The Central Bank of the UAE imposed financial sanctions totalling AED 2,621,000 on five banks and two insurance companies operating in the UAE for non-compliance with reporting procedures required under the Common Reporting Standard (CRS) and Foreign Account Tax Compliance Act (FATCA) guidelines. The breaches related to failure to meet compliance standards, particularly in due diligence and the accuracy of financial reporting, after the Central Bank said it had given licensed financial institutions ample time to rectify shortcomings. The Central Bank positioned the action as supporting global initiatives on tax transparency and efforts to combat tax evasion.
Central Bank of the UAE 2025-03-25
Central Bank of the UAE fines five banks and two insurers AED 2,621,000 for CRS and FATCA reporting violations
The Central Bank of the UAE imposed financial sanctions totaling AED 2,621,000 on five banks and two insurance companies for non-compliance with the Common Reporting Standard and Foreign Account Tax Compliance Act guidelines. The penalties addressed failures in due diligence and financial reporting accuracy, following ample time given to rectify these issues. This enforcement supports global tax transparency and anti-evasion efforts.