What is the European Union Savings Directive and who is affected?
The European Union Savings Directive (EUSD) is an agreement between the Member States of the European Union (EU) to share information about customers who earn savings income in one EU Member State, but live in another. It aims to ensure that individuals pay the correct amount of tax on cross-border income from savings and helps reduce tax evasion. Some non-EU countries have voluntarily put into place the same measures – these include Jersey, Guernsey and the Isle of Man.
Savings income, as defined by the Directive, means:
- Interest earned on bank deposits, such as savings accounts
- Interest from certain bonds and proceeds on their sale or redemption
- Income from certain types of investment funds.
Who does it apply to?
The EUSD usually applies if you:
- Are an EU resident receiving savings income outside your resident country
- Hold a passport/identity card issued by an EU Member State
- Receive credit interest payments into an account you hold with any financial institution, not just with us.
List of EUSD countries
|British Virgin Islands||Isle of Man||Romania|
|Finland||Malta||Turks & Caicos Islands|