AML 6.1.2 Guidance on Tax Issues

Past version: effective from 01/02/2017 - 27/10/2018
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16. A Relevant Person should, when carrying out a customer risk assessment, consider and assess the tax crime risk associated with the customer and factor such risks into the overall risk assigned to that customer. Many of the factors described in Guidance item 10 on higher risk customers could also be an indicator of potential tax crimes, for example, the use of complex or unusual corporate structures, the customer's business not being located where the customer lives (without adequate explanation), unusual customer interface or reluctance by the customer to communicate directly with the Relevant Person or the customer being unable or unwilling to disclose the source of funds and wealth.
17. If it is justified based on the risk assessment and where concerns arise, a Relevant Person may wish to seek comfort from its customers by obtaining disclosures or declarations to ascertain if a legitimate explanation exists for the concerns and therefore to allay those concerns.
Derived from DFSA RM196/2016 (Made 7th December 2016). [VER13/02-17]