FATCA Guidance for Qualified Intermediaries, Withholding Partnerships, Trusts Is Updated

The Internal Revenue Service has offered more guidance to qualified intermediaries, withholding foreign partnerships and withholding foreign trusts under the Foreign Account Tax Compliance Act.

The IRS on April 24 updated its set of frequently asked questions and answers to clarify requirements as a July 1 deadline approaches for the first wave of reporting and withholding under FATCA.

IRS said QIs, WPs and WTs can have responsible parties different from the officer responsible for a financial institution’s certification and registration.

Enacted in 2010 to curb tax evasion, the statute requires foreign financial institutions (FFIs) to report U.S.-owned accounts to the ...