Unleash the Power of FATCA Passthru 2017 for Optimized Compliance

This document contains proposed regulations eliminating withholding on payments of gross proceeds, deferring withholding on foreign passthru payments. "Passthru" Payments. Under the Proposed Regulations, withholding will not be required with respect to "foreign passthru payments" before January ... ... FATCA, providing guidance on a wide range of issues under FATCA's ... foreign "passthru payments" until January 1, 2017. The proposed ... Congress passed the Foreign Account Tax Compliance Act (FATCA) in 2010. FATCA requires both individual taxpayers and foreign financial institutions (FFIs) ... The withholding tax is a 30% tax on “withholdable payments.” F.A.T.C.A. also requires participating F.F.I.s (“P.F.F.I.s”) to withhold on “passthru payments” ... effective alternative approach to achieve the policy objectives of foreign passthru payment and gross proceeds withholding that minimizes burden ... The 2017 Chapter 4 regulations provide that such withholding will begin on January 1, 2019. Many U.S. and foreign financial institutions, ... be required to withhold on foreign passthru payments until January 1, 2017. Nevertheless, if the passthru payment itself is an Income ... It is expected that regulations will define the concept before 2017 to permit foreign passthru payment withholding to begin in 2017. 21 January 2013. Importantly, from 1 January 2017,. Participating FFIs must deduct withholding on payments to non-participating or uncooperative FFIs (“passthru payments ...