FATCA - Model Intergovernmental Agreement Published Today
Today, the Treasury published the Model Intergovernmental Agreement on FATCA.Back in February this year, a joint statement was made between the US and the UK, Germany, France, Italy and Spain,
Today, the Treasury published the Model Intergovernmental Agreement on FATCA.
Back in February this year, a joint statement was made between the US and the UK, Germany, France, Italy and Spain, confirming that a common aproach would be adopted for FATCA compliance. This Model Agreement is that common approach and will be the basis for bilateral agreements between those participating countries and the US.
The aim is to allow, so far as concerns the UK, UK financial institutions to make FATCA-compliant information reports to HMRC, rather than having to make reports direct to the IRS. There had been various concerns about reporting direct to the US, including in relation to data privacy law. It also aims to simplify the reporting process of FATCA compliance and to provide for reciprocal information exchange.
We look forward to seeing the specific UK-US bilateral agreement, based on the Model Agreement, in due course.
We will review the Model Agreement and post our comments on the blog. In the meantime, here is a link to the Treasury announcement and the Model Agreement.
Back in February this year, a joint statement was made between the US and the UK, Germany, France, Italy and Spain, confirming that a common aproach would be adopted for FATCA compliance. This Model Agreement is that common approach and will be the basis for bilateral agreements between those participating countries and the US.
The aim is to allow, so far as concerns the UK, UK financial institutions to make FATCA-compliant information reports to HMRC, rather than having to make reports direct to the IRS. There had been various concerns about reporting direct to the US, including in relation to data privacy law. It also aims to simplify the reporting process of FATCA compliance and to provide for reciprocal information exchange.
We look forward to seeing the specific UK-US bilateral agreement, based on the Model Agreement, in due course.
We will review the Model Agreement and post our comments on the blog. In the meantime, here is a link to the Treasury announcement and the Model Agreement.