U.S. Signs Intergovernmental FATCA Pacts With Cayman Islands, Costa Rica

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...

The U.S. has signed intergovernmental agreements (IGAs) to implement the Foreign Account Tax Compliance Act with both the Cayman Islands and Costa Rica—the first FATCA pacts in the Caribbean and Central America, the U.S. Treasury Department announced.
Deputy Secretary for International Tax Affairs Robert B. Stack said Nov. 29 the development marks a milestone in the effort to promote global tax transparency. “These agreements underscore growing international cooperation in the effort to end tax evasion everywhere.”
Enacted in 2010, FATCA seeks to obtain information on accounts held by U.S. taxpayers in other countries. It requires U.S. financial institutions to withhold a portion of payments made to foreign financial institutions (FFIs) that do not agree to identify and report information on U.S. account holders.

For full access to this article, please register for a free trial to Daily Tax Report® .  


Request Daily Tax Report