Although there is no universal domestic PEP definition, it is common to refer to the Financial Action Task Force on Money Laundering standard. FATF states that a domestic politically exposed person is somebody who:
To put it to an example: a domestic politically exposed person can be an official of a local political party, a head of state corporations, a senior politician or top military official. Thus, the prime minister of The UK will be considered a domestic PEP to the Bank of England. However, in relation to the international branches of the same bank, the prime minister will be equated to a foreign PEP.
Note that a politically exposed person can sometimes wear two hats, and be considered not only a domestic PEP but also a foreign one. It occurs if additionally to being a high official in your country the individual holds a prominent public position in another.
The best decision when onboarding a new client will be to ensure that foreign and domestic politically exposed persons are both taken care of by the risk assessment guidelines of your company. With Sumsub AML screening you are protecting yourself from any reputational risks and gain a deeper insight into your clientele.