India amends due diligence process by releasing a list of jurisdictions where passive non-financial entities will not be considered as regulated under FATCA

On 5 November 2018, the Indian Central Board of direct taxes issued a “Notification no. 78/2018”, which sets out a list of specific jurisdictions that will not be considered for the purposes of determining a “Passive non-financial entity” as regulated in sub-clause (ii) of clause (D) of the Explanation to clause (6) of Rule 114F of the Income tax rules, 1962. The list contains 87 countries (Link).

The related Rule 114F, describing due diligence requirements under the Foreign Account Tax Compliance Act (“FATCA”) in India can be found on the website of the Indian Income Tax Department (Link).

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