Sat, Feb 13, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

The IRS postpones FATCA and meets a mixed response

Friday, October 26, 2012

Beverly Chandler, Opalesque London: News that the IRS is postponing its Foreign Account Tax Compliance Act (FATCA) -related deadlines to a staggered start between January 1st 2014 and January 1st 2017 has been met with a mixed response. Jim Muir, director of AutoRek, a financial services data reconciliation firm, commented : "It may be considered a good thing for the authorities to be seen as listening to industry feedback. However, good, well-intended regulation, such as FATCA, should not be postponed simply because institutions are in a state of poor preparedness. In this case, the perception in the public eye may be that the regulators and authorities are simply too soft on banks and other financial institutions who have had quite some time to get ready for FATCA."

FATCA has caused consternation through the hedge fund industry, with speakers at the recent Opalesque New York Roundtable describing it as a 'train wreck’with Joe Taussig of Taussig Capital saying: "Tax revenues for the US from FATCA will be somewhere in the order of $7-10 billion, and compliance could cost $1 trillion a year. There are over 100,000 financial institutions in the world that will be daisy chained in this thing."

It is believed that the IRS is delaying FATCA implementation because of feedback that complying with the original deadlines is proving impractical. AutoRek’s Muir said: "What FATCA has achieved th......................

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. Investing - Real estate secondaries sole 'bright spot' in 2015, As hedge funds stumble, one firm prepares to buy illiquid stakes[more]

    Real estate secondaries sole 'bright spot' in 2015 From IPE.com: The secondary market for property was the sole “bright spot” over the course of 2015, as hedge fund secondaries saw deals fall by two-thirds, according to a wide-ranging survey of the market. Setter Capital said 2015 saw th

  2. Asia - Hedge fund manager Kyle Bass estimates China's foreign reserves below critical level[more]

    From Nasdaq.com: Investor Kyle Bass stepped up his attack on China's currency, arguing in an investor letter distributed Wednesday that the second-largest economy's foreign reserves are "already below a critical level." The comments mark the latest effort by hedge funds and other investors to raise

  3. Investing - Some hedge funds want to make subprime auto loans next big short, 11 hedge funds that are “all in” on the FANG stocks, Hedge funds short London luxury homes, Cynet raises $7 million from U.S. hedge fund[more]

    Some hedge funds want to make subprime auto loans next big short From Bloomberg.com: A group of hedge funds, convinced they have found the next Big Short, are looking to bet against bonds backed by subprime auto loans. Good luck finding a bank willing to do the trade. Money manage

  4. Investing - Hedge funds see selloff in European bank stocks as buying opportunity[more]

    From WSJ.com: The massive selloff in European bank stocks and bonds is overdone and presents a “phenomenal” buying opportunity, according to some of Europe’s top hedge-fund managers. Despite a 28% slump in European bank stocks this year, including a 38% fall in Deutsche Bank AG and a 34% drop in Soc

  5. Legal - Carlyle accused of fraud by ex-employee, Hedge funds win CDS breach of contract suit against Deutsche Bank, Hedge fund asks for OK on $27.5m Goldman CDO deal, SFO examines Barclays hedge fund profits[more]

    Carlyle accused of fraud by ex-employee From AI-CIO.com: A former portfolio manager claims he was fired for blowing the whistle on “crazy” and “irresponsible” investments. Carlyle Group has been sued by a former portfolio manager for one of its hedge funds, who accused the firm of “knowi