News

In Notice 2016-8, the IRS announced that the Treasury Department and the Internal Revenue Service intend to amend the regulations under chapter 4 in order to modify the date for submitting to the IRS the preexisting account certifications required for Reporting Model 2 FFIs.

On December 16, 2015, the Swiss Bankers Association (SBA) published two specimen versions of the “Similar Agreed Form” (password required) in order to inquire the FATCA status of business accounts and documentation of controlling persons of a passive NFFE.

The Swiss Bankers Association assessed the situation regarding Form R accounts of lawyers and solicitors/law firms and notary’s offices, which have been opened before July 1, 2014.

The new QI Agreement, which went into effect on July 1, 2014 largely unnoticed, contains changes which could have a significant impact of the cost of your compliance with the agreement.

On March 24, 2015 the IRS announced that, with respect to calendar year 2014, Model 2 FFIs that have to report Non-Consenting U.S. Accounts will not be treated as being in significant non-compliance under their applicable Model 2 IGAs as long as they are making good faith efforts to comply with their reporting obligations and reporting is completed within 90 days after the applicable filing deadline, including any extensions already granted.

The IRS specified which entities are required to submit a Nil report to the IRS for FATCA reporting purposes. Accordingly only Direct Reporting Non-Financial Foreign Entities (NFFE) have to submit a Nil report to the IRS. For all other entities, the submission of a Nil report is optional.

According to the Swiss Bankers Association, each Swiss Financial Institution that is currently acting as QI and/or QSL now requires an individual authorization under the Art. 271(1) of the Swiss Criminal Code from the Federal Department of Finance (EFD).