Passthru Payments and FATCA The Essential Guide for Financial Institutions

would subject passthru payments to withholding only if they are directly traceable to withholdable payments. Treasury felt that a direct tracing approach ... Example. Consider Offshore Fund, Ltd., a ... may still be subject to the FATCA requirements to the extent they receive passthru payments. ... passthru payments" from January 2017. Now that most European jurisdictions have signed Intergovernmental Agreements (IGAs) with the US (or ... Remove withholding on payments of gross proceeds; · Defer withholding on foreign passthru payments; · Eliminate withholding on certain insurance ... Withholding on foreign passthru payments serves important purposes. ... Despite being attributable to the U.S. source payment, the payment made to ... Treatment of Passthru Payments and Gross Proceeds. The Parties are committed ... A certificate of residence issued by an authorized government body. (for example, ... FATCA subjects to withholding certain payments made by FFIs to nonparticipating FFIs and recalcitrant account holders (Foreign Passthrough ... □ Apply FATCA withholding on withholdable payments and foreign passthru payments to noncompli- ... — How will your distributors be treated under FATCA – for ... Withholding on foreign passthru payments will be delayed until at least January 1, 2017. FFIs will be required to report annually on the aggregate amounts of ... passthru payments made in 2015 and 2016 to persons not participating in FATCA. Furthermore, given general international developments at the ...