Sat, Nov 29, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Compliance and legal firms examine implications of FATCA

Tuesday, July 31, 2012

From Komfie Manalo, Opalesque Asia: The Foreign Account Tax Compliance Act also known as FATCA, is a U.S. tax legislation that was enacted in 2010 and due to come into force on January 1, 2013. Among other things, the purpose of FATCA is to compel non-U.S. banks, financial intermediaries, investment vehicles and certain insurance companies or Foreign Financial Institutions to report information on accounts held by U.S. persons to the IRS.

International law firm Clifford Chance on Tuesday issued a paper to give industry players a comprehensive look into the proposed FATCA regulations.

According to the law firm, the U.S. Treasury Department and the U.S. Internal Revenue Service recently published proposed regulations implementing FATCA which provide guidance on how the IRS will apply new U.S. tax compliance rules beginning in 2014 to non-U.S. banks, financial intermediaries and investment vehicles.

FATCA imposes a 30% withholding tax on certain payments to FFIs that do not enter into a formal agreement with the IRS. The withholding tax also is imposed on payments to certain persons that refuse to provide identifying information or waive the benefit of customer privacy laws that would prevent reporting to the IRS under an FFI Agreement.

Shane Brett, managing director at Global Perspectives, borrowed the label 'FAT CAT’ f......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Unlucky Paulson & Co. rebrands $1.6bn Recovery Fund after 13% drop[more]

    From Businessweek.com: A maturing U.S. economic recovery is prompting Paulson & Co. to change course. The $19 billion hedge fund firm, led by billionaire John Paulson, told investors on a conference call this month that the Paulson Recovery Fund will be renamed Paulson Special Situations Fund on Jan

  2. Opalesque Roundtable: Islamic Finance races ahead with Sukuk, the first managed account platform, and foreign demand[more]

    Komfie Manalo, Opalesque Asia: A number of developments took place within Islamic finance in the past years, including the launch of a Islamic managed account platform and the further growth of the sukuk space that saw this instrument evolve from being a type of an ABS security that was rarely

  3. Fund Profile - A complex hedge fund strategy works for United Technologies[more]

    From Institutionalinvestor.com: Reports that portable alpha is dead have been greatly exaggerated, as Mark Twain might have phrased it. Another Connecticut Yankee, giant United Technologies Corp., is gearing up to grow its successful, nearly decade-long portable-alpha program. The UTC strategy took

  4. Opalesque Exclusive: The unintended consequences of Basel III[more]

    Benedicte Gravrand, Opalesque Geneva: Bijesh Amin, co-founder and managing director of Indus Valley Partners (IVP), a technology solutions and services firm focused on the alternative asset management industry, has recently observed

  5. Legal - Six years after AIG takeover, lawsuit reveals another potential buyer[more]

    From Institutional investor.com: When former Treasury secretary Henry (Hank) Paulson Jr. testified in a suit last month about the U.S. government takeover of American International Group, his words were — mostly — numbingly familiar. Explaining the “punitive” terms set for the September 2008 bailout