On 16 February 2017, PwC’s CITT Compare Tool was updated to include updated content for Austria, Ireland, Singapore and the United Kingdom. Please take this opportunity to re-run reports for those countries and use the latest information within your projects.
On 14 February 2017, the FATCA FAQs – General from the Internal Revenue Service (“IRS”) were updated to include information to support QIs and QDDs in registering (Link). Namely, questions 10, 11, 12 and 13 have been updated to support users in understanding the QI/WP/WT registration process, particular for those which should also be treated as QDDs.
On 1 February 2017, the Mexican Tax Authority (Servicio de Administración Tributaria or SAT) announced a temporary extension to the FATCA reporting deadline for prior years. FATCA reports for 2014 and 2015 will now be considered as submitted on time if they are received by SAT on or before 31 March 2017. This means that Financial Institutions that were not able to report 2014 or 2015 FATCA information by the original deadlines (15 September 2015 and 15 August 2016, respectively), or those wishing to amend existing 2014 and 2015 FATCA reports, have until 31 March 2017, to do so.
The Mexican Tax Authority (Servicio de Administración Tributaria or SAT) has released an update to Anexo 25 de la Resolución Miscelánea Fiscal para 2016 (Anexo 25), the legislation that governs Foreign Account Tax Compliance Act (“FATCA”).
The new Anexo 25 contains some substantive changes to the additional provisions. These updates assist Financial Institutions (FIs) in Mexico with their implementation of FATCA and seek to align the additional provisions provided for FATCA with the additional provisions provided for the Common Reporting Standard (CRS)
The release of Anexo 25 followed the publication of a list of FATCA Frequently Asked Questions (FAQs) issued by the SAT which provided clarifications and guidance on:
The Mexican Tax Authority (Servicio de Administración Tributaria or SAT) has released an update to Anexo 25-Bis de la Resolución Miscelánea Fiscal para 2016 (Anexo 25-Bis), the legislation that governs the Common Reporting Standard (CRS). Anexo 25-Bis has been updated to provide additional clarify on the implementation requirements of the CRS by Financial Institutions (FIs) in Mexico and to address certain drafting inconsistencies identified in the initial Mexican CRS rules.
The release of the updated Anexo 25-Bis was complemented with the publication of CRS Frequently Asked Questions (FAQs) and incorporates commentary from the SAT that aligns Mexican CRS guidelines with the Organisation for Economic Co-operation and Development’s (OECD) rules to the extent possible. The clarifications and additions include:
On 30 December 2016, the Inland Revenue Authority of Singapore (“IRAS”) issued a notice (Link) notifying financial institutions that the implementation of Common Reporting Standard under The Income Tax (International Tax Compliance Agreements) (Common Reporting Standard) Regulations 2016 (“CRS Regulations”) (Link) will become effective on 1 January 2017.
In addition, on 31 January 2017, the IRAS announced (Link) that the Competent Authority Agreements for CRS with the United Kingdom, Japan, South Africa, Norway, Finland, the Netherlands, Iceland, Malta and Ireland have entered into force with the first reporting submission due by 31 May 2018.
On 23 December 2016, the Inland Revenue Authority of Singapore (“IRAS”) announced (Link) that it has concluded bilateral Competent Authority Agreements (“CAAs”) with New Zealand (Link). Under the Agreement, the IRAS will automatically exchange financial information of accounts in Singapore held by tax residents of New Zealand with the competent authorities of New Zealand for reciprocal information. The first submission by Singapore FIs is scheduled for 31 May 2018 under all existing CAAs with the first exchange between governments occurring by September 2018.
In February 2017, the Gouvernement Princier of Monaco released an FAQ on the automatic exchange of information for tax purposes in English (Link). The FAQs provide background on automatic exchange of information in Monaco as well as details regarding the scope of impacted institutions, reportable financial accounts, due diligence requirements and the reporting process.
On 10 February 2017, an update was released regarding the BVI Financial Account Reporting System (“BVIFARS”) containing the revised User Guide for the BVI Financial Account Reporting System (Link). This User Guide relates to U.S. FATCA only and not the Common Reporting Standard (“CRS”).
On 7 February 2017, Ukraine signed a Model 1 Intergovernmental Agreement (“IGA”) with the United States of America to improve international tax compliance and to implement FATCA (Link) (Link-Ukrainian).