Skip to content

menu

HomeAboutContact
Fox Rothschild LLP logo
Subscribe
Search
Close

Tax Controversy & Financial Crimes Report

Home » Blog » Treasury/IRS Issue Proposed Regulations to Ease FATCA Compliance Burdens

Treasury/IRS Issue Proposed Regulations to Ease FATCA Compliance Burdens

By Matthew D. Lee on December 13, 2018

In response to Executive Orders requiring a broad federal review of existing regulations, Treasury and IRS issued this morning proposed regulations easing certain compliance burdens imposed on foreign financial institutions and withholding agents by the Foreign Account Tax Compliance Act (FATCA) regime.

The proposed regulations would eliminate withholding on payments of gross proceeds, defer withholding on foreign passthru payments, eliminate withholding on certain insurance premiums, and clarify the definition of investment entities. They also provide guidance on certain due diligence requirements of withholding agents and clarify procedures for refunds and credits of amounts withheld.

The announcement notes that Treasury and the IRS have received substantial comments from stakeholders about the mammoth compliance burdens imposed by the FATCA regime, and that given the high level of FATCA compliance worldwide that has been achieved to date, some of the more onerous FATCA regulatory requirements can be eased. Foreign financial institutions and withholding agents will no doubt welcome these proposed regulations.

We will publish additional analysis of the proposed regulations in future posts.

For more up-to-date coverage from Tax Controversy and Financial Crimes Report, please subscribe by clicking here.

Posted in Foreign Account Tax Compliance Act (FATCA)
Print:
Email this postTweet this postLike this postShare this post on LinkedIn
Related Posts
Matthew D. Lee Authors 2024 Update to FATCA Answer Book
October 30, 2023
Matthew D. Lee Authors 2020 Update to FATCA Answer Book
July 15, 2020
IRS Grants Financial Institutions Temporary Reprieve from FATCA Obligations Due to COVID-19
May 2, 2020

Subscribe to Tax Controversy & Financial Crimes Report

Subscribe to this blog

Tax Controversy & Financial Crimes Report

The Fox Legal Network
Fox Rothschild LLP logo
Subscribe to this blog via RSS Follow Us on Twitter View our LinkedIn Profile
Privacy NoticeTerms of Use

About Our Firm

Fox Rothschild LLP is a national law firm of 1000 attorneys in offices throughout the United States. We’ve been serving clients for more than a century, and we’ve been climbing the ranks of the nation’s largest firms for many years, according to both The Am Law 100 and The National Law Journal.

Read More About Our Firm

Categories

Archives

Copyright © 2025, Fox Rothschild LLP. All Rights Reserved. Attorney Advertising.
Law blog design & platform by LexBlog LexBlog Logo