The ACFCS FATCA IGA Scoreboard – Italy joins the ranks

by  Posted bydiana.labori@cerifi.com -

As the July 1st FATCA deadline looms in just 138 days, institutions are entering the final countdown before the landmark tax information reporting dragnet comes into effect. The US Treasury Department is still actively courting other nations to sign on as FATCA partners through “Intergovernmental Agreements,” or IGAs. With Canada and Hungary joining the ranks of FATCA partners over the past two weeks, 21 nations have now agreed to cooperate with the US on the law’s implementation and enforcement.

During the first week of February, the US signed Model I agreements with Canada and Hungary. Canada signed a reciprocal Model I IGA, meaning that US institutions will now have obligations to report certain information on accounts they hold for Canadian persons to the IRS, which will then pass it on to that country’s tax authorities. Canada’s IGA is particularly notable for US institutions, as large numbers of Canadian persons hold accounts within the US.

Between December of last year and January of this year, the US signed a record 7 IGAs. Three were with the British islands known as Crown dependencies – Guernsey, Jersey and the Isle of Man. In mid-December, the US Treasury Department announced signed agreements with Malta, the Netherlands and Bermuda, and late last month Italy inked a reciprocal Model 1 agreement. 19 jurisdictions have chosen Model I agreements, and 3 nations have chosen Model II agreements.

This ACFCS FATCA United States IGA Scoreboard will continually update the status of nations that have signed IGAs, entered meaningful negotiations with the US, or remain nowhere close to common ground on FATCA.

Nations That Signed IGAs with the US as of February 11, 2014

Model 1 IGAs

  1. Canada (February 05, 2014)
    http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Canada-2-5-2014.pdf
  2. Cayman Islands (November 29, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FINAL%20US%20-%20Cayman%20Islands%20-%20Cayman%20alternat.pdf
  3. Costa Rica (November 26, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Costa-Rica-11-26-2013.pdf
  4. Denmark (November 19, 2012) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Denmark-11-19-2012.pdf
  5. France (November 14, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/BilateralAgreementUSFranceImplementFATCA.pdf
  6. Germany (May 31, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Germany-5-31-2013.pdf
  7. Guernsey (December 13, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Guernsey-12-13-2013.pdf
  8. Hungary (February 4, 2014) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Hungary-2-4-2014.pdf
  9. Ireland (January 23, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Ireland-1-23-2013.pdf
  10. Italy (January 10, 2014) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Italy-1-10-2014.pdf
  11. Isle of Man (December 13, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Isle-of-Man-12-13-2013.pdf
  12. Jersey (December 13, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Jersey-12-13-2013.pdf
  13. Malta (December 16, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Malta-12-16-2013.pdf
  14. Mexico (November 19, 2012) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Mexico-11-19-2012.pdf
  15. Netherlands (December 18, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Netherlands-12-18-2013.pdf
  16. Norway (April 15, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Norway-4-15-2013.pdf
  17. Spain (May 14, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Spain-5-14-2013.pdf
  18. United Kingdom (September 12, 2012) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-UK-9-12-2012.pdf

Model 2 IGA

  1. Bermuda (December 19, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Bermuda-12-19-2013.pdf 
  2. Japan (June 11, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Statement-Japan-6-11-2013.pdf
  3. Switzerland (February 14, 2013) http://www.treasury.gov/resource-center/tax-policy/treaties/Documents/FATCA-Agreement-Switzerland-2-14-2013.pdf

Next Likely FATCA US IGA Signatories
    (Ongoing Negotiations)

IGA Negotiations Underway

  1. Argentina
  2. Australia
  3. Bahamas
  4. Belgium
  5. Cyprus
  6. Estonia
  7. Finland
  8. Israel
  9. Jamaica
  10. Liechtenstein
  11. Luxembourg
  12. Malaysia
  13. Netherlands
  14. New Zealand
  15. Singapore
  16. Slovak Republic
  17. South Africa
  18. South Korea
  19. Sweden
  20. Thailand
  21. United Arab Emirates

Editor’s Note: Nations that sign FATCA “Intergovernmental Agreements” with the United States adopt Model I or Model II versions. Respectively, they establish procedures by which “Foreign Financial Institutions” (FFI) report financial account and tax information about US persons to the pertinent local authority, which transmits the information to the IRS, or, under a Model II agreement, an FFI reports directly to the IRS.

The IRS has established a FATCA online “Portal” by which FFIs may register and indicate their willingness to comply. The IRS will issue to registered FFI a “Global Intermediary Identification Number” (GIIN). FFIs must have this number to submit account and tax information about their US customers to the IRS.