Lays Down Rules That Allow Access To The Banking Information From The Tax Authority


Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$20 per month, or Get a Day Pass for only USD$4.99.
Sole article.-replace article 62 of the tax code, content in the article first of Decree Law No. 830, 1974, by the following articles 62 and 62 bis: "article 62.-the courts may authorize the examination of information relating to the banking operations of certain people, comprising all those subjected to secret or subject to reservation, in the case of processes for crimes stating compliance with tax obligations related." Same Faculty will have tax courts and customs when they are aware of a process on application of sanctions in accordance with article 161.

Also, in exercise of its audit powers and in accordance with the provisions of title VI of the third book, the service may require information concerning banking operations of certain people, including all those subjected to secret or subject to reservation, which are indispensable to check the truthfulness and integrity of tax returns, or lack of them , in your case. The same information can be requested by the service to comply with the following requirements: i) from tax administrations foreign, that it has been agreed under an international agreement for the exchange of information signed by Chile and ratified by the National Congress.

II) the originated in the exchange of information with the competent authorities of the Contracting States in accordance to what has been agreed in existing agreements for avoidance of double taxation signed by Chile and ratified by the National Congress.

Except for the cases specifically regulated by other legal provisions, the requirements of banking information submitted to secret or reserve to the Director in accordance with the preceding paragraph, are subject to the following procedure: 1) service, through its national address, notify the Bank, requiring that it give the information within the time limit that is set there, which may not be less than forty-five days from the date of the respective notification. The requirement should meet at least the following requirements: to) contain the identification of the holder of the account information requested;

b) specifying transactions or banking products or types of banking operations, which requested information;

((c) designate the periods covered by the application, and d) Express if the information is requested to verify the veracity and integrity of declarations of tax of the taxpayer or lack of them, in their case, either to comply with a request referred to in the preceding paragraph, identifying the applicant entity and the background to the request.

(2) inside of the five following days of notified, the Bank shall inform the owner required information, the existence of the service request and its scope. Communication must be made by registered letter sent to the address that is registered in the Bank or by electronic mail, when so authorized or agreed upon expressly. Any question which arises between the Bank and the owner of the required information concerning deficiencies in the aforementioned communication, or even the lack of it, will not affect the course of the period referred to in the preceding paragraph. The lack of communication by the Bank liable it for the damages that can be followed to the holder of the information.

((3) the holder can answer the request to the Bank within the period of 15 days after the third day from the sending of notification by registered letter or e-mail referred to in number 2) of this subsection. If in its reply the holder of the information authorizes Bank to hand over information to the service, this shall comply with the requirement without further formality, within the given time.

Similarly the Bank will proceed in those cases in which the taxpayer had authorized you advance to deliver service information subjected to secret or reservation, when it so requests in accordance with this article. This authorization should be granted expressly and in a document exclusively for the effect. In this case, the Bank will be liberated to apply the procedure laid down in paragraph 2) of this subsection. The taxpayer always may revoke, in writing, the authorisation granted to the Bank, which will produce effects from the date in which the revocation is received by the Bank.

In the absence of authorization, the Bank may not give compliance to the requirement nor the service demand it, unless the latter notified a court judgment thus authorized by it in accordance with the provisions of the following article.

(4) inside of the five days following the day on which expires the deadline for the response of the holder of the information, the Bank must inform in writing to the service regarding whether this has occurred or not, as well as its content. In this communication the Bank must declare domicile registered in it by the holder of the information, as well as your email address, in case of having this last antecedent. In addition, if the case, it must be noted if the holder of the information has ceased to be client of the Bank.

(5) accepted the claim of the service by judicial judgement, this will notify the Bank accompanying certified copy of the decision of the Court. The Bank shall have a period of ten days for delivery of the requested information.

(6) the delay or total or partial omission in the delivery of information by the Bank shall be punished in accordance with the provisions of the second paragraph of the number 1 ° of article 97.

Banking information submitted to secret or subject to reservation, obtained by the service under this procedure, will have the character of reserved in accordance with the provisions of article 35, and it may only be used by it to verify the accuracy and integrity of tax returns, or the lack of them, if any, for the payment of owed taxes and for the application of the penalties which may be applicable. The service will adopt internal organisation measures necessary to guarantee your booking and control its proper use. The information thus collected that does not give rise to a control or subsequent payment, management must be disposed, and may not remain in the data bases of the service.

Authorities or officials who take knowledge of banking information secret or reserved shall be bound to the strict and complete reservation on it and, except for the cases referred to in the second paragraph, they may not transfer it or communicate it to third parties. A breach of this obligation shall be punished with the imprisonment in any of its degrees and a fine of ten to thirty monthly tax units. In addition, such infringement will lead to administrative responsibility and shall be punished with dismissal.

Article 62 bis.-for the purposes referred to in the third paragraph of the preceding article, shall have jurisdiction to hear the application for judicial authorization placing service to access the banking information subject to reservation or secret, the tax court and customs to domicile in Chile that has advised the Bank to service, as number 4) of the third paragraph of the preceding article. If it had reported a domicile abroad or had not reported any domicile, court shall have jurisdiction tax and customs corresponding to the domicile of the Bank required.

The service request must be presented together with a history that operationalized the requirement and to justify that it is essential to have such information to determine the tax liability of the taxpayer, identifying statements or lack of them, where appropriate, which is intended to check. In the case of requirements from abroad, the requesting entity's information and background of the respective request shall be indicated.

Tax and customs judge resolve application citing the parties to a hearing to be determined later than fifteen days from the date of the notification of the summons. With the merit of the background provided by the parties, the judge will resolve founded authorization at the same hearing, or within the fifth day, unless it deems necessary to open a probationary term for a maximum of five days.

Notification the holder of information shall be carried out based on the information provided by the Bank to the service, in accordance with the number 4) of the third paragraph of the preceding article, in the following way: a) by order, addressed to the address in Chile that the Bank has reported, or b) notices, when bank informs the service that your customer has registered abroad , that the holder of the information is not already your customer, or when you have not reported any home.

For the purposes of notification by notices, the clerk of the Court shall prepare a summary, which will include the necessary information so that the holder of the information know the fact have been required by the service your banking information protected by secrecy or reservation, the identity of the Court in which such request has filed and the date of the scheduled hearing.
In any of the previous cases, when bank informs the service registered by the holder of the information, email the clerk of the Court shall also this way the fact of having ordered the respective notification, whose validity will not be affected by this additional notice. Also, when it is notified by notices, the clerk of the Court shall dispatch, leaving evidence of this on the record, registered letter to the last address registered with the Bank, have been informed, informing that the notification has been ordered by notices, whose validity will not be affected by the successful reception or failed this additional communication.

Against the sentence which to rule on the request will proceed to appeal, which must be filed within the period of five days from its notification, and shall be granted in both effects. The appeal will be processed into account, unless any of the parties, within the period of five days from the entry of cars into the Secretariat of the Court of appeals, allegations. Shall be recourse against the decision of the Court.

The record will be processed in secret in all instances of the trial.

The provisions of article 62 and this article will not restrict the other powers of control of the service.