Unveiling the FATCA Pass-Through Payment Landscape in 2019

Elimination of foreign passthru payment withholding · The Treasury and IRS efforts in promoting FATCA have achieved a wide global coverage of IGAs, including ... The proposed regulations defer withholdings on pass-through payments. A pass-through payment is any payment made by a foreign financial ... Although FATCA was enacted in 2008, the IRS extended several FATCA related effective dates and in particular extended until January 1, 2019, the ... Under prior FATCA regulations, a 30 percent withholding tax was required on payments of gross proceeds to certain foreign entities made after ... When enacted, FATCA was projected by the Joint Committee on. Taxation to raise $1 billion in revenues per year by 2019, which is a small share ... January 1, 2019: Withholding on “foreign passthru payments” will become effective the later of January 1, 2019 or the date of publication of the ... Such an FFI would be treated as a Participating FFI (PFFI). What are the consequences to an FFI of not complying with FATCA? Non-compliance potentially carries ... In September 2015, the US IRS announced that withholding on foreign passthru payments would not apply until 1 January 2019 at the earliest. ... payments of gross proceeds, deferred withholding on foreign pass thru payments, eliminated withholding on certain insurance premiums, and clarified the ... Foreign Passthru Payments are Withholdable Payments or payments attributable to a withholdable payment paid by a. FFI. Will this Increase the Amount of ...