XM Trading is one of the world’s most popular Forex companies. When you open a real account, you may be asked for your taxpayer number, but what exactly does this refer to? It summarizes the meaning of the taxpayer number and the documents to be submitted along with it.
What is a taxpayer number?
The taxpayer number is a taxpayer management system. This system has been introduced in the United States, Switzerland, Germany, France, etc. A unique number is assigned to citizens who have reached the tax payment age, and it is a number to manage the status of tax payment. Linking bank accounts and taxpayer numbers is obligatory and administrative systems have been digitized, allowing the tax bureau to quickly confirm the status of tax payments.
Why is a tax identification number required?
The reason why XM Trading asks for a taxpayer number is because we want to confirm “whether you are from a country where forex trading is allowed”. This is because there is a reason that only US domestic Forex companies can be used in the United States. Therefore, all citizens residing in the United States are not allowed to use foreign Forex companies. Even in Europe, financial regulations for general investors are spreading and regulations are becoming stronger. In fact, there are countries that cannot be registered with XM. Since XM has three companies, the nationalities that can be registered are different for each company. Please refer to the article below.
About input field of taxpayer number
When you open an account with XM, you will be required to enter your taxpayer number. Please refer to the following article for opening an account.
number for American citizens
The tax identification number is for US citizens, so it doesn’t matter for people from other countries. If you select “yes” in the US citizen column, you will be asked for your taxpayer number.
Is it necessary to submit a tax identification number?
If you open an XM real account and proceed to activate the account (submit the required documents), you will be required to submit your ID and address confirmation documents. At that time, do I have to submit my number card (Japan) or taxpayer number (USA) to XM?
In fact, XM does not require submission of My Number or taxpayer number, it is optional. Operating under a Cyprus financial license, the global version of XM requires submission of a tax identification number. However, XM Trading operates in the Seychelles. The Seychelles Monetary Authority, which manages the financial business in the Seychelles, does not require submission of a tax identification number. Therefore, users are not required to submit My Number or taxpayer number.
If you do not submit
Are there any penalties if I do not submit my number or taxpayer number? In conclusion, no. Acceptable forms of identification include a passport, proof of residency, and even a driver’s license. There is no need to worry about being audited by the tax office due to non-submission. Please rest assured that there are no advantages or disadvantages to submit.
You can use your Individual Number as your ID
My number card in Japan can be authenticated by submitting it as an identification card. Since the My Number Card has a comprehensive description of your face photo, name, date of birth, address, etc., it can be submitted as an identification card or as an address confirmation document. However, if the My Number Card is used as an ID, it cannot be used as an address verification document. Also, if you do not use the My Number Card within the expiration date, the authentication will be refused, so be careful.
My number notification card
In Japan, there is also a My Number notification card. The Individual Number Notification Card can be used as an address confirmation document. But I can’t use it as an ID. The My Number notification card does not have a face photo, so it cannot be used as an identification card.