Go to Investment Europe homepage
  • Register for Investment Europe
  • Join Investment Europe’s LinkedIn group
  • Follow Investment Europe on Twitter
  • Investment Europe on your mobile
  • Investment Europe RSS feeds

US Treasury releases second model Fatca IGA

  • By: Jonathan Boyd
  • 16 Nov 2012
  • Be the first to comment

The US Treasury has published a second model document to serve as the basis of additional Intergovernmental Agreements (IGAs), which are required in order for the Foreign Account Tax Compliance Act (Fatca) to work in practice.

Officially called the Model Intergovernmental Agreement for Cooperation to Facilitate the Implementation of FATCA (Model 2), the latest update follows ongoing negotiations with a number of concerned jurisdictions, which would be affected by Act's requirement for financial institutions to report directly to the US tax authority, the IRS, information on accounts held by US "persons".

The Model 2 outlines definitions of expressions used in the proposed IGA - such as the FFI Agreement, which requires foreign financial institutions to report to the IRS, as well as defining who is an "Account Holder", and the all-important definition of a "US Person" affected by the Act's provisions.

The Model 2 notes the requirement for FFI's to register with the IRS by 1 January 2014, in respect of due diligence, reporting and withholding requirements, as well as the 2015 and 2016 requirements for so-called Nonparticipating Financial Institutions to report to the IRS, which then has the option of demanding more information.

To view the full Model 2 document, click here: Fatca Model 2 Agreement to Implement


Visitors Comment

blog comments powered by Disqus



European map
Benelux France Iberia Italy Germany Switzerland Austria Emerging Europe Scandinavia UK Ireland

Print Edition



AB's Phelps to speak on concentrated portfolios in Hamburg

Mark Phelps, head of Concentrated Global Growth at AB, will join InvestmentEurope's Pan-European Fund Selector Summit in Hamburg.


M&G's Richard Halle and Daniel White to speak in Hamburg

Richard Halle and Daniel White are set to take part in the InvestmentEurope Autumn Pan-European Fund Selector Summit, which takes place in Hamburg 15-17 October.