Tax & Accounting Blog

FATCA: Switzerland and Japan sign statements for cooperation with the U.S. in FATCA implementation

FATCA: Switzerland and Japan sign statements for cooperation with the U.S. in FATCA implementation

The United States Treasury Department has issued a joint statement with Japan, and a joint statement with Switzerland, for intergovernmental cooperation in the implementation of the U.S. Foreign Account Tax Compliance Act (FATCA).   In both Japan and Switzerland, financial institutions may not be able to comply with all of the reporting, withholding and account closure … Read More

NEW W-8IMY FORM:  DRAFT RELEASED BY IRS

NEW W-8IMY FORM: DRAFT RELEASED BY IRS

The third in a series of revised Forms W-8 has been released, in draft form, by the IRS.  The draft Form W-8IMY, Certificate of Foreign Intermediary, Foreign Flow-Through Entity, or Certain U.S. Branches for United States Tax Withholding, is part of the process of making the W-8 series of forms serve for purposes of compliance … Read More

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FinCEN to Require Mandatory E-Filing of Forms, Temporarily Exempts FBARs

The Financial Crimes Enforcement Network (FinCEN) announced February 24, 2012 that it would begin requiring that the agency’s reports be filed electronically, although a temporary exemption would be provided for electronic filing of Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR), until July 1, 2013. This does not relieve individuals of … Read More

Final Regs Detail Bank Deposit Interest Reporting for Nonresident Aliens

Final Regs Detail Bank Deposit Interest Reporting for Nonresident Aliens

On April 17, 2012, the IRS issued final regs that require information reporting for interest on deposits maintained at U.S. offices of certain financial institutions and paid to nonresident alien individuals resident in countries with which the U.S. has in effect an information exchange agreement (as listed in Rev. Proc. 2012-24, which has been issued … Read More

New French Law on the Taxation of Trusts

New French Law on the Taxation of Trusts

On July 29, 2011, France enacted a new law on the taxation of trusts. Under the new law, a trustee must disclose certain information about the trust if the trust has a French settlor, beneficiary or French assets. The trustee must file the disclosure by June 15. The government was to provide further details on how to … Read More

Medicare Surtax on Net Investment Income Goes into Effect on January 1, 2013

Medicare Surtax on Net Investment Income Goes into Effect on January 1, 2013

Under the 2010 Health Care reform legislation, a Medicare tax will, for the first time, be applied to investment income beginning in 2013. A new 3.8% tax will be imposed on net investment income of single taxpayers with AGI above $200,000 and joint filers over $250,000. Net investment income is interest, dividends, royalties, rents, gross … Read More