, refusing to provide information may result in limitations or termination of account services by the Bank.

If a customer refuses to provide the required consent within 10 days after receiving the request from the Bank, the Bank may refuse to open new financial accounts and may limit or terminate operations on previously opened accounts.

A self-certification is a document through which customers declare their tax residency. Customers submit this document to establish their tax residency status. Self-certification must contain at least the following information:

1. Customer identification data,
2. Country or countries of tax residency (if the individual has dual tax residency),
3. Tax Identification Number (TIN) in the country or countries where the customer is registered as a tax resident.

The Bank has all the necessary information security systems in place, thus keeping money on the account is secure. It is only necessary that the client also follows the security rules. In the meantime we hereby inform that the return of the funds available on the account in the amount of up to AMD 16 mln and amount in USD equivalent to AMD 7 mln is guaranteed in accordance with the RA law on "On Guarantee of Compensation for the Banking Deposits of Physical Entities".

The current account is opened for an indefinite term. Moreover, the account can be opened through the IDBanking.am online platform, Idram&IDBank mobile application and in the branches of the Bank for absolutely no charge.

The Bank opens and maintains current accounts in AMD, USD, EUR, RUB, British pound, Japanese yen, Swiss franc, Georgian lari, UAE dirham, Chinese yuan, Belarusian ruble.

Both resident and non-resident entities can open current accounts.

No nondecreasing balance is applied to current accounts.