Singapore Released Its FATCA Reporting Nil Paper Form
Singapore released its FATCA reporting nil paper form today.
The Inland Revenue Authority of Singapore (IRAS) requires nil reporting under FATCA. Nil reporting can be accomplished through a paper form rather than through a complex electronic reporting process.
US Reportable Accounts and Nil Reporting
Under the IRAS FATCA Regulations, a Reporting FI is required to submit an annual return to IRAS setting out the required information in relation to (1) every US Reportable Account and (2) all payments made to each nonparticipating financial institution (NPFI).
Additionally Singapore FIs that did not maintain any US Reportable Accounts and did not make payment to any NPFI are required to provide a nil return.
Singapore Uses IRS IDES Portal
Most Model 1 jurisdictions have created their own FATCA reporting portals. However, Singapore collaborated with the US IRS to establish an electronic reporting process that relies on the IRS International Data Exchange Service (IDES).
If a Singapore FI has reportable accounts, it must file its FATCA reports through IDES. However, if the Singapore FI is only required to file a nil return, it may do so either by (1) preparing a FATCA reporting packet and transmitting it through IDES, or (2) by completing a paper FATCA Nil Return and mailing it to IRAS.
Paper Filing Better Option
The paper filing option provides a Singapore FI an efficient lower cost way to complete its nil reporting. It is possible to avoid the complex reporting process of preparing FATCA reporting data in XML format, enrolling with the IRS IDES system, and transmitting the packet to IDES.
The FATCA Return Filing for the Reporting Year 2016 will commence on April 15, 2017 and the deadline for filing is May 31, 2017.