Not Universal Requirement: While some countries require tax identification numbers for all bank accounts, others only require it for certain types of accounts, like those that pay interest. Canadian Context:

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  • Not Universal Requirement:
    While some countries require tax identification numbers for all bank accounts, others only require it for certain types of accounts, like those that pay interest. 
  • Canadian Context:
    In Canada, the Income Tax Act mandates that banks request your Social Insurance Number (SIN) when opening an interest-bearing account so they can report your interest income to the government. 
  • Other Account Types:
    Opening accounts that don't pay interest, like a basic savings account, may not require your SIN. 
  • FATCA and CRS:
    Financial institutions have obligations to provide tax residency information as part of the regulatory requirements of FATCA and CRS. 
  • Foreign Tax ID:
    If you are a non-resident, you may need to provide your foreign tax ID number. 
  • Penalties for Non-Compliance:
    Failing to provide your foreign tax number may result in penalties. 
  • Other Required Information:
    Besides your tax number, banks will also typically require proof of identification and address. 
  • While some countries require tax identification numbers for all bank accounts, others only require it for certain types of accounts, like those that pay interest. 
  • Canadian Context:
    In Canada, the Income Tax Act mandates that banks request your Social Insurance Number (SIN) when opening an interest-bearing account so they can report your interest income to the government. 
  • Other Account Types:
    Opening accounts that don't pay interest, like a basic savings account, may not require your SIN. 
  • FATCA and CRS:
    Financial institutions have obligations to provide tax residency information as part of the regulatory requirements of FATCA and CRS. 
  • Foreign Tax ID:
    If you are a non-resident, you may need to provide your foreign tax ID number. 
  • Penalties for Non-Compliance:
    Failing to provide your foreign tax number may result in penalties. 
  • Other Required Information:
    Besides your tax number, banks will also typically require proof of identification and address. 

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