On December 20, 2022, the Inland Revenue Authority of Singapore (IRAS) updated its FATCA Fillable PDF Form. Specifically, IRAS updated the form to include a drop down box allowing the filer to indicate which jurisdiction issued the TIN. This drop down box is located on page 2 of the form in “Section B. Account Holder or Payee Information.” The FATCA Return PDF form must be submitted electronically to IRAS through myTaxPortal (mytax.iras.gov.sg). The form cannot be printed and

Financial Institutions (FIs) around the world find themselves with terminated FATCA accounts. As a result their Global Intermediary Identification Numbers (GIINs) have been removed from the IRS FFI List and counterparties consider them to be Non-Participating Foreign Financial Institutions (NPFFIs). The costly outcome is that these FIs are subject to FATCA withholding. Although the IRS established a reinstatement process, the process is not working. FATCA Withholdable Payment

In October 2022, the Internal Revenue Service (IRS) issued a notice regarding the removal of Sponsored Entities from the IRS Foreign Financial Institution (FFI) List. According to the notice, the IRS identified registered Sponsoring Entities without any Sponsored Entities registered in the FATCA Registration System. The IRS concluded a Sponsoring Entity without a listed Sponsored Entity is not performing the obligations of a Sponsoring Entity. The IRS will be posting a messag

On October 27, 2022, the British Virgin Islands International Tax Authority (BVI ITA) announced the US$185.00 portal registration fee will start in the first quarter of 2023. The updated BVI Financial Account Reporting System (BVIFARS) is scheduled to go live before the end of Q1 2023. The fee will be charged for each entity which is required under BVI law to register in the BVI Financial Account Reporting System (BVIFARS). Entities register in BVIFARS to comply with BVI repo

The Bahamas Competent Authority announced the FATCA and Common Reporting Standard (CRS) portal will open for FATCA and CRS registration and submissions on Tuesday, November 1, 2022 at 9 AM EST. The portal will close on Friday, November 25, 2022 at 5PM EST. This is a good opportunity for Financial Institutions (FIs) with FATCA and CRS reporting obligations that missed the August 26, 2022 portal deadline and for updating any changes related to internal staffing. Once the port

On September 29, 2022, the Financial Crimes Enforcement Network (FinCEN) issued a final rule establishing a beneficial ownership information reporting requirement, pursuant to the U.S. Corporate Transparency Act (CTA). U.S. Corporate Transparency Act The U.S. Corporate Transparency Act (“CTA”) was enacted on January 1, 2021. On December 8, 2021, the Financial Crimes Enforcement Network (FinCEN) issued proposed regulations. The new reporting regime will require certain domesti

The IRS announced the Public Key for FATCA filing will expire on October 14, 2022. For those financial institutions (FIs) who submit their FATCA reporting directly to the U.S. Internal Revenue Service (IRS), it is critical to determine if you have downloaded the IRS’ new public key and checked to see if your digital certificate is current. What Is IDES? Certain FIs transmit data directly to the IRS through the International Data Exchange Service (IDES). https://www.irs.gov/bu

The South Dakota Trust Association is hosting its sixth annual Fall Forum on October 6 & October 7, 2022 at Sioux Falls Convention...

The British Virgin Islands (BVI) International Tax Authority (ITA) recently reminded Financial Institutions (FIs) that the BVI Mutual Legal Assistance (Tax Matters) Act (MLA) requires that a BVI FI’s registered Primary User must have a permanent position within the FI. The MLA permits the FI to use an agent to undertake the FI’s CRS duties and obligations but this agent can only be a Secondary User not the Primary User in the BVI Financial Account Reporting System (BVIFARS) p

On September 7, 2022, Jimmy Kirby, Acting Deputy Director of the Financial Crimes Enforcement Network (FinCEN) spoke at the 2022 Federal Identity Forum & Exposition (FedID). Mr. Kirby discussed the importance of digital identity to FinCEN focusing on emerging threats, responsible innovation, and expansion of partnerships and feedback loops. https://www.fincen.gov/news/speeches/prepared-remarks-fincen-acting-deputy-director-jimmy-kirby-during-2022-federal What Is FinCEN? The

The British Virgin Islands (BVI) International Tax Authority (ITA) recently announced legislative amendments which require a Financial Institution (FI) to establish and maintain adequate systems and controls for ensuring compliance with the requirements and obligations under The Mutual Legal Assistance Act. As part of these requirements, all legal entities must have a compliance procedures manual established and implemented by December 31, 2023. BVI Legislation The BVI update

On July 6, 2022, five U.S. agencies responsible for various aspects of the U.S. financial industry issued a "Joint Statement on the Risk-Based Approach to Assessing Customer Relationships and Conducting Customer Due Diligence". The five agencies are: Board of Governors of the Federal Reserve System Federal Deposit Insurance Corporation Financial Crimes Enforcement Network National Credit Union Administration Office of the Comptroller of the Currency The agencies reinforced "a

We have come to expect that the U.S. Internal Revenue Service (IRS) will send the FATCA Responsible Officer (RO) an email to alert the RO a message has been posted on the IRS FATCA portal message board. However, in some circumstances, the IRS will only send a message to a Point of Contact (POC) not the RO. What Is a “Responsible Officer”? An RO is the individual in charge of overseeing a Participating Foreign Financial Institution’s (PFFI’s) compliance with the terms of the I

On February 11, 2022, the British Virgin Islands International Tax Authority (BVI ITA) announced it will be establishing a registration fee of US$185.00 effective September 1, 2022. On May 18, 2022, the BVI ITA issued a Bulletin to inform entities the portal fee will be implemented later this year and not September 1, 2022, as previously announced. The fee will be charged for each entity which is required under BVI law to register in the BVI Financial Account Reporting System

On May 19, 2022, Alessio Evangelista, Associate Director of FinCEN’s Enforcement and Compliance Division spoke at the Chainalysis Links Conference . Mr. Evangelista emphasized the large amount of information available to Virtual Asset Service Providers (VASPs) and suggested “VASPs proactively adopt and uphold high standards for compliance.” What Is FinCEN? The U.S. Financial Crimes Enforcement Network (FinCEN) is a bureau of the U.S. Department of the Treasury. FinCEN’s goal

On April 28, 2022, the Acting Director of the Financial Crimes Enforcement Network (FinCEN) provided the U.S. House of Representatives Committee on Financial Services an update on a variety of issues including the new U.S. beneficial owner registry. U.S. Corporate Transparency Act The U.S. Corporate Transparency Act (“CTA”) was enacted on January 1, 2021. On December 8, 2021, the Financial Crimes Enforcement Network (FinCEN) issued proposed regulations. FinCEN received over