HSBC - Safeguard update information

diamonds

Ballard wrote: »

I'm missing your point, Grumbler. It's probably my fault as I didn't have a great night's sleep but HMRC need to be able to determine whether they need to report the data to the relevant overseas tax authority. To do this they need to know your place of birth (item 4) and whether you are liable to pay tax in other countries.

This is why you're asked to provide the information. It's not a trick question or as a way of trying to sell you anything. It's what they have to do to comply with regulations.

You may recall that quite recently Boris Johnson was charged tax by the IRS. This was because he was born in New York and still held a US passport. THE US knew because his bank(s) will have told HMRC who would have passed the information onto the IRS. I believe that that event shook him into returning his US passport.

Working hours/salary is a different thing entirely. HSBC could claim that it's part of their KYC procedure and this would be valid in some cases. High earners are more likely to have large transactions flowing through the account, for example. Realistically it's probably more to do with what line of credit/type of debit card etc., they are comfortable providing.

Jesus we have no way to evict him now he handed it back? surely the fact he is American means we could could have him extradited.
I've worked with idiots like him who spent millions on a whim.


HSBC, starting to see how 2 people I know had problems.... still waiting on a bloody M&S card and account number but confirmed open ?


HSBC are very much as a international bank are into client profiling - the much more info asked for is not just a US requirement, it is about internal marketing...people on this site forget banks are there to make money out of yours, this site and banking mentality are the minority.

grumbler

Ballard wrote: »

I'm missing your point, Grumbler. It's probably my fault as I didn't have a great night's sleep but HMRC need to be able to determine whether they need to report the data to the relevant overseas tax authority. To do this they need to know your place of birth (item 4) and whether you are liable to pay tax in other countries.

No, they need to know this only if the person in question isn't UK resident:

Tax residence of account holder - UK resident
Location of financial account - UK
Information reported - None*

(I rearranged the original document from lines to columns)

So, I read that if a person answers "UK resident" to the question "Tax residence of account holder ", then no further information has to be required.

Working hours/salary is a different thing entirely. HSBC could claim that it's part of their KYC procedure and this would be valid in some cases.

Well, they keep lying to their customers that it's a legal requirement.

High earners are more likely to have large transactions flowing through the account, for example.

The correlation between the working hours and income is far too week, not to say non-existent. IMO, people on low income on average work more hours than hig-earners.

Realistically it's probably more to do with what line of credit/type of debit card etc., they are comfortable providing.

A typical information needed for this is annual income, not hours.

Ballard

grumbler wrote: »

No, they need to know this only if the person in question isn't UK resident:(I rearranged the original document from lines to columns)

So, I read that if a person answers "UK resident" to the question "Tax residence of account holder ", then no further information has to be required.
Well, they keep lying to their customers that it's a legal requirement.
The correlation between the working hours and income is far too week, not to say non-existent. IMO, people on low income are on average work more hours than hig-earners.
A typical information needed for this is annual income, not hours.

I'm still being a bit slow here. What information do you think wouldn't be required for the standard UK resident?

badmemory

There is a thread about "Unexpected request to confirm tax residency" by the Halifax. They don't ask for income/hours. But they have made such a mess of the whole thing that it looks like a scam. Asks you to confirm as the account holder but gives no account number, so how can you? It is my belief that the banks are using a requirement by HMRC to find foreign tax avoiders and also to tie savings accounts to a NIno re the new savings tax, to get extra info from customers which they can use to their advantage and our disadvantage.

Ballard

It's been a requirement for banks to report interest to HMRC with the NINO for donkey's years. I was a computer programmer in the early 90s and I'm pretty certain that my boss spent some time updating a program that created the file for HMRC to include NINOs.

Edit: thinking about it, I haven't provided my NINO to every bank where I hold an account so I'm perplexed. Perhaps it's held centrally. BOS, for example don't have any identification for me. I really don't know.

grumbler

Ballard wrote: »

I'm still being a bit slow here. What information do you think wouldn't be required for the standard UK resident?

Well, no information - as this document is about information exchange between countries.

Possibly, there are other documents for information required internally within UK.

Ballard

grumbler wrote: »

Well, no information - as this document is about information exchange between countries.

Possibly, there are other documents for information required internally within UK.

Yes, banks have to report to the HMRC.

notaexpert

I appreicate all the responses in this thread.

I signed up for help after I could not see anything on the Internet. It was difficult to find information about this hence thread.

It helps when you discuss and people share their experiences. It does not help when you reprimand others by suggesting they should have researched first and not let off steam ... dude this is the research!

diamonds

Ballard wrote: »

Yes, banks have to report to the HMRC.

Yet banks dont need to report group savings over £6000 where the main income is stated as DWP payments...DWP self assessment: its not just the working or upper class at HMRC.


Stupid successive Conservative Labouring governments.


But yes we will get on our knees for the Americans... the English supremacy :rotfl:

Ballard

notaexpert wrote: »

I appreicate all the responses in this thread.

I signed up for help after I could not see anything on the Internet. It was difficult to find information about this hence thread.

It helps when you discuss and people share their experiences. It does not help when you reprimand others by suggesting they should have researched first and not let off steam ... dude this is the research!

My post wasn't directed solely at you. It was at everyone who'd posted that no bank has the right to ask for this information. It's fine not to know what is required of banks but it's not fine to post in such a way that you give the impression of full knowledge of the regulations.