Have you got the X-FATCA?

KEY POINTS

• All UK entities may be subject to the tax information exchange regimes.
• Definition of a financial institution.
• Active or passive non-financial entities must also comply with the legislation.
• Differences between the different regimes.

Many smaller entities appear to believe that the FATCA and common reporting standard legislation relates only to large traditional financial organisations with US investments and can be safely ignored.

However many trusts and personal investment companies will also be caught by the definition of financial institution. They have to register and report regardless of whether they have US investments or for the common reporting standard US account holders. Even when a trust or personal investment vehicle is not a financial institution it may find that financial information about shareholders and beneficiaries is being reported to...