FATCA question

[jimdandy33]

So I've been reading up on FATCA, and I've come across some language in the law that is interesting. Basically, (and please correct me if I'm wrong, I'm certainly not an expert that's why I'm asking here) when you open a foreign business bank account as a US citizen, you are not strictly required to fill out the FATCA forms, but if you refuse your account automatically becomes "reportable" and the bank will report everything to the IRS.

But it seems like if you do indeed sign all the FATCA paperwork, there are cases where your business bank account would fall in a "non-reportable" category. First of all, is this true? Second of all, are there certain industries/operations that would cause your business bank account to become reportable?

Appreciate any insight here, thank you

 

[Martin Everson]

So I've been reading up on FATCA, and I've come across some language in the law that is interesting. Basically, (and please correct me if I'm wrong, I'm certainly not an expert that's why I'm asking here) when you open a foreign business bank account as a US citizen, you are not strictly required to fill out the FATCA forms, but if you refuse your account automatically becomes "reportable" and the bank will report everything to the IRS.

Maybe you can quote which part of the FATCA agreements you are referencing to make your point.

But it seems like if you do indeed sign all the FATCA paperwork, there are cases where your business bank account would fall in a "non-reportable" category. First of all, is this true? Second of all, are there certain industries/operations that would cause your business bank account to become reportable?

Again please explain which sections you are referring to. The FATCA agreements are below so please give a specific example as to whether its Model 1 or 2 and with which country.

https://home.treasury.gov/policy-issues/tax-policy/foreign-account-tax-compliance-act
In any case what are you trying to ultimately achieve here?

Appreciate any insight here, thank you

You would do well to seek professional advice when it comes to anything US FATCA related unfortunately.

 

[Xshore]

But it seems like if you do indeed sign all the FATCA paperwork, there are cases where your business bank account would fall in a "non-reportable" category.

Try look for a bank that let you refuse to sign the FATCA paperwork...