Empowering Accountants with FATCA Foreign Passthru Payment Expertise

□ Apply FATCA withholding on withholdable payments and foreign passthru payments to noncompli- ... definition of a foreign passthru payment. Therefore, further ... The threat of withholding on these so-called “foreign passthru payments” has remained conjectural because: (a) the IRS has not yet defined the ... The new FATCA regulations provide relief for certain entities that may have been inadvertently covered by the definition of an FFI under the ... The IRS has reserved the possibility of introducing withholding on “foreign passthru payments”. ... Means the Foreign Account Tax ... The Fatca draft regulations provide that foreign passthru payments are passthru payments that are not withholdable payments. This must mean, therefore, that ... What is an FFI? A Foreign Financial Institution (FFI) is defined as an entity that is not resident in the U.S.A. for tax purposes and that ... The principal targets of FATCA enforcement are “foreign financial institutions” (FFIs). An FFI is a foreign entity that is engaged in a banking, ... The tax is imposed on the person making the payment to the foreign person, and this payor is often a US financial institution; the payor/withholding agent has ... Foreign passthru payments made to recalcitrant account holders and nonparticipating FFIs by a participating FFI are also subject to withholding; ... The Foreign Account Tax Compliance Act (FATCA) is a unilateral set of US regulations that applies worldwide for all countries.