ARTICLE
14 November 2013

IRS Releases Draft Foreign Financial Institution Agreement For FATCA

The IRS has released a draft agreement for foreign financial institutions entering into an FFI agreement under the Foreign Account Tax Compliance Act.
United States Tax
To print this article, all you need is to be registered or login on Mondaq.com.

The IRS has released a draft agreement (Notice 2013-69) for foreign financial institutions (FFIs) entering into an FFI agreement under the Foreign Account Tax Compliance Act (FATCA).

FATCA generally requires a withholding agent to deduct and withhold a tax equal to 30% on any withholdable payment made to an FFI, unless the FFI has an agreement requiring the FFI to satisfy the obligations specified in Section 1471(b). Notice 2013-69 provides a draft agreement to satisfy Section 1471(b). An FFI that has an FFI agreement in effect with the IRS is treated as a participating FFI and is not subject to withholding under Section 1471. The FFI agreement is to be finalized by Dec. 31, 2013. 

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

See More Popular Content From

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More