Optimizing FATCA Passthru Payment Withholding for Maximum Efficiency

Under FATCA, US-based funds are treated as US financial institutions (USFIs) and are required to withhold on payments to non-US entity investors who refuse to ... An FFI is required to deduct and withhold 30% of any passthru payment made to a recalcitrant account holder or non-participating FFI. A passthru ... imposes withholding on so-called foreign passthru payments. Withholding does not apply to on payments to a financial institution that ... Under prior FATCA regulations, a 30 percent withholding tax was required on payments of gross proceeds to certain foreign entities made after ... Additionally, FATCA imposes a 30% withholding tax on Withholdable Payments and. Passthru Payments made to certain non-U.S. entities that are not FFIs ("Non- ... ... FATCA reporting and passthru payment withhold ... on the question of foreign passthru payment withholding,23 stated that foreign financial institu ... The table below shows regulations, rulings, notices, announcements, and other FATCA-related guidance or requirements. PFFI. Participating Foreign Financial Institution as defined in the US FATCA regulations ... withholding prior to making a payment);. •. Interests not issued by ... ... FATCA.60 Withholding by participating FFIs begins on payments made after 31 December 2013.61 Withholding on foreign passthru payments is ... January 1, 2019: Withholding on “foreign passthru payments” will become effective the later of January 1, 2019 or the date of publication of the ...