Muinmos and TConsult, two prominent entities in the financial sector, have inked a deal focusing on digital tax solutions.
Muinmos, renowned for its efficient Client Onboarding Platform tailored to financial institutions, and TConsult, a specialist in financial compliance and the creator of the Investor Self-Declaration (ISD) platform, seek to navigate the complexities of global withholding tax regulations with this strategic partnership.
The alliance between Muinmos and TConsult primarily aims to alleviate the regulatory burden and enhance compliance for financial institutions globally by integrating TConsult’s ISD platform into Muinmos’ Client Onboarding Platform.
This integration enables financial institutions to effortlessly obtain digital Investor Self-Declarations (ISDs), sidestepping the convoluted process of utilising multiple paper tax certification forms to document the tax status of clients.
Muinmos operates in the FinTech sector, specialising in facilitating seamless onboarding for its financial institution clientele, utilising its distinguished Client Onboarding Platform. On the flip side, TConsult, with its ISD platform – a segment of the firm’s Tax Compliance Toolkit, plays a pivotal role in assisting financial firms to obtain a unified digital tax residency self-certificate, adhering to various global withholding tax regulations.
Both platforms are crafted with an emphasis on bolstering ease, safety, and a hassle-free compliance journey.
This strategic alliance is expected to comprehensively automate and digitalise the process of obtaining ISDs, diminishing reliance on paper forms, thus contributing to reduced error rates commonly associated with manual paper form usage. In addition, the integration guarantees a reliable digitally signed investor self-declaration of tax residency and, when applicable, a claim of tax treaty benefits, which financial institutions can depend upon to meet regulatory obligations.
The integration seeks to overcome the prevalent issues tied to the use of paper forms for tax self-certifications, of which over 900m are in circulation globally, with a startling over 60% not being fit for purpose. By leveraging APIs and proprietary tax logic, the collaboration ensures that account holders, to the extent permitted by regulators, only need to provide their information once, ensuring efficiency and reducing the probability of errors which are typically above 60% when relying on paper forms.
TConsult CEO Kirsty Pitkin highlighted the ISD platform’s proficiency and compliance, saying, “Our ISD platform is the result of over three years’ work to establish a single digital electronically signed document that conforms to the US FATCA anti-tax evasion regulations, the OECD TRACE framework for tax relief at source, the OECD Common Reporting Standard (CRS) and the US Qualified Intermediary (QI) regulations for tax relief at source.”
Meanwhile, Muinmos CEO and founder Remonda Kirketerp-Møller noted, “This is a very important development for us. Our clients have been asking for this for some time so they have all the regulatory requirements for the onboarding stage consolidated into one platform and we’re delighted to have partnered with the leading tax experts in the industry to deliver this.”
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