FATCA resource library
Foreign Account Tax Compliance Act
On February 20, 2014, the U.S. Department of Treasury and the Internal Revenue Service released temporary regulations that revise and clarify the final FATCA regulations. The government also released temporary regulations coordinating the final regulations under Chapters 3 and 61 of the Internal Revenue Code with the final FATCA (Chapter 4) regulations.
The new rules do not provide any further extensions to the effective date of FATCA, or to the required timeframes in which an Foreign financial institution (FFI) that has entered into an FFI Agreement (a “participating FFI” or “PFFI”) must comply with the due diligence, withholding or reporting obligations under the that agreement. The effective date for FATCA compliance remains July 1, 2014.
Deloitte’s latest point of view
An in-depth analysis of the Temporary and Final FATCA Regulations incorporating Notice 2014-33
On February 20, 2014, the U.S. Treasury and Internal Revenue Service released temporary regulations that revise the Foreign Account Tax Compliance Act (FATCA) regulations (temporary FATCA regulations). Concurrently, the Treasury and IRS also released new temporary regulations coordinating the existing regulations under Chapters 3 and 61 and Section 3406 of the Internal Revenue Code (the Code) with the final and temporary FATCA regulations. These coordination regulations were issued as both temporary and regulations, meaning they are in effect immediately as final regulations for a temporary period of three years, but also serve as proposed final regulations subject to commentary and revision before they can become final.
This point of view is an in-depth analysis of the Temporary and Final FATCA Regulations incorporating Notice 2014-33. The analysis addresses the following topics:
- Overview and history of FATCA
- Withholdable payments under FATCA
- Entity classification
- USWA requirements
- FFI requirements
- Administrative considerations
Details to bulleted highlights are included in downloadable Deloitte’s point of view.
Foreign Financial Institution Registration
Under the final FATCA regulations, all FFIs are required to register with the IRS. The FFI Registration System will be open from August 19, 2013 through April 25, 2014 to register and obtain a Global Intermediary Identification Number (“GIIN”) Deloitte delivers a wide range of compliance and advisory services to organizations with FFIs, including assistance with entity registration requirements.
Who can benefit?
Any organization that has identified FFIs in their structure can benefit from services available to facilitate compliance:
- Multinational financial services companies
- Non-FSI companies: A foreign entity acting as a holding company, treasury center or captive finance company would generally fall within the definition of an FFI.
- Companies with small staffed back offices, or whose compliance team is currently utilized.
- Companies that do not want to incur training for staff for a one-time project.
Deloitte’s perspective on the updated FATCA and coordination regulations
In this point of view, we discuss some of the most significant final FATCA regulations updates and also some of the noteworthy coordinating changes to Chapters 3 and 61, and other related provisions.
- Coordination Regulations of Chapter 3, 4 and 61
- Updated FATCA Regulations (Temporary Regulations)
Initial point of view
In this initial analysis, we highlight some of the most significant updates made to the final FATCA regulations and also some of the noteworthy coordinating changes to Chapters 3 and 61 and other related provisions.
- Modifications to definitions affecting classification of entities
- Expanded affiliated group also redefined
- Other definitional and interpretive changes
- Due Diligence
- FFI Agreement
- Coordination Regulations
- Future Guidance
Dbriefs webcast slides
Presentation from “Updated FATCA and Coordination Regulations” webcast
Dbriefs special edition webcast
March 3, 2014, Deloitte hosted a Dbriefs special edition webcast focusing on the changes and updates in the regulations.
- Specific changes reflected in the revised final regulations and coordination regulations
- Implications for U.S. and foreign financial institutions
- Implications for U.S. and foreign non-financial services organizations
- Steps to consider in addressing FATCA compliance in light of the new regulations
Presentation slides are available for download.