IRS Issues New Guidance to Ease FATCA Reporting, Compliance for FFIs

For over 50 years, Bloomberg Tax’s renowned flagship daily news service, Daily Tax Report® has helped leading practitioners and policymakers stay on the cutting edge of taxation and...

New IRS guidance is expected to ease some of the compliance burdens for foreign financial institutions and withholding agents seeking to comply with the July 1 implementation date of the Foreign Ac
count Tax Compliance Act.

In Revenue Procedure 2014-38, issued June 24, the Internal Revenue Service said foreign institutions will no longer need to perform duplicative reporting of substantial U.S. owners when a participating FFI receives payments as an intermediary on behalf of a passive non-financial foreign entity.
The Service will also allow intermediaries that are participating foreign institutions to allocate payments to documented account holders that are exempt from reporting and withholding.


Request Daily Tax Report