Posted By: LetsTalkCompliance
Revoke Phase II Exempt Customer for closing accoun - 01/13/16 06:07 PM
Long time reader, first post!
A customer who was designated as Phase II exempt recently closed its account because they sold their franchise. Must I file a revocation of Phase II Exemption with FinCEN for this Tax ID? Do you revoke exemptions for customers who terminate their relationship with your bank?
FinCEN 2009-G003 (Aug 2009) says "Banks have never been required to formally revoke an exemption using the DOEP form. Generally, examiners or other users of BSA data would be able to rely on a pattern of reporting to know that a customer is no longer being treated as exempt. For purposes of clarity or creating internal documentation, however, many banks voluntarily revoke exemptions using the DOEP form."
Do you voluntarily revoke exemptions? Thanks!
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jdh134642
A customer who was designated as Phase II exempt recently closed its account because they sold their franchise. Must I file a revocation of Phase II Exemption with FinCEN for this Tax ID? Do you revoke exemptions for customers who terminate their relationship with your bank?
FinCEN 2009-G003 (Aug 2009) says "Banks have never been required to formally revoke an exemption using the DOEP form. Generally, examiners or other users of BSA data would be able to rely on a pattern of reporting to know that a customer is no longer being treated as exempt. For purposes of clarity or creating internal documentation, however, many banks voluntarily revoke exemptions using the DOEP form."
Do you voluntarily revoke exemptions? Thanks!
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jdh134642