What happens if an FFI loses its GIIN?
In order to be FATCA registered and exempt from withholding by U.S. withholding agents, a Foreign Financial Institution (FFI) must have a Global Intermediary Identification Number (GIIN). A Foreign Financial Institution withoutaGIIN is treated as unregistered in FATCA and faces a 30% withholding tax on certain U.S. source payments of Fixed Determinable Annual Payments (FDAP). […]
How are Financial Institutions identifying and managing their PEP relationships?
With respect to customers, Financial Institutions are required to have processes in place for identifying Politically Exposed Persons – known as “PEPs”. They are individuals perceived as more vulnerable to corruption and bribery involvement due to a current or past governmental position of influence. Financial Institutions include the immediate family and close associates in the […]
Financial Institutions Ought to Remain Alert to Illicit Financial Activity During Covid-19
On March 16, 2020, FinCEN advised Financial Institutions to be on the alert about fraudulent transactions and potential illicit behavior connected to Covid-19. FinCEN encouraged Financial Institutions to contact their functional regulator if the financial Institution has concerns about delays in submitting BSA Reports. In addition, FinCEN provided direction for Financial Institutions to be aware […]
IRS issues FATCA Relief but not for All
On September 6, 2019, IRS announced Relief Procedures for Certain Former Citizens. These are procedures for certain persons who have relinquished, or intend to relinquish, their United States citizenship, who wish to come into compliance with their U.S. income tax and reporting obligations and who wish to avoid being taxed as a “covered expatriate” under […]
Automatic Exchange of Information leads to Deposit Drops at International Financial Centers
On June 7, 2019, the Organisation for Economic Co-operation and Development (OECD) released a Memo which is a “summary of ongoing work to assess the impact of increasing tax transparency and exchange of information (EOI) on cross-border financial activity using international investment data”. The publication’s headline conclusion is that deposits in International Financial Centres (IFCs) […]
IRS: Offshore Financial Accounts will NOT go Unnoticed
IRS: Offshore Financial Accounts will NOT go Unnoticed was published by JD Supra on 5/14/19. On March 15, 2019, IRS reported that hiding money or assets in unreported offshore accounts remains on the Internal Revenue Service’s “Dirty Dozen” list of tax scams for 2019. IRS continues to remind US Taxpayers to report their worldwide income […]
El Nudo Corredizo se está Cerrando
El Nudo Corredizo se está Cerrando was published by JD Supra on 5/1/19. Ahora que el IRS lleva cuatro años intercambiando datos de FATCA en sus computadoras y se está embarcando en una Campaña de Exactitud de Presentación de FATCA, existe una urgencia especial para los Contribuyentes Estadounidenses fuera de cumplimiento que no existía anteriormente. […]
The Noose is Closing
The Noose is Closing was published by JD Supra on 5/1/19. Now that IRS has four years of FATCA exchanged data in its computers and is embarking on a FATCA Filing Accuracy Campaign, there is a special urgency for for noncompliant U.S. Taxpayers that did not previously exist. Since March 2010, the U.S. has crafted […]
Financial Institutions and Golden Passports
Financial Institutions and Golden Passports was published by JD Supra on 2/27/19. On October 16, 2018, the Organization for Economic Cooperation and Development (OECD) issued guidance to Financial Institutions (FIs) regarding what is known as “Golden Passports”. Many Foreign Jurisdictions offer Golden Passports that can be obtained via Citizenship by Investment (CBI) and Residence by […]
Actualización de noticias sobre impuestos para los Contribuyentes Estadounidenses que viven en el Extranjero
Actualización de noticias sobre impuestos para los Contribuyentes Estadounidenses que viven en el Extranjero was published by JD Supra on 2/5/19. Pasaporte La capacidad del IRS para negar o revocar los Pasaportes de los Contribuyentes con “deuda tributaria gravemente morosa mayor de $50,000” es un problema abrumante que actualmente enfrentan los Contribuyentes de los Estados […]
U.S. Taxpayers living Abroad – Tax News Update
Tax News Update for U.S. Taxpayers living Abroad was published by JD Supra on 2/5/19. Passport The IRS ability to deny or revoke the Passports of Taxpayers with “seriously delinquent tax debt greater than $50,000” is a distressing problem currently being encountered by U.S. Taxpayers. The IRS is authorized to certify a Taxpayer’s seriously delinquent […]
¿Es hora de que las Instituciones Financieras Extranjeras contraten Representación ante el IRS?
¿Es hora de que las Instituciones Financieras Extranjeras contraten Representación ante el IRS? was published by JD Supra on 2/5/19. El Oficial Responsable (“RO”) de una Institución Financiera Extranjera Participante (“PFFI”) o una Institución Financiera Extranjera (“FFI”) Modelo 2 de Reporte estuvo obligado a presentar la Certificación FATCA de la FFI de las Cuentas Preexistentes […]
