With effect from 1 January 2020, ORSO registered schemes are required to comply with the due diligence and reporting obligations under the Automatic Exchange of Financial Account Information (AEOI). ORSO registered schemes must collect the tax residence information of scheme members and report to the Inland Revenue Department (IRD) the account information of those members who are tax residents of any reportable jurisdictions outside Hong Kong. The IRD will transmit the information to the relevant tax authorities in AEOI partner jurisdictions on an annual basis.
Thus, employees must submit tax residence self-certification when setting up new ORSO accounts to complete the account opening process.
For details of AEOI requirements, please refer to the following FAQ: