All UK entities—whether or not they have U.S. connections—need to consider how information sharing agreements can apply to them.
The Foreign Account Tax Compliance Act (FATCA) is U.S. tax legislation designed to compel non-U.S. financial institutions to report certain information about U.S. account holders to the U.S. tax authorities. The UK, as have a large number of other countries, has entered into an intergovernmental agreement (IGA) with the United States to introduce FATCA-like rules into UK domestic law.
As a result of the many information sharing agreements between tax authorities, UK entities may receive requests from their banks, custodians or other financial institutions asking for their status under one of these information sharing agreements. Therefore, all UK entities—regardless of whether they have any U.S. connections or not—need to consider how these agreements apply to them.
Read a May 2015 report prepared by the KPMG member firm in the UK: Weekly Tax Matters (8 May 2015)
Other topics discussed in this KPMG report concern:
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