Cayman Extends US, UK FATCA Reporting Deadline
by Mike Godfrey, Lowtax.net, Washington
12 August, 2016
Cayman financial institutions will have longer to submit information required under the US Foreign Account Tax Compliance Act (FATCA) regime and the UK's equivalent arrangements.
The territory's Department for International Tax Cooperation confirmed that the deadline has been extended to September 2 from the original deadline of August 10. The extension is said to recognize issues encountered by users with the Cayman Islands' online portal.
FATCA, enacted by the US Congress in 2010, is intended to ensure that the US obtains information on accounts held abroad at foreign financial institutions (FFIs) by US persons. Failure by an FFI to disclose information on their US clients will result in a requirement to withhold 30 percent tax on payments of US-sourced income.
The UK has concluded an equivalent deal with its Crown Dependencies – Jersey, Guernsey, and the Isle of Man – and with its Overseas Territories: Anguilla, Bermuda, the British Virgin Islands, the Cayman Islands, Gibraltar, Montserrat, and the Turks & Caicos Islands.
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