Empowering Businesses with FATCA Passthru Payment Solutions (2019)

... passthru payment” described in section 1471(d)(7) of the Code not falling ... payment under a Finance Document required by FATCA. "FATCA Exempt Party ... Such an FFI would be treated as a. Participating FFI (PFFI). 8. What are the consequences to an FFI of not complying with FATCA? Non-compliance potentially ... Pursuant to IRC Section 1471(a) and 1472, FATCA requires 30% withholding on certain U.S.-source payments to foreign financial institutions and ... Excerpt. February 22, 2019. Mr. John Sweeney Branch Chief, Branch ... foreign passthru payments. These provisions represent a significant ... 1474, commonly referred to as FATCA) requires withholding agents to withhold 30% of certain payments to a foreign financial institution (FFI) ... Participating FFIs must withhold on any passthru payments made to their recalcitrant account holders and to nonparticipating FFIs. Similar to ... January 1, 2019: Withholding on “passthru payments” will become effective the later of January 1, 2019 or the date of publication of the final regulations ... Second, withholding on foreign passthru payments prevents nonparticipating FFIs from avoiding FATCA by investing in the. United States through a ... 6 A passthru payment is defined in the regulations to mean a withholdable payment and any foreign passthru payment. ... 2019, or the date of ... ... 2019; (ii) extends the date for beginning of withholding on foreign passthru payments to January 1, 2019 (at earliest); (iii) extends ...