Global

Details

  • Service: Tax, International Corporate Tax, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 10/25/2012

United States - FATCA due diligence guidance, timelines 

October 25:  The IRS issued an advance copy of Announcement 2012-42 which provides:
  • Timelines for withholding agents and foreign financial institutions (FFIs) to complete due diligence and other requirements
  • Additional guidance concerning gross proceeds withholding and the status of certain instruments as grandfathered obligations under sections 1471 through 1474

The IRS announcement (released 24 October 2012) states that the IRS and Treasury Department intend to incorporate these rules in final regulations under sections 1471 through 1474.


Text of the announcement: Announcement 2012-42 [PDF 45 KB]


Announcement 2012-42 also includes a table summarizing:


  • The dates by which withholding agents and financial institutions must fully implement new account opening procedures to identify account holders
  • The dates by which withholding agents and financial institutions must complete the review and documentation of all preexisting accounts for purposes of applying the relevant regulations

Read an October 2012 report prepared by the KPMG member firm in the United States: Announcement 2012-42 - FATCA timelines for due diligence, other requirements




©2012 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.


The KPMG logo and name are trademarks of KPMG International.


KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever.


The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.


Direct comments, including requests for subscriptions, to go-fmtaxnewsflash@kpmg.com.
For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at:

+ 1 202 533 4366

1801 K Street NW
Washington, DC 20006.

 

Share this

Share this

Subscribe

Subscribe to receive the latest TaxNewsFlash email alerts (you must select the option for TaxNewsFlash)


Already a Subscriber? Login


Not a member? Subscribe now

Contact us