FATCA - What does it mean for financial services in The Bahamas?
British Colonial Hilton Nassau Time: 11:00 am - 2:00 pm
A seminar hosted by the Bahamas Institute of Financial Services (BIFS).
The Foreign Account Tax Compliance Act ("FATCA") was signed into law on March 18th, 2010, in the United States and will become effective January 1st, 2013, as a part of the Hiring Incentives to Restore Employment (“HIRE”) Act.
As an addition to the Internal Revenue Code, FATCA is aimed at implementing tax reporting and revenue monitoring mechanisms, which are designed to prevent the abuse and/or avoidance of taxation on income derived by US persons, particularly through the use of offshore accounts in financial centres, such as The Bahamas.
US taxpayers holding financial assets outside the US must report such assets to the IRS and foreign financial institutions (FFIs) must enter in disclosure compliance agreements with the U.S. Treasury. Non-financial foreign entities (NFFEs) are required to provide tax and client information on its substantial US owners. Those non-participating FFIs and NFFEs that do not comply with these statutory obligations are required to pay a 30% withholding tax on all US source income.
BIFS FATCA Seminar