Navigating FATCA Passthru 2017 A Guide to Global Tax Reporting

▫ Proposed FATCA regulations issued Feb. 2012; final regs ... 1, 2017 – Earliest date to apply w/h on passthru payments. (pending ... During 2017, the committee continued its dialogue with IRS officials regarding reporting requirements under the Foreign Account Tax Compliance ... Under FATCA, certain types of financial institutions are required to register with the IRS or face a very significant penalty of 30 per cent withholding tax. FATCA was enacted into law on March 18, 2010, as part of the HIRE Act. Under FATCA, Foreign Finaicial Institutions (FFIs) may register with the IRS and agree to ... This has now been deferred two years to 1 January 2017. 2. Grandfathering protection from passthru withholding extended. It was highly ... Foreign passthru payments made to recalcitrant account holders and nonparticipating FFIs by a participating FFI are also subject to withholding; ... No withholding on foreign passthru payments until, at least, January 1, 2019;; Extension of time until January 1, 2017, to use limited ... U.S. withholding tax will apply to foreign passthru payment to a recalcitrant account holder or a nonparticipating FFI that is made after the ... Moreover, the proposed regulations delay withholding on foreign passthru payments until 2017 at the earliest. Extension of the Transition ... On February 8, 2012, the Internal Revenue Service ("IRS") issued proposed regulations (the "Proposed Regulations") which will implement the provisions of ...