Information For...

For you and your family
Standard mileage and other information

Forms and Instructions

Individual Tax Return
Instructions for Form 1040
Request for Taxpayer Identification Number (TIN) and Certification
Request for Transcript of Tax Return

 

Employee's Withholding Allowance Certificate
Employer's Quarterly Federal Tax Return
Employers engaged in a trade or business who pay compensation
Installment Agreement Request

Popular For Tax Pros

Amend/Fix Return
Apply for Power of Attorney
Apply for an ITIN
Rules Governing Practice before IRS

FATCA – FAQs General

Qualified Intermediaries/Withholding Foreign Partnerships/Withholding Foreign Trusts

Provisions for 2017 QI Agreement

Q1. Does a QI have reason to know that a Form W-8 provided by a direct account holder to establish foreign status is unreliable or incorrect if the QI has, as part of its account information, a current residence or mailing address that is an address in the United States?
Q2. If a direct account holder of a QI claiming treaty benefits provides documentary evidence to establish residence in a jurisdiction with an income tax treaty, what additional documentation can the QI rely on for purposes of treating the documentation as valid under section 5.10(B) of the 2017 QI agreement when the QI has reason to know that the documentary evidence provided is unreliable or incorrect?
Q3. What is the status of the approved know-your-customer (KYC) attachments to the 2017 QI, WP, and WT agreements for purposes of the documentation requirements of a QI, WP, or WT that is an FFI?
Q4. What are a Qualified Intermediary’s (QI) obligations under the 2017 and 2014 QI Agreements with respect to certain tax-free savings accounts formed as trust arrangements under applicable non-U.S. law?
Q5. In order for a QI’s QI designated accounts to remain under a Qualified Intermediary, what steps must be followed when a QI merges into an entity already operating as a non-QI?
Q6. What procedure must be followed when a QI in one country re-domiciles into another country after merging with a newly-formed entity, where the QI’s accounts remain with a branch in the original country of the QI’s residency?

New Applications/Renewals

Q1. Must an FI become a QI/WP/WT in order to register under FATCA?
Q2. If an FFI has a QI/WP/WT agreement in place, does the Responsible Party for purposes of the QI/WP/WT Agreement also have to the serve as the FFI’s Responsible Officer?
Q3. If a member of the Expanded Affiliated Group is a Qualified Intermediary/Withholding Trust/Withholding Partnership, does the Lead Financial Institution renew the Qualified Intermediary/Withholding Trust/Withholding Partnership agreement on behalf of the member or does the member renew its own agreement?
Q4. Section 1.01 of Rev. Proc. 2017-15 addresses the treatment of any home office (as defined in section 2.43 of Rev. Proc. 2017-15) or branch (whether or not a disregarded entity) that wants to be a QDD (each home office or branch, a prospective QDD).  Each prospective QDD must separately qualify, apply, and be approved for QDD status, including meeting the eligible entity requirements as if it were a separate entity.  If a prospective QI has a branch that is a prospective QDD, the branch may apply for QDD status even if the prospective QI (apart from such branch) is not an eligible entity.  A home office can apply for QDD status as part of the standard QI application.  In order to apply for QDD status for a branch on the QI System, the following steps must be taken:
Q5. What information should be provided for question 19 of Part 1?
Part I, Question 19. Description of business of the Applicant
(If the Applicant is applying for QDD status, indicate which portions of the business description are applicable to the QDD status)

Q6. What information should be provided for question 20 of Part 1?
Part I, Question 20. Description of new account opening procedures
(If the Applicant is a WP or WT, provide a description of the procedures for admitting a new partner, beneficiary, or owner)
(If the applicant is applying for QDD or QSL status, describe the Applicant’s procedures for collecting documentation from counterparties)

Q7. My application for renewal of QI/WP/WT status was not approved and was placed into incomplete status due to compliance issues.  What does this mean?
Q8. How does an applicant provide the description of the types of transactions for applications submitted in 2017?
Q9. How does an applicant provide the approximate value of transactions by account holder type for applications submitted in 2017?
Q10. What information must an applicant provide when describing why it is an eligible entity?
Q11. What information is necessary to describe how an applicant determines which transactions are included of its QDD business?
Q12. When submitting an application in 2017, should the applicant address non-delta one transactions when completing section 3?
Q13. Can a partnership apply to be a QDD?
Q14. Who may rely on the “Any other person otherwise acceptable to the IRS” QDD eligible entity category?
Q15. What information must a renewing QI/WP/WT consider in response to Part 4 – Additional Information, Question 4 - Is the QI/WP/WT in compliance with all applicable withholding and reporting requirements, including the filing of the following forms (to the extent required for  calendar years for which the due date of the form (including extensions) has passed)*?
Q16. Can a request for renewal of a Qualified Intermediary (QI), Withholding Foreign Partnership (WP) or a Withholding Foreign Trust (WT) agreement submitted after the renewal due date of 3/31/17 still be granted an Effective Date of 1/1/17.  Also, can an application for a new QI agreement that also contains a request for qualified derivatives dealer (QDD) status submitted after 3/31/17 be granted an Effective Date of 1/1/17?
Q17. Does a QI that is not currently a QDD have to wait for its QI agreement to expire to apply for QDD status for its home office?
Q18. If a QI applies for and is granted QDD status for its home office outside of the new application or renewal process, when will its QDD status become effective?
Q19. Can a foreign reverse hybrid entity that is a non-financial foreign entity (NFFE) that receives personal services income apply (or submit a renewal) to be a withholding foreign partnership (WP) under the WP agreement effective on or after January 1, 2017?

Certifications and Periodic Reviews

Q1. Can a QI that is a QDD apply for a waiver of the periodic review with respect to its QI activities that are not QDD activities if its applicable certification period ends in 2017 or 2018 and it otherwise meets the requirements of section 10.07 of the QI agreement?
Q2. How should the independence standard for an external reviewer of a QI, WP, or WT be applied for periodic review years prior to 2018?
Q3. Must a QI/WP/WT that did not sign the 2017 QI/WP/WT Agreement (Rev. Proc. 2017-15 or Rev. Proc. 2017-21), thereby causing its QI/WP/WT status to lapse, prepare and file a final certification?
Q4. Can a group of QIs under common ownership or a group of WPs with a common sponsoring entity reduce their compliance burden by utilizing a consolidated compliance program (CCP)?
Q5. How can a group of QIs or WPs apply to form a CCG?
Q6. What should an application to form a CCG include?
Q7. Will the IRS allow entities with differing certification due dates to be included in the same CCG?
Q8. How will completing the certification for a CCG differ from completing a certification for an individual entity?
Q9. When is the deadline for QI/WP/WT entities to select the periodic review year of their certification?
Q10. When are the due dates for submission of QI/WP/WT Certifications?
Q11.What may a QI rely on for purposes of satisfying the requirement in section 4.05(A)(1) of the 2017 QI Agreement (QI Agreement) and answering question D.3.a of Part I of the certification described in Appendix I to the QI Agreement regarding partnerships and trusts subject to joint account treatment?
Q12. If a QI applies for a waiver of the periodic review requirement under section 10.07 of the 2017 QI agreement and has assumed primary withholding responsibility with respect to payments of substitute interest, is the QI required to complete Part VI of the certification described in Appendix I of the 2017 QI agreement?
Q13. How should a QI that is not acting as a QDD take into account the good faith standard described in Notices 2016-76 and 2017-42 with respect to its section 871(m) transactions as an intermediary for purposes of its periodic review? 
Q14. Can the sample size calculated for the documentation review, (performed as part of the Periodic Review), using the safe harbor statistical sample design contained in Appendix II of the 2017 QI Agreement (Rev. Proc. 2017-15) exceed 321?
Q15.  In instances where there are less than 60 accounts in a stratum population, must the difference between 60 and the number of accounts in the stratum population be reallocated to the remaining strata?
Q16. If the number of accounts allocated to a stratum is less than 60 and less than the number of accounts in that stratum population, how many accounts from that stratum should be selected for the sample?  What effect will this have on the other strata? 
Q17. What is the certification requirement under section 10.03 and Appendix I of the QI Agreement (“the Agreement”), when the QI’s responsible officer has identified an event of default described in section 11.06 of the Agreement, or a material failure described in section 10.03(B) of the Agreement, prior to the QI’s certification date?

IGA Registration

Q1. Please provide a link that lists the jurisdictions treated as having in effect a Model 1 or Model 2 IGA.
Q2. How do Foreign Financial Institutions in Model 1 jurisdictions register on the FATCA registration website?
Q3. How do Foreign Financial Institutions in Model 2 jurisdictions register on the FATCA registration website?
Q4. We are an FFI in a country that has not signed an IGA, and the local laws of our country do not allow us to report U.S. accounts or withhold tax. What is our FATCA classification?
Q5. In a Model 1 IGA jurisdiction, does the FFI need to fill out Question 10 about Responsible Officers?
Q6. Does an FFI in a Model 1 IGA jurisdiction need to register before July 1, 2014, if the FFI is part of an EAG?
Q7. Does an entity in a Model 1 jurisdiction that, relying on the definition of a nonreporting financial institution under the applicable IGA,  qualifies as a deemed-compliant FFI or an exempt beneficial owner under relevant U.S. Treasury Regulations, need to register on the FATCA registration website?
Q8. Announcement 2014-38 provides that a jurisdiction that is treated as if it has an IGA in effect, but that has not yet signed an IGA, retains such status beyond December 31, 2014, provided that the jurisdiction continues to demonstrate firm resolve to sign the IGA that was agreed in substance.  Given this additional time to sign the IGA, does a reporting Model 1 FFI in such a jurisdiction need to register and obtain a GIIN before January 1, 2015?

Expanded Affiliated Groups

Q1. For registration purposes, can an EAG with a Lead FI and 2 Member FIs be divided into: (1) a group with a Lead FI and a member FI, and (2) a member FI that will register as a Single FI?
Q2. What is required for an entity to be a Lead FI?
Q3. Can a Member FI complete its FATCA registration and obtain a GIIN if the Lead FI for that Member FI has not yet registered under FATCA?
Q4. Is a limited FFI who is a member of an Expanded Affiliated Group subject to Chapter 4 withholding?

Sponsoring/Sponsored Entities

Q1. We are a Sponsoring Entity, and we would like to register our Sponsored Entities. How do we register our Sponsored Entities?

Responsible Officers and Points of Contact

Q1. What is a Point Of Contact (POC)?
Q2. Is the Responsible Officer required to be the same person for all lines on Form 8957 or the online registration (“FATCA Registration”)?
Q3. The Instructions for Form 8957 state that for purposes of Part 1, question 10, “. . .  RO means the person authorized under applicable local law to establish the statuses of the FI’s home office and branches as indicated on the registration form.”  What does it mean for an RO to have the authority to “establish the statuses of the FI’s home office and branches as indicated on the registration form”?
Q4. My FI plans on employing an outside organization (or individual) solely for the purpose of assisting with the registration process.  Once registration is complete, or shortly thereafter, my FI intends to discontinue its relationship with this organization.  Is this permissible under the FATCA registration system? How should my FI use the registration system to identify this relationship?
Q5. For each of the following FATCA classifications (i.e. Participating Foreign Financial Institution “PFFI”, PFFI that elects to be part of a consolidated compliance program, Registered Deemed-Compliant Foreign Financial Institution “RDCFFI”, Reporting Model 1 FFI, Limited FFI and US Financial Institution “USFI”) what type of individual may serve as a Responsible Officer for purposes of Part 1, Question 10 of the FATCA Registration?
Q6. Additional questions related to: Part 4 of the online registration system* 
Q7. How often should my RO and POC information be updated? 

Financial Institutions

Q1. Are U.S. Financial Institutions (USFIs) required to register under FATCA? If so, under what circumstances would a USFI register? Does it matter whether the USFI has a branch in an IGA jurisdiction?
Q2. Is a Foreign Financial Institution (“FFI”) required to obtain an EIN?
Q3. How does a FFI apply for a EIN if it does not already have one?

Exempt Beneficial Owners

Q1. We are a foreign central bank of issue. Will we be subject to FATCA withholding if we do not register?
Q2. We are a foreign pension plan. Will we be subject to FATCA withholding if we do not register?

NFFEs

Q1. How should an entity seeking the FATCA status of “direct reporting NFFE” (other than a sponsored direct reporting NFFE) register for this status to obtain a GIIN in order to avoid FATCA withholding?
Q2. How should a sponsor of a sponsored direct reporting NFFE register itself for this status and obtain a GIIN?
Q3. Can a direct reporting NFFE be registered as a Member FI?
Q4. Does a direct reporting NFFE have to separately register its branches when it completes its FATCA registration?
Q5.I am a Direct Reporting NFFE not required to renew the FFI agreement and recently had my FATCA registration status changed from approved to Registration Incomplete. What should I do to return to approved status on the FATCA FFI List?

Registration Update

Q1.Why did my registration status change to Registration Incomplete?  What can I do?
Q2. For each of the following FATCA classifications (i.e. Participating Foreign Financial Institution “PFFI” for Reporting Model 2 FFI, Registered Deemed Compliant Foreign Financial Institutions “RDCFFI” (for both Model 1 and non-Model 1 FFIs), Sponsoring Entity, Limited FFI or Limited Branch, Renewing QI/WP/WT, US Financial Institution “USFI” treated as a Lead FI and Direct Reporting NFFE) what is the impact of completing Part IV of the FATCA Registration?
Q3. How do Trustees of Trustee-Documented Trusts register?
Q4. Does an FFI registering to become a PFFI (including a reporting Model 2 FFI) need to complete a paper version of the FFI Agreement?
Q5. What action should a FATCA registrant take if it improperly completes multiple FATCA registrations?
Q6. The entity I represent is on the Office of Foreign Asset Control's Specially Designated Nationals list.  Is the entity eligible to register and receive a GIIN?
Q7. What is the Office of Foreign Asset Control's Specially Designated Nationals (SDN) list?
Q8. I am an entity that is registered on the FATCA registration system and that has been issued a GIIN. Do I need to renew my FFI agreement?
Q9. I have determined based on the chart above that I am not required to renew an FFI agreement. The “Renew FFI Agreement” link asks if I and/or my branches are required to renew the FFI agreement. Am I required to select “No”? What happens if I do not select either “Yes” or “No”? Will I lose my GIIN?
Q10. What happens if I am an entity that entered into the FFI agreement contained in Revenue Procedure 2014-38 before January 1, 2017, but I do not renew my FFI agreement by July 31, 2017?
Q11. I am an entity that must renew the FFI agreement. What if I incorrectly selected “No” when asked whether I am required to renew the FFI agreement?
Q12. I am an entity that must renew the FFI agreement, but I missed the July 31, 2017, renewal deadline. Can I still renew the FFI agreement and be treated as having the current FFI agreement in effect as of January 1, 2017?
Q13. What are the most common errors made during the registration process? 
Q14. Form 8957, Foreign Account Tax Compliance Act (FATCA) Registration, was revised in June 2018. Will the online FATCA registration system be updated to match the Form 8957?  
Q15. What should I do if my Renewal of FFI Agreement Information has a status of “Overdue?"

FATCA Certifications

Q1.  What is a FATCA certification?
Q2.  I am an entity that is registered on the FATCA registration system and that has been issued a GIIN. Do I need to submit a FATCA certification?
Q3.  What information do I need in order to certify?  
Q4.  What is the process for submitting a FATCA certification?     
Q5.  I understand that there will be a link on my FATCA registration home page to submit the FATCA certifications. What if I have to submit both the COPA and the periodic certification? Will there be a single link for both certifications?  
Q6. There are three options for the certification: (1) I am completing the certification; (2) I am unable to complete the certification at this time; and (3) I am not required to complete the certification. How do I know which option to choose?     
Q7.  Do I have to answer every question in the certification?     
Q8. What if I submitted a certification but need to resubmit it because one or more of my answers was incorrect?
Q9. I am the responsible officer (RO) of an entity that is certifying on behalf of another entity.  How do I submit the certification?
Q10. What is the difference between a certification of effective internal controls and a qualified certification?
Q11. I am the RO of a registered deemed-compliant FFI in a Model 2 IGA jurisdiction.  Do I need to certify?
Q12. What if an entity that is required to certify fails to do so?
Q13. When are the FATCA certifications due?
Q14. In completing my certification, when should I select “Not Applicable” versus “No”?

FFI/EAG Changes

Q1. We are the common parent of an EAG. If we sell our interest in a wholly-owned FFI that is registered as a Member FI, what impact will the sale have on the Member FI’s FATCA registration?
Q2. Can a FATCA registrant change its FI Type—which is selected at the beginning of the FATCA registration process—without re-registering?
Q3. If a registrant has changed its name but not its FI Type, does it need to re-register?
Q4. How can an FFI that is registered as a Single FI change its FATCA registration to become a Lead FI?
Q5. How can an FFI that is registered as a Lead FI of an EAG change its FATCA registration to become a Single FI?
Q6. What steps does a registrant need to complete if it has dissolved?

Branch/Disregarded Entity

Q1. How does a disregarded entity (DE) in a Model 1 IGA jurisdiction satisfy its FATCA registration requirements?
Q2. How does a branch in a Model 1 IGA jurisdiction satisfy its FATCA registration requirements?
Q3. How does a branch or a disregarded entity (DE) in a jurisdiction that does not have an IGA, or that is in a Model 2 IGA jurisdiction, satisfy its FATCA registration requirements?
Q4. How can a withholding agent find the name and GIIN of a branch on the FFI list?
Q5. How does a branch described in Q-2 or Q-3 of this heading that has registered as a separate entity rather than as a branch of its owner correct its registration?

General Compliance

Q1. How will Certified-Deemed Compliant FFIs, Owner-documented FFIs, or Excepted FFIs certify to U.S. withholding agents that they are not subject to Chapter 4 withholding given that they are not required to register with the IRS?
Q2. We are an FFI in a non-IGA country.  Will we be subject to Chapter 4 withholding if we do not register with the IRS?
Q3. What are the consequences of terminating the FFI agreement for a Participating Foreign Financial Institution?
Q4. What happens if an FFI is not registered by May 5th, 2014?
Q5. Are Forms W-8 still required to be renewed by the appropriate beneficial owners?
Q6. What should a withholding agent do if an entity account holder indicates that box 9a of Form W–8BEN–E is too small to accommodate the entity’s GIIN?
Q7. Notice 2014-33, 2014-21 I.R.B. 1033, provides that a withholding agent or FFI may treat an obligation as a preexisting obligation if the obligation (i) is issued, opened, or executed on or after July 1, 2014, and before January 1, 2015, and (ii) is held by an entity.  How does this provision of Notice 2014-33 apply when the recipient of a payment made under the obligation is a flow-through entity or intermediary?
Q8. Annex I of the IGA provides that, for certain purposes, a self-certification may be made on an IRS Form W-8 or other “similar agreed form.”  What would be considered a similar agreed form?
Substitute Withholding Certificate: In General

Q9. What is an acceptable self-certification for purposes of the Annex I due diligence procedures for preexisting and new accounts?  Does the self-certification form have to be agreed with the United States?
Q10. If a Reporting Model 1 FFI or a Reporting Model 2 FFI that is applying the due diligence procedures in section III, paragraph B, of Annex I of the IGA cannot obtain a self-certification upon the opening of a New Individual Account, can the FFI open the account and treat it as a U.S. Reportable Account?
Q11. Has a Form W-8 that has been completed and signed by a payee, scanned into an image or portable document format (PDF), and uploaded to a third-party repository been scanned and received electronically by a withholding agent for purposes of sections 1.1441-1(e)(4)(iv) and 1.1471-3(c)(6)(iv) if the payee, upon request from the withholding agent for a Form W-8 to document its status for purposes of chapters 3 and 4, sends the withholding agent an email with a link to the third-party repository site that allows the withholding agent to download the image or PDF of the form that is stored on the repository for such purpose (or the payee otherwise authorizes the withholding agent to access the specific form from the third-party repository in a similar manner).
Q12. My courier requires a physical mailing address for delivery service.  What is the physical mailing address for Forms 8966 and Form 1042?
Q13. I am an American citizen living abroad and my foreign bank is requesting my social security number, do I have to comply and if so, why?
Q14. How do I submit a request for an initial or additional extension of time to file Forms 8966 for tax year 2015?
Q15. How do I submit a request to waive the requirement to file Forms 8966 electronically for tax year 2015?
Q16. What title should the RO include when indicating their business title in the RO information section of the registration?
Q17. How many Global Intermediary Identification Numbers (GIINs) should a single FI have?
Q18. What are the registration and GIIN requirements for bulk acquisition and merger events?
Q19. What do I need to do if I haven’t received a response to my submission of Form 8809-I when I requested an additional 90 Day Extension to file Form 8966?
Q20. Under what circumstances is a withholding agent required to collect a foreign TIN or date of birth on a beneficial owner withholding certificate?
Q21. Is a beneficial owner withholding certificate invalid under  Treas. Reg. §1.1441-1T(e)(2)(ii)(B) (published on January 6, 2017, in TD 9808) during calendar year 2017 if it does not include a foreign TIN or date of birth for the beneficial owner identified on the certificate?
Q22. How is a withholding agent permitted to obtain  a foreign beneficial owner’s foreign TIN that is not included on an otherwise valid beneficial owner withholding certificate for purposes of satisfying the requirements of Treas. Reg. §1.1441-1T(e)(2)(ii)(B)?
Q23. For the 2017 calendar year, will a withholding agent be subjected to interest, penalties, or additions to tax for failing to withhold and report by March 15, 2018, on a payment of a dividend equivalent made with respect to a derivative referencing a partnership?     

Reporting

Q1. Are filers of Form 8966 required to file a nil report?
Q2. When is Form 8966 due for reporting with respect to calendar year 2014 for participating FFIs and Reporting Model 2 FFIs?

Request for Additional Extension of Time to File Form 8966 for Tax Year 2014

Q1. How do I submit a request for additional extension of time to file Forms 8966 for tax year 2014?

Request for Waiver from Filing Form 8966 Electronically for Tax Year 2014

Q1. How do I submit a request to waive the requirement to file Forms 8966 electronically for tax year 2014?

FATCA Registration Self-Help

FATCA Registration System Technical Support

Comment on FATCA Compliance

Additional Support


Qualified Intermediaries/Withholding Foreign Partnerships/Withholding Foreign Trusts

Provisions for 2017 QI Agreement

Q1. Does a QI have reason to know that a Form W-8 provided by a direct account holder to establish foreign status is unreliable or incorrect if the QI has, as part of its account information, a current residence or mailing address that is an address in the United States
A1. Under section 5.10(B) of the 2017 QI agreement, a QI that is a financial institution, an insurance company, or a broker or dealer in securities has reason to know that documentation provided by a direct account holder is unreliable only as prescribed in §1.1441-7(b)(3). Section 1.1441-7(b)(3) cross-references §1.1441-7(b)(5)(i) for withholding certificates establishing foreign status, which provides that a withholding certificate provided to establish foreign status is unreliable if the withholding agent has a current residence or mailing address as part of its account information that is an address in the United States. Under §1.1441-7(b)(5)(i), a withholding agent must treat a Form W-8 as unreliable if the withholding agent has a U.S. address in the account information, even if the address is for a person other than the account holder (e.g., an advisor or a fund manager). Under the 2014 and 2000 QI agreements, a QI described above was required to treat a Form W-8 provided by a direct account holder as unreliable for purposes of a claim of foreign status if the QI had a U.S. mailing or permanent address for the account holder (i.e., not just a U.S. address in the account file). Under this FAQ, the IRS will allow a QI to continue to apply this requirement from the prior QI agreements to the 2017 QI agreement for direct account holders subject to the QI agreement, notwithstanding the cross-reference to §1.1441-7(b)(3) in the 2017 QI agreement.

Added:  12-19-2017

Return to top

Q2. If a direct account holder of a QI claiming treaty benefits provides documentary evidence to establish residence in a jurisdiction with an income tax treaty, what additional documentation can the QI rely on for purposes of treating the documentation as valid under section 5.10(B) of the 2017 QI agreement when the QI has reason to know that the documentary evidence provided is unreliable or incorrect?
A2: Under section 5.10(B) of the 2017 QI agreement, a QI that is a financial institution, an insurance company, or a broker or dealer in securities has reason to know that documentation provided by a direct account holder is unreliable or incorrect only as prescribed in §1.1441-7(b)(3). Section 1.1441-7(b)(3) cross-references §1.1441-7(b)(9)(i) for the validity requirements for a treaty claim supported by documentary evidence, which provides that documentary evidence is unreliable or incorrect if the withholding agent has a current mailing or current permanent residence address for the direct account holder (whether or not on the documentary evidence) that is outside the applicable treaty country, or when the withholding agent has no permanent residence address for the account holder, a requirement that was also included in the 2014 QI agreement.

Under prior guidance applicable to QIs, a QI was permitted to rely on a claim for treaty benefits in those cases by obtaining certain additional documentation without referencing whether the QI had a permanent residence address for the account holder in the jurisdiction for which treaty benefits were claimed. As a result, the IRS will not require a QI to redocument a direct account holder claiming treaty benefits for purposes of section 5.10(B) of the 2017 QI agreement provided that the QI has documented the account holder before January 1, 2018 in accordance with the prior guidance applicable to a QI. For direct account holders documented on or after January 1, 2018, a QI must have a permanent residence address for the direct account holder in the jurisdiction associated with the documentary evidence upon which a QI may otherwise rely for a claim of treaty benefits.

Added:  12-19-2017

Return to top

Q3. What is the status of the approved know-your-customer (KYC) attachments to the 2017 QI, WP, and WT agreements for purposes of the documentation requirements of a QI, WP, or WT that is an FFI?
A3. The IRS did not intend to change the applicability of the approved KYC attachments in the 2017 QI, WP, and WT agreements. Thus, a QI, WP, or WT may treat an approved KYC attachment as incorporated into, and as an integral part of, its agreement to the extent the attachment would otherwise apply to the entity (or branch of the entity, if applicable).

Added:  12-19-2017

Return to top

Q4. What are a Qualified Intermediary’s (QI) obligations under the 2017 and 2014 QI Agreements with respect to certain tax-free savings accounts formed as trust arrangements under applicable non-U.S. law?
A4. A QI is permitted to treat the account holder that is the beneficiary of the trust arrangement as a direct account holder of the QI for purposes of sections 5, 6, and 8 of the QI Agreement where all of the following apply:

  • The trust is registered with the applicable government as a tax-free plan.  
  • In order to qualify as a tax-free plan, applicable non-U.S. law mandates that where the plan holds assets in a brokerage account, a trust be established for the account holder that is the sole beneficiary under the plan. 
  • The account holder maintains general control over investments in the plan and can withdraw the funds at any time.
  • The QI is required to document the account holder under applicable AML/KYC regulations or procedures.
  • The trust itself is not eligible for a reduced rate of withholding under an applicable income tax treaty.

Added:  8-02-2018

Return to top

Q5. In order for a QI’s QI designated accounts to remain under a Qualified Intermediary, what steps must be followed when a QI merges into an entity already operating as a non-QI?
A5.  First, the non-QI must apply for QI status at the time of the merger according to Section 5 of the QI Agreement via the QI/WP/WT Application and Accounts Management System, and, if the non-QI is approved for QI status effective as of the date of the merger, the original QI will merge into the newly approved QI (successor QI).  The original QI must notify the IRS that it intends to terminate its QI Agreement by delivery of a notice of termination and merger on the QI/WP/WT Application and Accounts Management System according to section 11.05 of the QI Agreement, provide all required information, and ensure the other requirements of section 11.05 are met.  The successor QI must provide the certification required by section 11.02(B) of the QI Agreement for the original QI’s compliance period prior to the merger.  In addition, the successor QI must provide to its withholding agent a Form W-8IMY representing its status as a QI with respect to the successor QI’s QI-designated accounts.

Added:  11-19-2018

Return to top

Q6. What procedure must be followed when a QI in one country re-domiciles into another country after merging with a newly-formed entity, where the QI’s accounts remain with a branch in the original country of the QI’s residency?
A6. At the conclusion of the QI’s re-domiciliation, the QI must report its new name, and the new address of its registered office on the QI/WP/WT Application and Accounts Management System, but does not have to re-apply for QI status.  The QI’s branch information must be updated to take into account the new branch of the QI that results from the re-domiciliation.  A QI that is an FFI or a sponsoring entity must also update its information on the FATCA Registration System (please see the FATCA Registration User Guide).  The QI does not have to submit the notice of termination or the certification described under section 11.05 or 11.02(B) of the QI Agreement, as the QI’s existing QI Agreement will be treated as remaining in effect notwithstanding the merger and re-domiciliation.  However, the QI must provide to its withholding agent a Form W-8IMY revised to reflect changes resulting from the re-domiciliation that are relevant to the form.

Added:  11-19-2018

Return to top


New Applications/Renewals

Q1. Must an FI become a QI/WP/WT in order to register under FATCA?
A1. An FI is not required to obtain QI/WP or WT status to register under FATCA.  If at the time of FATCA registration, the FI does not have in effect a withholding agreement with the IRS to be treated as a QI, WP or WT, the FI will indicate “Not applicable” in box 6 and will continue with the registration process.

Return to top

Q2.If an FFI has a QI/WP/WT agreement in place, does the Responsible Party for purposes of the QI/WP/WT Agreement also have to the serve as the FFI’s Responsible Officer?
A2. No, the FFI’s Responsible Party for purposes of a QI/WP/WT Agreement does not have to be the Responsible Officer chosen by the FFI for purposes of certification under the regulations or for FATCA Registration purposes.

Return to top

Q3. If a member of the Expanded Affiliated Group is a Qualified Intermediary/Withholding Trust/Withholding Partnership, does the Lead Financial Institution renew the Qualified Intermediary/Withholding Trust/Withholding Partnership agreement on behalf of the member or does the member renew its own agreement?
A3. Each Member FI with a Qualified Intermediary/Withholding Trust/Withholding Partnership (“QI/WP/WT”) agreement will renew its own agreement on the registration system.  When a Member is completing its registration it will be asked about whether it maintains and seeks to renew a QI/WP/WT agreement with the Service.  If the Member indicates it has one of these agreements and would like to renew the agreement, the Member will do so in Part 3 of the registration system in addition to claiming status as a participating FFI or registered-deemed compliant FFI (and obtaining its required GIINs).  

Return to top

Q4. Section 1.01 of Rev. Proc. 2017-15 addresses the treatment of any home office (as defined in section 2.43 of Rev. Proc. 2017-15) or branch (whether or not a disregarded entity) that wants to be a QDD (each home office or branch, a prospective QDD).  Each prospective QDD must separately qualify, apply, and be approved for QDD status, including meeting the eligible entity requirements as if it were a separate entity.  If a prospective QI has a branch that is a prospective QDD, the branch may apply for QDD status even if the prospective QI (apart from such branch) is not an eligible entity.  A home office can apply for QDD status as part of the standard QI application.  In order to apply for QDD status for a branch on the QI System, the following steps must be taken:  

  1. The home office (or prospective QI) must complete and submit its QI application or renewal on the QI System (please refer to QI System User Guide for step-by-step instructions).  The application or renewal must include all relevant branch information for each branch that intends to act as a QI (including as a QDD).  
  2. Notwithstanding that the home office (or prospective QI) included all relevant branch information with its application or renewal, a separate QI application must be submitted for each branch (including branches that are disregarded entities) that is a prospective QDD.  Each home office or branch that is a prospective QDD must submit a separate application, even if located in the same country.  Therefore, if multiple branches located in the same country are prospective QDDs, a separate application must be submitted for each branch.  
  3. The process for the branch’s separate QI application will follow the QI System User Guide instruction for applying to become a QI (that is, the same process that the home office or prospective QI used), and the QI System will populate the application using the same answers as provided by the home office (or prospective QI), except for the following lines, which the branch will be required to complete:
    Part 1:
    1. Name of Applicant:  Enter the Home Office QI NAME with the following appended to the Home Office Name:

                         :-QDD-BRANCH-<Branch QDD COUNTRY (and branch identifier, if necessary)>
                         (EXAMPLE: ABC Bank-QDD-BRANCH-SINGAPORE (Disregarded Entity Name)).

    1. Existing EIN, if any: Enter the home office QI EIN.  
      Note: A QDD branch will receive a message on their message board upon acceptance of its application, but the QDD branch will not be issued its own QI EIN.  
    2. Country / Jurisdiction of Organization:  Enter the country / jurisdiction of the branch.
    3. Indicate that the branch is applying for QDD status.
    4. Identify the applicable Know Your Customer Rules (KYC):  Select the jurisdiction, if any, whose KYC rules apply to the branch.
    5. Does the Applicant Maintain a branch in any Jurisdiction other than the home office:  Select “No.”
    6. Address of applicant:  Enter the address of the branch.
    7. Description of Business:  Preface the description by stating the application is for a branch applying for QDD status only.
    8. Responsible Officer: The applicant may identify the home office’s RO as its Responsible Officer
    9. Contact person: The applicant may identify the home office’s Contact Person as its Contact Person or any other person that meets the requirements of a Contact Person for the branch.

            Part II

    1. QI/WP/WT Information (Part 2):  Enter zeros for all account holder totals and amounts.  
    2. Will the applicant have any PAI agreements in effect: Select “No.”

            Part III

                    Complete all fields.

      Part IV

             Upload files for the QI/WP/WT application:  Select “SS-4.”  
             Upload a document, containing the corporate letter head of the home office, which states the branch is applying strictly for QDD status as a branch of a QI.  The statement should provide the name and 
             QI-EIN of the home office.

            Part V  

                    Complete, sign, and submit as directed.

Entities that have already submitted an application or renewal that included a request for QDD status must update their submission to separately request QDD status for any branch that will act as a QDD by following these procedures and sending an email to *LB&I FI QIWPIssues.  The e-mail should indicate either that the entity has branches which intend to apply for QDD status and list those branches by country or that the entity has no such branches and the submission is ready to be processed by the IRS.

Added:  02-14-2017

Return to top

Q5.  What information should be provided for question 19 of Part 1?

Part I, Question 19. Description of business of the Applicant
(If the Applicant is applying for QDD status, indicate which portions of the business description are applicable to the QDD status)

Provide a detailed description of your business including, but not limited to, the type of business, the approximate value of your total assets, and, in general, the source of income you expect to receive.  For businesses that may be involved in sale and leaseback type transactions, clearly state the structure of the transaction, including all the parties.  If the business is not yet in operation, explain how the business intends to obtain financing and the projected startup date.  If the Applicant is an investment fund, also describe the type of anticipated investments and state the term of the fund.

In addition, for each QDD applicant, indicate the business operated by the QDD applicant, list the types of potential section 871(m) transactions for which the QDD applicant makes payments, list the types of potential section 871(m) transactions and underlying securities for which the QDD applicant receives payments, and indicate which portion of the business relates to the QDD covered transactions and which portion of the business relates to the equity derivatives dealer business.

For each QDD applicant, indicate the QDD applicant’s entity classification for U.S. federal income tax purposes (such as a corporation, partnership, or disregarded entity) .  If the QDD applicant is a branch, also indicate the entity classification of its home office.

Added:  02-15-2017

Return to top

Q6. What information should be provided for question 20 of Part 1?

Part I, Question 20. Description of new account opening procedures
(If the Applicant is a WP or WT, provide a description of the procedures for admitting a new partner, beneficiary, or owner)
(If the applicant is applying for QDD or QSL status, describe the Applicant’s procedures for collecting documentation from counterparties)

QI Applicants (including QDD and QSL Applicants):  Provide a detailed description of the account opening procedures.  List each type of document that is required for a new account opening and explain how each document is reviewed and validated.  For entities that facilitate opening new accounts online, describe the entire account opening process, including any uploading of documentation. 

WP/WT Applicants:  Describe the procedures for admitting a new partner, beneficiary, or owner.  If the Applicant is an investment fund, attach the pages of the fund’s subscription agreement or offering documents relating to investor documentation.

Added:  02-15-2017

Return to top

Q7. My application for renewal of QI/WP/WT status was not approved and was placed into incomplete status due to compliance issues.  What does this mean?
An incomplete status due to compliance issues on your application for renewal of QI/WP/WT status is caused by prior noncompliance as a QI/WP/WT, such as a failure to file a return or a failure to pay tax.

Added:  02-15-2017

Return to top

Q8. How does an applicant provide the description of the types of transactions for applications submitted in 2017?
The applicant should list the approximate value in U.S. dollars (using notional values for derivatives) of the stock in U.S. corporations and potential section 871(m) transactions of the home office or branch (as applicable).  In addition, it should separately list the value of the home office or branch’s potential section 871(m) transactions that are securities lending transactions/sale-repurchase transactions, notional principal contracts, futures/forwards, or other equity linked instruments in the appropriate place.  The securities lending transactions/sale-repurchase transactions, notional principal contracts, futures/forwards, and other equity linked instruments categories should not include values related to transactions that are not potential section 871(m) transactions.

For applications submitted in 2017, the applicant may indicate that the value of the transactions in the previous calendar year is zero when the applicant does not have the relevant information.  For those applications submitted in 2017 for which the applicant does not have the relevant information, the applicant must attach a statement indicating that the information is not available, briefly describing the types of transactions it has entered into, and providing an estimate (if possible) of the anticipated values for these types of transactions.

Added:  03-17-2017

Return to top  

Q9. How does an applicant provide the approximate value of transactions by account holder type for applications submitted in 2017?
The applicant should list the approximate value in U.S. dollars (using notional values for derivatives) of potential section 871(m) transactions entered into with each counterparty type for the previous calendar year.  For applications submitted in 2017, the applicant may indicate that the value of transactions by counterparty type for the previous year is zero when the applicant does not have the relevant information.  For those applications in 2017 for which the applicant does not have the relevant information, the applicant must attach a statement indicating that the information is not available, briefly describing the types of counterparties with whom the applicant transacts, and providing an estimate (if possible) of the value of the transactions for each counterparty type.

Added:  03-17-2017

Return to top    

Q10. What information must an applicant provide when describing why it is an eligible entity?
The applicant must identify whether the application is for the home office or branch, and why each home office or branch is an eligible entity.  See Treas. Reg. § 1.1441-1(e)(6)(ii) for an updated definition of an eligible entity.  For each home office or branch applying under the rule for a dealer, bank, bank holding company, or wholly-owned entity of a bank or bank holding company, the applicant must include the name and jurisdiction of the regulator, and whether each home office or branch is regulated by it as a dealer, bank, or bank holding company, as applicable.

The applicant should briefly describe the potential section 871(m) transactions that the home office or branch, as applicable, issues or anticipates issuing to customers and how it hedges or anticipates hedging those transactions, in each case, as a principal.  Each applicant must confirm that the application only describes transactions the QDD enters into as a principal that are recognized and attributable to the QDD for U.S. federal income tax purposes and not effectively connected with the QDD’s conduct of a trade or business in the United States.  For each applicant that is eligible to apply for QDD status because it is a bank, bank holding company, or wholly-owned entity of a bank or bank holding company, the applicant must confirm that it (1) issues potential section 871(m) transactions to customers and (2) receives dividends with respect to stock or dividend equivalent payments with respect to potential section 871(m) transactions that hedge potential section 871(m) transactions that it issued.  

Added:  03-17-2017

Return to top  

Q11. What information is necessary to describe how an applicant determines which transactions are included of its QDD business?
The applicant should describe how it will determine which transactions are part of the QDD business of the home office or branch (as applicable) and how it will distinguish the home office and each branch’s QDD business from the QDD businesses of the home office and/or any other branches, as applicable, and from non-QDD businesses.  The applicant should briefly describe what systems or procedures it has in place to test, track, and report the transactions associated with the home office or branch’s QDD activities (including whether transactions are held in an equity derivatives dealer capacity or another capacity, and how net delta will be determined).  If the applicant submits the application in 2017 or 2018 and has not yet completed all of its systems or procedures, the applicant must include a brief description of the systems or procedures that have been completed as of the date of the application, and the systems or procedures that the applicant is developing.  For systems or procedures in the development stage at the time the application is submitted, please provide an estimated timeframe for the completion of those items.

Added:  03-17-2017

Return to top  

Q12. When submitting an application in 2017, should the applicant address non-delta one transactions when completing section 3?
Yes.  Even though section 871(m) only applies to transactions with a delta of one in 2017, an applicant must complete section 3 by including a description of potential section 871(m) transactions for which section 871(m) will apply beginning in 2018.  For example, an applicant applying in 2017 should include responses relating to both delta one transactions and non-delta one transactions.

Added:  03-17-2017

Return to top  

Q13.  Can a partnership apply to be a QDD?
Yes, a partnership can apply to be a QDD if the partnership qualifies as an eligible entity; however, the IRS may include additional terms that would apply in the case of an agreement entered into with a partnership.

Added:  03-17-2017

Return to top  

Q14. Who may rely on the “Any other person otherwise acceptable to the IRS” QDD eligible entity category?
This limited category is intended to allow the IRS the discretion to treat an entity that is very similar to the specified categories of eligible entities but that does not satisfy the precise technical requirements in the definition as an eligible entity.  It is not intended to function as a significant expansion of the definition of eligible entity. If an applicant does not satisfy one of the specific categories, the applicant is encouraged to contact the Foreign Intermediaries Program at *LB&I FI QIWPIssues in advance of applying under this category.

Added:  03-17-2017

Return to top  

Q15. What information must a renewing QI/WP/WT consider in response to Part 4 – Additional Information, Question 4 - Is the QI/WP/WT in compliance with all applicable withholding and reporting requirements, including the filing of the following forms (to the extent required for calendar years for which the due date of the form (including extensions) has passed)*?

Form 945 * Yes/No/NA
Form 1042 * Yes/No/NA
Form 1042-S * Yes/No/NA
Form 1099 * Yes/No/NA
Form 8966 * Yes/No/NA

The renewing QI/WP/WT (Applicant) should answer this question based on currently available information with respect to each form that Applicant was required to file for the calendar years covered by the most recent QI, WP, or WT agreement that Applicant is renewing:

(1) Answer “Yes” if the Applicant filed the form and the form was correct, and the Applicant has complied with its withholding requirements with respect to such form (if applicable).  

(2) Answer “No” if the Applicant did not file the form or the Applicant filed the form but has failed to pay the amount of tax due with respect to the form (if applicable).

(3) Answer “NA” if the Applicant is not required to file the form for all tax years covered by the QI, WP, or WT agreement.  

Added:  03-31-2017

Return to top

Q16. Can a request for renewal of a Qualified Intermediary (QI), Withholding Foreign Partnership (WP) or a Withholding Foreign Trust (WT) agreement submitted after the renewal due date of 3/31/17 still be granted an Effective Date of 1/1/17.  Also, can an application for a new QI agreement that also contains a request for qualified derivatives dealer (QDD) status submitted after 3/31/17 be granted an Effective Date of 1/1/17?
A: The deadline of 3/31/17 for submitting a QI, WP or WT request for renewal as well as for submitting a new application is fast approaching.

In order to allow time for these entities to become better acquainted with the new Qualified Intermediary, Withholding Foreign Partnership, and Withholding Foreign Trust Application and Account Management System (QI/WP/WT System), as well as to gather all information necessary to prepare and submit a renewal application, the Internal Revenue Service will grant an Effective Date of 1/1/17 for all properly submitted and approved renewal applications, including renewals containing a request for QDD status, submitted by 5/31/17.  

Additionally, because a QDD is a new entity type, all  new QI Applications  that also contain a request for QDD status submitted  by 5/31/17 that are approved will be granted an Effective Date of 1/1/17.

For new withholding foreign partnerships, new withholding foreign trusts, and new QIs that are not applying for QDD status, the 3/31/17 new application deadline for a 1/1/17 Effective Date is still in effect.  

Added:  03-31-2017

Return to top

Q17. Does a QI that is not currently a QDD have to wait for its QI agreement to expire to apply for QDD status for its home office?
A17. No. A QI that is not currently a QDD does not have to wait for its QI agreement to expire to apply for QDD status. A QI that wants to apply for QDD status should contact the Foreign Intermediary Team by e-mail at: *LB&I FI QIWPIssues (lbi.fi.qiwpissues@irs.gov). Please note that once a QI is granted QDD status, it can no longer act as a QSL. QSL status will expire for all QIs on 12/31/17.

The abovementioned FAQ does not apply to branches of QIs that want to apply for QDD status. As stated in the FAQ that addresses QDD Branch Registration, branches of QIs must apply for QDD status by completing a separate QDD application.

Added:  11-29-2017

Return to top

Q18. If a QI applies for and is granted QDD status for its home office outside of the new application or renewal process, when will its QDD status become effective?
A18. If a prospective QDD applies for QDD status prior to March 31 of a given calendar year and its application is approved, its QDD status will become effective as of January 1 of that year. If a prospective QDD applies for QDD status after March 31 of a calendar year and it has not received any reportable payments prior to submitting its application and its application is approved, its QDD status will become effective January 1 of that year. However, if a prospective QDD applies for QDD status after March 31 of a calendar year and it has received a reportable payment prior to submitting its application and its application is approved, its QDD status will become effective the first day of the month in which its QDD application is approved. QDD applications should not be submitted prior to the year the QI wants its QDD status to become effective. A prospective QDD that applies for QDD status after 3/31/17 cannot represent status as a QDD on Form W-8IMY before the date the application to be a QDD is approved.

Added:  11-29-2017

Return to top

Q19. Can a foreign reverse hybrid entity that is a non-financial foreign entity (NFFE) that receives personal services income apply (or submit a renewal) to be a withholding foreign partnership (WP) under the WP agreement effective on or after January 1, 2017?
A19. Section 1.01 of the WP agreement provides that a WP that is a foreign reverse hybrid entity must comply with the requirements of section 6.03(C) of the WP agreement, which include a requirement that the foreign reverse hybrid be an FFI. Notwithstanding this requirement, a foreign reverse hybrid entity that is a NFFE may apply to be a WP with respect to payments of personal services income that is income effectively connected with a trade or business within the United States if it otherwise meets the requirements of a NFFE under the WP agreement (including reporting the information on withholdable payments distributed to, or included in the distributive share of, a partner that is a NFFE, as described in section 6.05(B) of the WP agreement). If a WP that is a foreign reverse hybrid entity submitted an application and did not check the box in Part 1 to indicate its status as a foreign reverse hybrid entity, it must contact the FI team by email at lbi.fi.qiwpissues@irs.gov to correct its status.

Added:  12-08-2017

Return to top

Certifications and Periodic Reviews

Q1. Can a QI that is a QDD apply for a waiver of the periodic review with respect to its QI activities that are not QDD activities if its applicable certification period ends in 2017 or 2018 and it otherwise meets the requirements of section 10.07 of the QI agreement?
A1. Yes. Section 10.07 of the QI agreement provides that a QI may apply for a waiver of the periodic review requirement if it is a QI that is not acting as a QDD and it meets the other requirements of section 10.07. Under Notice 2017-42, 2017-34 I.R.B. 212, a QI that is a QDD is not required to perform a periodic review with respect to its QDD activities for a certification period ending in calendar year 2017 or 2018. A QI that is a QDD may, however, still be required to conduct a periodic review of its QI activities that are not QDD activities for those years. Thus, the IRS will permit a QI that is a QDD and that has a certification period ending in 2017 or 2018 to apply for a waiver of the periodic review when it otherwise meets the requirements of section 10.07 of the QI agreement with respect to its QI activities that are not QDD activities. To request a waiver, the QDD should complete Part III (Waiver of Periodic Review) of the certification with respect to its QI activities that are not QDD activities and, in Part A (eligibility for waiver), check the box titled "QI is an FFI that is not also acting as a QDD."

Added:  12-08-2017

Return to top

Q2. How should the independence standard for an external reviewer of a QI, WP, or WT be applied for periodic review years prior to 2018?
A2. Section 10.04 of the QI agreement and section 8.04 of the WP and WT agreements provide that an internal or external reviewer must be independent. The preamble to the QI agreement provides that the reviewer must have sufficient independence to conduct the review objectively and cannot review his or her own work or the work of others in the same "firm." The IRS has received requests for clarification of the independence standard for external reviewers and, in particular, how the IRS construes the term "firm" for purposes of this requirement. Given these requests, for review years prior to 2018, the IRS will permit an external reviewer of a QI, WP, or WT to apply the standards of independence that would otherwise apply to its engagement to conduct the periodic review (such as the standards for an agreed-upon procedures engagement by a certified public accountant). The IRS intends to update this FAQ to provide further guidance on the independence standard for reviews of calendar years 2018 and later.

Added:  12-08-2017

Return to top

Q3. Must a QI/WP/WT that did not sign the 2017 QI/WP/WT Agreement (Rev. Proc. 2017-15 or Rev. Proc. 2017-21), thereby causing its QI/WP/WT status to lapse, prepare and file a final certification?
A3. No, a QI/WP/WT that did not enter into the 2017 QI/WP/WT Agreement (Rev. Proc. 2017-15 or Rev. Proc. 2017-21) does not have a final certification requirement after its QI/WP/WT status lapses.

Added:  1-19-2018

Return to top

Q4. Can a group of QIs under common ownership or a group of WPs with a common sponsoring entity reduce their compliance burden by utilizing a consolidated compliance program (CCP)?
A4. Yes. According to section 10.02(B) of the 2017 QI Agreement (QI Agreement), or section 8.02(C) of the 2017 WP Agreement (WP Agreement), the IRS, in its discretion, may permit a consolidated compliance program that includes two or more QIs that are members of a group of entities under common ownership, or two or more WPs that have the same sponsoring entity.  The members of the group should (i) operate under a uniform compliance program for purposes of this Agreement; (ii) share practices, procedures, and systems subject to uniform monitoring and control; and (iii) be subject to a consolidated periodic review that includes a review of internal controls and testing of transactions relevant to this Agreement with respect to each QI or WP in the consolidated compliance program. The formation of a Consolidated Compliance Group (CCG) may result in a more efficient use of resources, including a smaller periodic review sample size, than if each entity had a separate periodic review and filed a separate certification. Please see section 10.02(B) of the QI Agreement and section 8.02(C) of the WP Agreement for further requirements for a group of QIs or WPs, respectively, to form a CCG.

Added:  02-26-2018

Return to top  

Q5. How can a group of QIs or WPs apply to form a CCG?
A5. For certifications due in calendar year 2018, an application to form a CCG should be submitted by e-mail to lbi.fi.qiwpissues@irs.gov by the proposed Compliance Entity no later than April 1, 2018.

Upon submission of an application to form a CCG, the IRS will initially contact the applying Compliance Entity to start the application review process and to request any further information necessary to determine if the CCG is acceptable to the IRS. This ongoing discussion will also address such issues as the final composition of the group members and sample design for any statistical sampling to be utilized for the periodic review.

Additionally, the deployment of an online certification system within the QI/WP/WT Application and Account Management system is anticipated during calendar year 2018. While CCG applications for certifications due in 2018 must be submitted before the deployment of the new certification system, once deployed, the responsible officer, or other authorized user, will be required to complete and resubmit the CCG application using the online certification system before initiating a certification. 

It is anticipated that in years subsequent to calendar year 2018, all CCG applications will be submitted solely through the online certification system in the QI/WP/WT Application and Account Management system.  

Added:  02-26-2018

Return to top  

Q6. What should an application to form a CCG include?
A6. An application to form a CCG should include the following:

a) CCG Application Letter (mandatory for submitting an application).

b) Organizational Chart (mandatory for submitting an application).

c) Proposed Sample Plan (may be submitted after submitting an application).

a) The CCG application letter must address all the requirements listed under section 10.02(B) of the QI Agreement and section 8.02(C) of the WP Agreement in a manner that demonstrates that all entities proposed to be included in the CCG meet those requirements.  The application letter must also list the Legal Names, FATCA IDs, Entity IDs, and QI-EINs of all QIs under the same common ownership or WP-EINs of all WPs that have the same sponsoring entity, including those QIs under common ownership or WPs that have the same sponsoring entity, that do not intend to be part of the CCG. This list must specifically identify which entities want to be included in the CCG and which do not. For entities not intending to be part of the CCG, it should be noted which intend to perform the periodic review and certify separately, and which intend to request a waiver of the periodic review.

If the Compliance Entity would like to exclude certain entities that are intended to be part of the CCG from the consolidated periodic review, the application letter must include the total reportable amounts for accounts held by foreign account holders, and reportable payments for accounts held by U.S. account holders during the year of the review, by entity, for every entity in the CCG. 

The application letter must also include a statement acknowledging that the proposed Compliance Entity will be jointly and severally liable for the obligations and liabilities of any entity in the consolidated compliance group relating to the entity's obligations under the QI or WP Agreement.  The statement should be signed by the proposed Compliance Entity's Responsible Officer.  

If the entity is a WP and the proposed Compliance Entity is not the Sponsoring Entity, the application letter should include a description of the relationship of the proposed Compliance Entity to the WPs in the proposed CCG and why the proposed Compliance Entity should be considered for Compliance Entity status.

b) Provide an organizational chart for all QIs under the same common ownership or a list of all WPs that have the same sponsoring entity for chapter 4 purposes.

c) A proposed sample plan includes sample size, strata, and allocation of sample units over the proposed strata.  Sample design should generally be based on the safe harbor method outlined in Appendix II, section II. A. 3 of the current QI agreement (Rev. Proc. 2017-15, 2017-3 I.R.B. 437).  When using the safe harbor method as the basis of the proposal, multiple substrata within the three prescribed strata ((1) all accounts held by direct account holders that are not U.S. non-exempt recipients; (2) accounts held by direct account holders that are U.S. non-exempt recipients; (3) accounts held by indirect account holders) may be proposed, as well as alternate sample allocation methods. The sample plan should also include population statistics such as number of sample units (QI accounts or WP partners), total reportable amounts for accounts held by foreign account holders or partners, total reportable payments for accounts held by U.S. account holders or partners, total chapter 3 withholding, total chapter 4 withholding, total back-up withholding (if applicable), and the standard deviation of a calculated exposure amount (30% of the applicable amount less actual withholding) on a strata by strata basis.  

Once agreed to, it is anticipated the final sample plan will specify a sample size for the group larger than if the sample size was calculated treating the group as one entity using the formula in Rev. Proc. 2017-15, but smaller than if sample sizes were calculated separately for each individual entity and then summed.  It is suggested the QI or WP contact the Financial Intermediaries team by e-mail at lbi.fi.qiwpissues@irs.gov before final submission of a sample plan to discuss its form and content.

Added:  02-26-2018

Return to top  

Q7. Will the IRS allow entities with differing certification due dates to be included in the same CCG?
A7. The IRS will consider allowing entities with different certification due dates to be included in the same CCG, as long as the formation of the CCG does not defer the certification for any entity in the group to a year later than would have been required under section 10.03 of the QI Agreement, or section 8.03(C) of the WP Agreement,. Any entity included in a CCG will have its next certification period set to the 3-year period subsequent to the years covered by the certification period of the CCG.  The application letter should include the certification due date for all entities in the group that would apply under section 10.03, or section 8.03(C) of the WP Agreement, of the QI Agreement. Regardless of the above, all entities in a CCG must have the same periodic review year.

Added:  02-26-2018

Return to top  

Q8. How will completing the certification for a CCG differ from completing a certification for an individual entity?
A8. A QI or WP that is not part of a CCG completes all parts of the certification as applicable.  The Compliance Entity of a CCG completes some parts of the certification for the CCG as a whole, while completing other parts of the certification on an entity by entity basis (one for each entity in the CCG) as follows:

a) QI - A Compliance Entity is required to complete Parts I and II for all QIs in its CCG by providing aggregate information (where applicable); however, a separate Part IV and Part VI must be completed for each and every QI in the group.  A Compliance Entity may not complete Part III because an entity included in a CCG is not eligible for a waiver.  Part V, Qualified Derivatives Dealer, will not be available for completion for certifications due in 2018 or 2019 because a QDD will not be required to perform a periodic review of its QDD operations until tax year 2019, as stated in Notice 2017-42, 2017-34 I.R.B. 212. 
 
b) WP - A Compliance Entity may complete Parts I and II for all WPs in its CCG by providing aggregate information (where applicable).  However, a separate Part IV must be completed for each and every WP in the group.  A Compliance Entity may not complete Part III because an entity included in a CCG is not eligible for a waiver.

Added:  02-26-2018

Return to top  

Q9. When is the deadline for QI/WP/WT entities to select the periodic review year of their certification?
A9.  All QI/WP/WT entities must select the periodic review year of their certification period before September 1, 2018. This includes those entities selecting 2017 as their periodic review year.

If a QI/WP/WT entity is applying for a waiver of the periodic review when making its periodic certification, it must select 2015 for its periodic review year, complete Parts I, II, and III of the certification, and submit its waiver application before September 1, 2018.  However, the entity will not be required to perform a periodic review if its waiver application is approved.

The IRS will notify the entity when a request for a waiver of the periodic review is approved or denied. If such request is denied with less than 6 months remaining before the certification due date, including any extensions, the entity will be granted a six month extension from the date of denial of the waiver to complete the periodic review and resubmit the certification. At that time, if the entity wants to select a year other than 2015 as its periodic review year, the entity should contact the FI Team at lbi.fi.qiwpissues@irs.gov. The resubmitted certification should include a completed Part IV and Part VI (if applicable).

Added:  05-04-2018

Return to top

Q10. When are the due dates for submission of QI/WP/WT Certifications?
A10.  The certification due date depends on which year the QI/WP/WT selected for its periodic review, and whether the QI/WP/WT requires a waiver of the periodic review requirement with its periodic certification (waiver applications). According to section 10.03 of the 2017 QI Agreement (QI Agreement) and section 8.03 of the 2017 WP Agreement and 2017 WT Agreement, the certification due date for a QI/WP/WT that selected 2015 or 2016 for its periodic review and that has a certification period ending in 2017 is July 1, 2018. For these cases, and for all waiver applications made by a QI/WP/WT for the certification period ending in 2017, IRS will permit an extension to September 1, 2018 to provide the certification.

According to those same sections noted above, the certification due date for a QI/WP/WT that selected 2017 for its periodic review is December 31, 2018. For these cases, IRS will grant an extension to March 1, 2019 to provide the certification.

These extensions are automatic (no application is required).

Added:  05-04-2018

Return to top

Q11. What may a QI rely on for purposes of satisfying the requirement in section 4.05(A)(1) of the 2017 QI Agreement (QI Agreement) and answering question D.3.a of Part I of the certification described in Appendix I to the QI Agreement regarding partnerships and trusts subject to joint account treatment?
A11. Under section 4.05(A)(1) of the 2017 QI Agreement, a QI is required to obtain a certification from each partnership or trust subject to joint account treatment indicating that the partnership or trust has maintained a permissible chapter 4 status (among the chapter 4 statuses specified in section 4.05(A)(1) of the 2017 QI Agreement) at all times during the certification period. In question D.3.a of Part I of the certification described in Appendix I to the 2017 QI agreement, a QI must certify that each partnership or trust to which the QI applies the joint account option has provided the QI with the certification described in the preceding sentence. For purposes of answering question D.3.a of Part I of the certification described in Appendix I to the 2017 QI Agreement, and to satisfy the requirement in section 4.05(A)(1) of the 2017 QI Agreement to obtain a permissible chapter 4 status for the partnership or trust, a QI may rely upon a valid Form W-8IMY it has on file (and upon which QI may rely under section 5.10 of the 2017 QI Agreement) in lieu of obtaining a representation from each partnership or trust for each certification period. If a QI chooses to rely upon a valid Form W-8IMY for the purposes described in the preceding sentence, and if the chapter 4 status of a partnership or trust was a nonparticipating FFI at any time during the certification period, the QI must report the name of each such partnership or trust in its certification by uploading this information as an attachment in accordance with the instructions to the QI, WP, and WT Application and Account Management System. A WP or WT may rely on this FAQ for purposes of the similar requirement in section 9.01(A)(1) of the 2017 WP and WT agreements and the certification described in the Appendix to the 2017 WP and WT agreements.

Added:  05-25-2018

Return to top

Q12. If a QI applies for a waiver of the periodic review requirement under section 10.07 of the 2017 QI agreement and has assumed primary withholding responsibility with respect to payments of substitute interest, is the QI required to complete Part VI of the certification described in Appendix I of the 2017 QI agreement?
A12. Section 10.07 of the 2017 QI agreement provides the requirements for a QI requesting a waiver of the periodic review requirement. Section 10.07(C) of the QI agreement requires the QI to include the information described in Appendix I when applying for a waiver. The general instructions to Appendix I provide that QIs that assume primary withholding responsibility for payments of substitute interest must complete Part VI. However, in order to provide the information required in Part VI, a QI would need to perform a periodic review. This FAQ clarifies that a QI that assumes primary withholding responsibility for payments of substitute interest and that is eligible for a waiver of the periodic review requirement does not need to complete Part VI of the certification described in Appendix I. Such QI should instead complete Parts I, II, and III of Appendix I, and in Part III.B, the QI should include information relating to payments of substitute interest for which the QI assumed primary withholding responsibility (in addition to its other QI activities, other than its activities as a QDD).

Added:  05-25-2018

Return to top

Q13.How should a QI that is not acting as a QDD take into account the good faith standard described in Notices 2016-76 and 2017-42 with respect to its section 871(m) transactions as an intermediary for purposes of its periodic review?
Notice 2016-76, 2016-51 I.R.B. 834, provides that the IRS will take into account the extent to which a withholding agent made a good faith effort to comply with the section 871(m) regulations when enforcing those provisions for delta one transactions for the 2017 calendar year, and for non-delta one transactions, the 2018 calendar year. The notice includes some examples of what the IRS will take into account to determine whether a withholding agent satisfies the good faith standard. Notice 2017-42, 2017-34 I.R.B. 212, extended the period during which the IRS will take into account the extent of a withholding agent’s good faith efforts to include 2018 for delta one transactions and 2019 for non-delta one transactions.

The good faith standard applies to withholding agents, including QIs acting as withholding agents that are acting as intermediaries for payments made on section 871(m) transactions. A QI that is acting as a withholding agent in its intermediary capacity should not exclude section 871(m) transactions from its review. Instead, the QI should disclose any section 871(m) transactions included in the review that the QI believes should be subject to the good faith standard for purposes of reporting the factual information with its periodic certification that includes the 2017, 2018, or 2019 years. The QI should make the disclosure by uploading an attachment to the Qualified Intermediary/Withholding Foreign Partnership/Withholding Foreign Trust Application Management System. The disclosure should include a brief description of the issue, how the QI will address any such issue by the end of 2018, and why the good faith standard should apply.

Added:  06-27-2018

Return to top

Q14Can the sample size calculated for the documentation review, (performed as part of the Periodic Review), using the safe harbor statistical sample design contained in Appendix II of the 2017 QI Agreement (Rev. Proc. 2017-15) exceed 321?
A14. A sample size calculated using the safe harbor sample design contained in Appendix II of Rev. Proc. 2017-15 generally should not exceed 321 sample units (i.e., accounts).  The possible exceptions are: (1) when the QI uses “optional further stratification by dollar amounts” (Rev. Proc. 2017-15, Appendix II, section II.A.6.) or when the sample population includes any accounts of, (2) Private Arrangement Intermediaries (PAI), (3) Partnerships or Trusts for which the QI is using the Agency Option, or (4) Joint Account Option.  Additionally, the QI or its reviewer can always decide to have a sample population larger than that resulting from the Safe Harbor Method.

Added:  07-31-2018

Return to top

Q15.  In instances where there are less than 60 accounts in a stratum population, must the difference between 60 and the number of accounts in the stratum population be reallocated to the remaining strata?
 A15.  No, it is not necessary to reallocate the difference between 60 and the actual number of accounts in a stratum population over the other strata; and, therefore, such an instance should not increase the total sample size.

Added:  07-31-2018

Return to top

Q16.  If the number of accounts allocated to a stratum is less than 60 and less than the number of accounts in that stratum population, how many accounts from that stratum should be selected for the sample?  What effect will this have on the other strata?
 A16. The number of accounts to be sampled from that stratum is the lesser of 60 accounts or the number of accounts in that stratum population.  The difference between the number of accounts to be sampled and the number of accounts allocated to that stratum should reduce the number of accounts allocated to all other strata with a stratum population greater than 60 accounts, on a pro rata basis.  Strata created for PAI and Agency Option Accounts should not be affected by such stratum.

Added:  07-31-2018

Return to top

Q17. What is the certification requirement under section 10.03 and Appendix I of the QI Agreement (“the Agreement”), when the QI’s responsible officer has identified an event of default described in section 11.06 of the Agreement, or a material failure described in section 10.03(B) of the Agreement, prior to the QI’s certification date?
Under section 10.03 of the Agreement, a QI’s responsible officer must make the certification described in either Part II.A (Certification of Effective Internal Controls) or Part II.B (Qualified Certification) of Appendix I to the Agreement.  Section 10.03 also states that a responsible officer must make a qualified certification if the responsible officer has identified an event of default or material failure that has not been corrected as of the date of the certification.  Whether the responsible officer has identified any such event of default or material failure is also a question in the QI Application and Account Management System for purposes of a QI’s certification.

Given these requirements, if the responsible officer has identified an event of default, irrespective of whether the event of default has been cured at the time of certification, the responsible officer must make a qualified certification, and must disclose the event of default when making the certification.  If the responsible officer has identified only one or more material failures that are not events of default, however, the responsible officer is not required to make a qualified certification for that reason when the responsible officer (1) certifies that each material failure has been corrected at the time of the certification, and (2) identifies each material failure as part of the certification.   

If a responsible officer has identified either an event of default, or a material failure that has not been corrected as of the date of the certification, the responsible officer should skip the eight statements contained in the QI Application and Accounts Management System that correspond to the statements set forth in Part II.A of Appendix I of the Agreement (for the Certification of Effective Internal Controls), and proceed directly to the qualified certification (the next step in the certification) described in Part II.B.

Added:  08-21-2018

Return to top


IGA Registration

Q1. Please provide a link that lists the jurisdictions treated as having in effect a Model 1 or Model 2 IGA.
The U.S. Department of Treasury’s list of jurisdictions that are treated as having an intergovernmental agreement in effect can be found by clicking on the following link: IGA LIST

Return to top

Q2. How do Foreign Financial Institutions in Model 1 jurisdictions register on the FATCA registration website?
Financial Institutions that are treated as Reporting Financial Institutions under a Model 1 IGA (see the list of jurisdictions treated as having an IGA in effect at IGA LIST) should register as Registered Deemed-Compliant Foreign Financial Institutions.

More information on registration can be found in the FATCA Registration Online User Guide: FATCA Registration Resources Page (See Section 2.4 “Special Rules for Registration”)

Return to top

Q3. How do Foreign Financial Institutions in Model 2 jurisdictions register on the FATCA registration website?
Financial Institutions that are treated as Reporting Financial Institutions under a Model 2 IGA (see the list of jurisdictions treated as having an IGA in effect at IGA LIST) should register as Participating Foreign Financial Institutions.

More information on registration can be found in the FATCA Registration Online User Guide:  FATCA Registration Resources Page (See Section 2.4 “Special Rules for Registration”)

Return to top

Q4. We are an FFI in a country that has not signed an IGA, and the local laws of our country do not allow us to report U.S. accounts or withhold tax. What is our FATCA classification?
Unless the Treasury website provides that your country is treated as having an IGA in effect, then, because of its local law restrictions, this FFI should register as a Limited FFI provided it meets the definition shown directly below. See FATCA - Archive   for a list of countries treated as having an IGA in effect.

A Limited FFI means an FFI that, due to local law restrictions, cannot comply with the terms of an FFI Agreement, or otherwise be treated as a PFFI or RDCFFI, and that is agreeing to satisfy certain obligations for its treatment as a Limited FFI.

Return to top

Q5. In a Model 1 IGA jurisdiction, does the FFI need to fill out Question 10 about Responsible Officers?
Yes, if an FFI treated as a reporting Model 1 FFI wishes to have a GIIN, a Responsible Officer must be designated in Part 1, line 10 of Form 8957.     Please see the FAQs on Responsible Officers for further information. 

Return to top

Q6. Does an FFI in a Model 1 IGA jurisdiction need to register before July 1, 2014, if the FFI is part of an EAG?
No.  The chapter 4 regulations generally provide that, in order for withholding not to apply, a withholding agent must obtain the GIIN of a PFFI or an RDCFFI for payments made after June 30, 2014.  A special rule in these regulations, however, provides that a withholding agent does not need to obtain a reporting Model 1 FFI’s GIIN for payments made before January 1, 2015.  As a result, a reporting Model 1 FFI will have additional time beyond July 1, 2014, to register and obtain a GIIN in order to ensure that it is included on the IRS FFI list before January 1, 2015.  Additionally, a reporting Model 1 FFI is not required to register prior to December 31, 2014, in order for its expanded affiliated group to meet the requirements of Treas. Reg. §1.1471-4(e)(1).

Return to top

Q7. Does an entity in a Model 1 jurisdiction that, relying on the definition of a nonreporting financial institution under the applicable IGA,  qualifies as a deemed-compliant FFI or an exempt beneficial owner under relevant U.S. Treasury Regulations, need to register on the FATCA registration website?
A nonreporting financial institution in a Model 1 jurisdiction is treated as a certified deemed-compliant FFI and is not required to register unless it (1) is subject to a registration requirement under its QI Agreement (see Rev. Proc. 2014-39) or its WP or WT Agreement (see Rev. Proc. 2014-47), (2) will act as a sponsoring entity, (3) will act as a lead FI for one or more related entities, (4) is explicitly required to register under the applicable IGA, or (5) has a financial account on which to report to the Model 1 jurisdiction under the requirements of the applicable IGA.

Return to top

Q8. Announcement 2014-38 provides that a jurisdiction that is treated as if it has an IGA in effect, but that has not yet signed an IGA, retains such status beyond December 31, 2014, provided that the jurisdiction continues to demonstrate firm resolve to sign the IGA that was agreed in substance.  Given this additional time to sign the IGA, does a reporting Model 1 FFI in such a jurisdiction need to register and obtain a GIIN before January 1, 2015?
Announcement 2014-38 does not change the requirement in the chapter 4 regulations that for payments made on or after January 1, 2015, in order for withholding not to apply, a withholding agent may treat a reporting Model 1 FFI as a registered deemed-compliant FFI only if the withholding agent has a withholding certificate identifying the payee as a registered deemed-compliant FFI and the withholding certificate contains a GIIN for the payee that is verified in the manner described in those regulations.  Thus, to avoid withholding on certain payments made on or after January 1, 2015, a reporting Model 1 FFI should register and obtain a GIIN to properly certify its status to a withholding agent required to document the FFI for chapter 4 purposes.   A reporting Model 1 FFI that has registered but not yet obtained a GIIN should indicate to its withholding agent that its GIIN is &quotapplied for,&quot and in such case, the withholding agent will have 90 days from the date it receives the Form W-8 to obtain a GIIN and to verify the accuracy of the GIIN against the published IRS FII list before it has reason to know that the payee is not a registered deemed-compliant FFI.

Announcement 2014-38 similarly does not change the timing of any other due diligence and reporting requirements in the chapter 4 regulations. 

Added:  12-22-2014

Return to top


Expanded Affiliated Groups

Q1. For registration purposes, can an EAG with a Lead FI and 2 Member FIs be divided into: (1) a group with a Lead FI and a member FI, and (2) a member FI that will register as a Single FI?
Yes. An EAG may organize itself into subgroups, so long as all entities with a registration requirement are registered. An FI that acts as a Compliance FI for any members of the EAG is, however, required to register each such member as would a Lead FI for such members.

Return to top

Q2. What is required for an entity to be a Lead FI?
A Lead FI means a USFI, FFI, or a Compliance FI that will initiate the FATCA Registration process for each of its Member FIs that is a PFFI, RDCFFI, or Limited FFI and that is authorized to carry out most aspects of its Members’ FATCA Registrations. A Lead FI is not required to act as a Lead FI for all Member FIs within an EAG. Thus, an EAG may include more than one Lead FI that will carry out FATCA Registration for a group of its Member FIs. A Lead FI will be provided the rights to manage the online account for its Member FIs. However, an FFI seeking to act as a Lead FI cannot have Limited FFI status in its country of residence.  See Rev. Proc. 2014-38 to review the revised FFI agreement for other requirements of a Lead FI that is also a participating FFI.

Return to top

Q3. Can a Member FI complete its FATCA registration and obtain a GIIN if the Lead FI for that Member FI has not yet registered under FATCA?
No, a Member FI can only register after its Lead FI has registered.  When the Member FI does register, it should indicate in Part 1, line 1, that it is a member of an expanded affiliated group.

In Part 2 of the Lead FI’s registration, the Lead FI will add basic identifying information for each Member, and the system will create the Member FATCA accounts.  Each Member FI will then be required to log into the system and complete its registration.

Return to top

Q4. Is a limited FFI who is a member of an Expanded Affiliated Group subject to Chapter 4 withholding?
Yes. A limited FFI (regardless of whether it is a member of an Expanded Affiliated Group) must identify itself to withholding agents as a nonparticipating FFI and, as a result, is subject to Chapter 4 withholding.  Thus, while limited FFIs are generally required to register, they will not be issued GIINs.

Return to top


Sponsoring/Sponsored Entities

Q1. We are a Sponsoring Entity, and we would like to register our Sponsored Entities. How do we register our Sponsored Entities?
The Sponsoring Entity that agrees to perform the due diligence, withholding, and reporting obligations of one or more Sponsored Entities pursuant to Treas. Reg. §1.1471-5(f)(1)(i)(F) should register with the IRS via the FATCA registration website to be treated as a Sponsoring Entity. To allow a Sponsoring Entity to register its Sponsored Entities with the IRS, the Sponsoring Entity must register its Sponsored Entities using the FATCA registration website see FATCA Online Registration User Guide for additional instructions on how to add Sponsored Entities.

While a Sponsoring Entity is required to register its Sponsored Entities for those entities to obtain GIINs, the temporary and proposed regulations provide a transitional rule that, for payments prior to January 1, 2016, permit a Sponsored Entity to provide the GIIN of its Sponsoring Entity on withholding certificates if it has not yet obtained a GIIN. Thus, a Sponsored Entity does not need to provide its own GIIN until January 1, 2017 and is not required to register before that date.

Updated:  02-02-2016

Return to top


Responsible Officers and Points of Contact

Q1. What is a Point Of Contact (POC)?
The Responsible Officer listed on line 10 of Form 8957 (or the online registration system) can authorize a POC to receive FATCA-related information regarding the FI, and to take other FATCA-related actions on behalf of the FI. While the POC must be an individual, the POC does not need to be an employee of the FI. For example, suppose that John Smith, Partner of X Law Firm, has been retained and been given the authority to help complete and submit the FATCA Registration on behalf of an FI. John Smith should be identified as the POC, and in the Business Title field for this POC, it should state Partner of X Law Firm.

Return to top

Q2. Is the Responsible Officer required to be the same person for all lines on Form 8957 or the online registration (“FATCA Registration”)?
No, it is not required that the Responsible Officer (“RO”) be the same person for all lines on Form 8957 or the online registration.  It is possible, however, that the same person will have the required capacity to serve as the RO for all FATCA Registration purposes.

The term “RO” is used in several places in the FATCA Registration process.  In determining an appropriate RO for each circumstance, the Financial Institution (“FI”) or direct reporting NFFE should review the capacity requirements and select an individual who meets those requirements.  This will be a facts and circumstances determination.

Please note that the responsible officer used for registration purposes may differ from the certifying responsible officer of an FFI referenced in Treasury Regulation §1.1471-1(b)(116).  (See, however, below regarding “Delegation of RO Duties.”)

Below is a description of the required RO capacity per line:

Part 1, Question 10 (FATCA RO for the Financial Institution)

Language from the Form 8957 Instructions and the FATCA Online Registration User Guide specifies that the RO for question 10 purposes is a person authorized under applicable local law to establish the statuses of the entity's home office and branches as indicated on the registration form.  (See FAQ below for what it means to &quotestablish the FATCA statuses&quot of the FI's home office and branches or direct reporting NFFE.)

Part 1, Question 11b (Point of Contact authorization)

The RO identified in question 11b must be an individual who is authorized under local law to consent on behalf of the FI or direct reporting NFFE (“an authorizing individual”) to the disclosure of FATCA-related tax information to third parties.  By listing one or more Points of Contact (each, a “POC”) in question 11b and selecting “Yes” in question 11a, the authorizing individual identified at the end of question 11b (to the right of the checkbox) is providing the IRS with written authorization to release the entity’s FATCA-related tax information to the POC.  This authorization specifically includes authorization for the POC to complete the FATCA Registration (except for Part 4), to take other FATCA-related actions, and to obtain access to the FI’s (or direct reporting NFFE’s) tax information.  Once the authorization is granted, it is effective until revoked by either the POC or by an authorizing individual of the FI or direct reporting NFFE.

Part 4

The authority required for an individual to be an RO for purposes of Part 4 is substantially similar to the authority required for RO status under Treas. Reg. § 1.1471-1(b)(116). 

The RO designated in Part 4 must be an individual with authority under local law to submit the information provided on behalf of the FI or direct reporting NFFE.  In the case of FIs or FI branches not governed by a Model 1 IGA, this individual must also have authority under local law to certify that the FI meets the requirements applicable to the FI status or statuses identified on the registration form.  This individual must be able to certify, to the best of his or her knowledge, that the information provided in the FI’s or direct reporting NFFE’s registration is accurate and complete.  In the case of an FI, the individual must be able to certify that the FI meets the requirements applicable to the status(es) identified in the FI’s registration.  In the case of a direct reporting NFFE, the individual must be able to certify that the direct reporting NFFE meets the requirements of a direct reporting NFFE under Treas. Reg. § 1.1472-1(c)(3). 

An RO (as defined for purposes of Part 4) can delegate authorization to complete Part 4 by signing a Form 2848 “Power of Attorney Form and Declaration of Representative” or other similar form or document (including an applicable form or document under local law giving the agent the authorization to provide the information required for the FATCA Registration).

Note: While the certification in Part 4 of the online registration does not include the term “responsible officer,” the FATCA Online Registration User Guide provides that the individual designated in Part 4 must have substantially the same authority as the RO as defined for purposes of Form 8957, Part 4.

Delegation of RO Duties

While the ROs for purposes of Question 10, Question 11b, and Part 4 of the FATCA Registration may be different individuals, in practice it will generally be the same individual (or his/her delegate)).  The regulatory RO is responsible for establishing and overseeing the FFI’s compliance program.  The regulatory RO may, but does not necessarily have to, be the registration RO for purposes of 1) ascertaining and completing the chapter 4 statuses in the registration process; 2) receiving the GIIN and otherwise interacting with the IRS in the registration process; and 3) making the Part 4 undertakings.  Alternatively, the regulatory RO, or the FFI (through another individual with sufficient authority), may delegate each of these registration roles to one or more persons pursuant to a delegation of authority (such as a Power of Attorney) that confers the particular registration responsibility or responsibilities to such delegate(s).  The scope of the delegation, and the delegate’s exercise of its delegated authority within such scope, will limit the scope of the potential liability of the delegate under the rules of agency law , to the extent applicable.  The ultimate principal, whether that is the regulatory RO or the FFI, remains fully responsible in accordance with the terms and conditions reflected in the regulations, and other administrative guidance to the extent applicable under FATCA, the regulations

Return to top

Q3. The Instructions for Form 8957 state that for purposes of Part 1, question 10, “. . .  RO means the person authorized under applicable local law to establish the statuses of the FI’s home office and branches as indicated on the registration form.”  What does it mean for an RO to have the authority to “establish the statuses of the FI’s home office and branches as indicated on the registration form”?
To have the authority to “establish the statuses” for purposes of question 10, an RO must have the authority to act on behalf of the FI to represent the FATCA status(es) of the FI to the IRS as part of the registration process.  This RO must also have the authority under local law to designate additional POCs.

Return to top

Q4. My FI plans on employing an outside organization (or individual) solely for the purpose of assisting with the registration process.  Once registration is complete, or shortly thereafter, my FI intends to discontinue its relationship with this organization.  Is this permissible under the FATCA registration system? How should my FI use the registration system to identify this relationship?
Yes, the FI or direct reporting NFFE may employ an outside organization to assist with FATCA registration and discontinue the relationship with the outside organization once registration is complete.  As part of the registration process, an FI or direct reporting NFFE may appoint up to five POCs who are authorized to take certain FATCA-related actions on behalf of the entity, including the ability to complete all parts of the FATCA Registration (except for Part 4), to take other appropriate or helpful FATCA-related actions, and to obtain access to the entity’s FATCA-related tax information.  The POC authorization must be made by an RO within the meaning of Part 1, question 10.  Part 4 must be completed by the RO or a duly authorized agent of the RO.  (See FAQ 1 for a discussion of the process for delegating authorization to complete Part 4.)

Once the services of a POC are no longer needed, the RO may log into the online FATCA account and delete the POC.  This process revokes the POC’s authorization.  At this point, the Responsible Officer can input a new POC, or leave this field blank if they no longer wish to have any POC other than the RO listed on Line 10.

If a third-party adviser that is an entity is retained to help the FI or direct reporting NFFE complete its FATCA registration process, the name of the third-party individual adviser that will help complete the FATCA registration process should be entered as a POC in Part 1, question 11b, and the “Business Title” field for that individual POC should be completed by inserting the name of the entity and the POC’s affiliation with the entity.  For example, suppose that John Smith, Partner of X Law Firm, has been retained and been given the authority to help complete the FATCA Registration on behalf of FI Y.  John Smith should be identified as the POC, and in the Business Title field for this POC, it should state Partner of X Law Firm.

Return to top

Q5. For each of the following FATCA classifications (i.e. Participating Foreign Financial Institution “PFFI”, PFFI that elects to be part of a consolidated compliance program, Registered Deemed-Compliant Foreign Financial Institution “RDCFFI”, Reporting Model 1 FFI, Limited FFI and US Financial Institution “USFI”) what type of individual may serve as a Responsible Officer for purposes of Part 1, Question 10 of the FATCA Registration?
With respect to a PFFI, an RO is an officer of the FFI (or an officer of any Member FI that is a PFFI, Reporting Model 1 FFI or Reporting Model 2 FFI) with sufficient authority to fulfill the duties of a Responsible Officer described in a FFI Agreement. 

With respect to a PFFI that elects to be part of a consolidated compliance program, an RO is an officer of the Compliance FI with sufficient authority to fulfill the duties of a Responsible Officer described in the FFI Agreement on behalf of each FFI in the compliance group (regardless of whether the FFI is a Limited FFI or treated as a Reporting Model 1 FFI or Reporting Model 2 FFI).

With respect to a RDCFFI, other than a RDCFFI that is a Reporting Model 1 FFI, an RO is an officer of the FI (or an officer of any Member FFI that is a PFFI, Reporting Model 1 FFI, or Reporting Model 2 FFI) with sufficient authority to ensure that the FFI meets the applicable requirements to be treated as a RDCFFI. 

With respect to a Reporting Model 1 FFI, an RO is any individual specified under local law to register and obtain a GIIN on behalf of the FFI.  If, however, the Reporting Model 1 FFI operates any branches outside of a Model 1 IGA jurisdiction, then the RO identified must be an individual who can satisfy the requirements under the laws of the Model 1 IGA jurisdiction and the requirements relevant to the registration type selected for each of its non-Model 1 IGA branches. 

With respect to a Limited FFI, an RO is an officer of the Limited FFI (or an officer of any Member FI that is a PFFI, Reporting Model 1 FFI, or Reporting Model 2 FFI) with sufficient authority to ensure that the FI meets the applicable requirements to be treated as a Limited FFI. 

With respect to a USFI that is registering as a “Lead FI”, an RO is any officer of the FI (or an officer of any Member FI) with sufficient authority to register its Member FIs and to manage the online FATCA accounts for such members.

Return to top

Q6. Part 4 of the online registration system* states:
By checking this box, I, _________, [(the responsible officer or delegate thereof (herein collectively referred to as the “RO”)], certify that, to the best of my knowledge, the information submitted above is accurate and complete and I am authorized to agree that the Financial Institution (including its branches, if any) will comply with its FATCA obligations in accordance with the terms and conditions reflected in regulations, intergovernmental agreements, and other administrative guidance to the extent applicable to the Financial Institution based on its status in each jurisdiction in which it operates.

*Note: Part 4 of Form 8957 contains a substantially similar certification.

Q7. How often should my RO and POC information be updated? 
Your FATCA registration must always be updated with the current name and email address of your responsible officer and point of contact(s) as soon as there is a change.
 
When you complete a FATCA registration, you are asked to include the name and contact information of (1) a Responsible Officer (“RO”) and (2) a Point of Contact (“POC”).  Specifically, among other information, you must provide their mailing and email addresses as well as their telephone numbers. 
 
The RO and POC information provides the IRS with the name and contact information of persons with whom they will communicate for reasons including but not limited to certifications, general inquiries and other FATCA compliance purposes.  You are responsible for ensuring that you can receive email and message notifications from the IRS.
 
The IRS will send notices to your registration system message board for the reasons noted above and to give you a notification of potential actions to be taken on your account.  Your RO will also receive an email notification when the IRS has sent a notice to your message board.  It is your responsibility to make sure that you receive and review any messages sent to your message board and to ensure that your RO’s email address is accurate. 

Added:  09-26-2018

Return to top


Can this statement be broken down into two declarations of the RO, as follows? 

(i) The RO certifies that, to the best of its knowledge, the information submitted above is accurate and complete. 

(ii) The RO agrees that the FI (including its branches, if any) will comply with its FATCA obligations in accordance with the terms and conditions reflected in regulations, intergovernmental agreements, and other administrative guidance to the extent applicable to the FI based on its status in each jurisdiction in which it operates.
Yes.

Does the first declaration above mean that the RO certifies that, to the best of its knowledge, the FI meets the requirements of its claimed status?
Yes.

Does the second declaration above apply to an FI treated as a reporting Model 2 FFI?
Yes.

Does the second declaration above (relating to a Participating FFI) require the signing party to ensure that the FFI and its member FFIs (including its branches, if any) comply with its respective obligations under the terms of its FFI Agreement or any applicable intergovernmental agreement and any such applicable local law?
The second declaration requires the signing party to be able to certify that, to the best of the signing party’s knowledge at the time the FATCA registration is signed, the FI and its member FFIs intend to comply with their respective FATCA obligations. 

A Participating FFI will have its certifying responsible officer (as defined in Treasury Regulation §1.1471-1(b)(116)) periodically certify to the IRS regarding the FFI's compliance with its FFI agreement.  As noted in FAQ 1, the RO identified in Part 4 will normally be an individual with sufficient authority to be eligible for RO status under Treas. Reg. § 1.1471-1(b)(116).  (See, however, above regarding “Delegation of RO Duties.”)

How do the certifications in Part 4 apply to FIs treated as reporting Model 1 FFIs?
The first declaration above applies to FIs treated as reporting Model 1 FFIs and, as such, the RO of an FI treated as a reporting Model 1 FFI certifies that, to the best of the RO’s knowledge, the information submitted as part of the FATCA Registration process is accurate and complete.  The second declaration, however, has limited applicability to FIs treated as reporting Model 1 FFIs because the FI does not have ongoing FATCA compliance obligations directly with the IRS.  Instead, the compliance and reporting obligations of an FI treated as a reporting Model 1 FFI are to its local authority.  However, a reporting Model 1 FFI that has branches (as identified in Part 1, line 9 of Form 8957) that are located outside of a Model 1 IGA jurisdiction will also agree to the terms applicable to the statuses of such branches.  Additionally, an FI (including an FI in a Model 1 IGA jurisdiction) that is also registering to renew its QI, WP, or WT Agreement will agree to the terms of such renewed QI, WP, or WT Agreements by making the second declaration.

Return to top


Financial Institutions

Q1. Are U.S. Financial Institutions (USFIs) required to register under FATCA? If so, under what circumstances would a USFI register? Does it matter whether the USFI has a branch in an IGA jurisdiction?
A USFI is generally not required to register under FATCA, regardless of whether it maintains a foreign branch.  However, a USFI must register if the USFI chooses to become a Lead FI and/or a Sponsoring Entity, or if the USFI seeks to maintain QI status with respect to one or more of its foreign branches.  Also, a USFI with a foreign branch that is a reporting Model 1 FFI must register (and identify each such branch when registering).

A USFI with a foreign branch that is a non-QI branch and that is a reporting Model 2 FFI is not required to register with the IRS solely because it maintains a branch in the Model 2 jurisdiction. A USFI does not execute an FFI agreement with respect to the chapter 4 requirements of such a branch, but is subject to the withholding and reporting requirements under chapter 4 applicable to a U.S. withholding agent. Notwithstanding that the USFI does not execute an FFI agreement with respect to the chapter 4 requirements of such a branch, the USFI may, for accounts maintained by the branch, use the procedures set forth in Annex I of the applicable Model 2 IGA to determine which of the branch’s account holders are NPFFIs or NFFEs for which withholding or reporting under section 1472 may apply.

See Treas. Reg. § 1.6049-5(c) regarding the extent to which the documentation permitted under an IGA (including for identifying U.S. accounts (or U.S reportable accounts maintained by a reporting Model 1 FFI)) may be used to satisfy the documentation rules of chapter 61 for a payor.

Return to top

Q2. Is a Foreign Financial Institution (“FFI”) required to obtain an EIN?
If the FFI has a withholding obligation and will be filing Forms 1042 and Forms 1042-S with the Internal Revenue Service, it will be required to have an EIN. Please see publication 515 (“Withholding of Tax on Nonresident Aliens and Foreign Entities”) for further information about U.S. Withholding requirements. See Pub. 515. An FFI is also required to obtain an EIN when it is a QI, WP, or WT (through the application process to obtain any such status) or when the FFI is a participating FFI that elects to report its U.S. accounts on Forms 1099 under Treas. Reg. §1.1471-4(d)(5).

Return to top

Q3. How does a FFI apply for a EIN if it does not already have one?
If a FFI does not have an EIN, it may apply for one using Form SS-4 (“Application for Employer Identification Number”) or the online registration system. See Apply-for-an-Employer-Identification-Number-(EIN)-Online for more information.

Return to top


Exempt Beneficial Owners

Q1. We are a foreign central bank of issue. Will we be subject to FATCA withholding if we do not register?
You will generally be exempt from FATCA Registration and withholding if you meet the requirements to be treated as an exempt beneficial owner (e.g. as a foreign central bank of issue described in Treas. Reg. § 1.1471-6(d), as a controlled entity of a foreign government under Treas. Reg. §1.1471-6(b)(2), or as an entity treated as either of the foregoing under an applicable IGA). A withholding agent is not required to withhold on a withholdable payment to the extent that the withholding agent can reliably associate the payment with documentation to determine the portion of the payment that is allocable to an exempt beneficial owner in accordance with the regulations. However, an exempt beneficial owner may be subject to withholding on payments derived from the type of commercial activity described in Treas. Reg. § 1.1471-6(h).

Return to top

Q2. We are a foreign pension plan. Will we be subject to FATCA withholding if we do not register?
You will be exempt from FATCA Registration and withholding if you meet the requirements to be treated as a retirement fund described in Treas. Reg. § 1.1471-6(f), or under an applicable IGA. A withholding agent is not required to withhold on a withholdable payment to the extent that the withholding agent can reliably associate the payment with documentation to determine the portion of the payment that is allocable to an exempt beneficial owner (in this case, a retirement fund) in accordance with the regulations.

Return to top


NFFES

Q1. How should an entity seeking the FATCA status of “direct reporting NFFE” (other than a sponsored direct reporting NFFE) register for this status to obtain a GIIN in order to avoid FATCA withholding?
A direct reporting NFFE is eligible to register for this status and when registering should complete an online registration (or, alternatively, submit a paper Form 8957) based on the instructions provided in this FAQ.   For registrations occurring in years after 2014, it is anticipated that both the online registration user guide and the Instructions for Form 8957 will be updated to incorporate instructions for registering direct reporting NFFEs.

In general, for purposes of completing the registration of a direct reporting NFFE, substitute the words “direct reporting NFFE” for the words “financial institution” wherever  they appear in the online registration user guide (or in the Instructions for Form 8957).  Unless specific instructions for a registration question are described here in this FAQ, please use the generally applicable instructions provided in the online registration user guide (or in the Instructions for Form 8957).

Part 1

Question 1 - - Select “Single”.
Question 4 - - Select “None of the above”.
Question 6 - - Select “Not applicable”.
Question 7 - - Select “No”.  (If using the portal online, selecting “no” will automatically skip Questions 8 and 9.)
Question 8 - - Skip this question (which relates to branches)
Question 9 - - Skip all parts (a) through (c) of this question (which relate to branches).
Question 10 - - Enter the information of the individual who will be responsible for ensuring that the direct reporting NFFE meets its FATCA reporting obligations and will act as a point of contact with the IRS in connection with its status as a direct reporting NFFE.

Part 2 - - It is not necessary for a direct reporting NFFE to complete this section. (If using the portal online, selecting Single in question 1 will automatically skip Part 2.)

Part 3 - - It is not necessary for a direct reporting NFFE to complete this section. (If using the portal online, selecting “Not Applicable” in question 6 will automatically skip Part 3.)

Part 4 - - The individual who completes this part must have the authority to provide the certification.

Please note the following for a NFFE that is a Qualified Intermediary (QI), a Withholding Foreign Partnership (WP), or a Withholding Foreign Trust (WT):

A NFFE that registers and obtains a GIIN should renew its QI/WP/WT agreement (as applicable) through the portal and generally follow the instructions above.  However, Part 1, Question 6 should be answered to reflect the NFFE’s appropriate QI/WP/WT status.  NFFEs that obtain GIINs include (i) NFFEs that are acting as QIs with respect to their owners (which are required to register as direct reporting NFFEs), and (ii) QI/WP/WT NFFEs that are also Sponsoring Entities for chapter 4 purposes.

A NFFE cannot execute a QI/WP/WT agreement through the portal (other than a renewal of an existing agreement).  A NFFE that is registered on the portal for its chapter 4 status as either a direct reporting NFFE or Sponsoring Entity and is seeking initial QI/WP/WT status must execute a QI/WP/WT agreement through the existing traditional paper processes for those entities.  Once the NFFE receives the appropriate EIN to act as a QI/WP/WT through that process, the NFFE should amend Part 1, Question 6 of its FATCA registration on the portal to reflect its new status as a QI/WP/WT and add its EIN to its registration.

Note that an entity that wishes to renew its status as a WP or WT will have until July 31, 2014, to register with the IRS to renew its WP or WT status and will not be required to assume the requirements of an updated agreement before August 1, 2014

Return to top

Q2. How should a sponsor of a sponsored direct reporting NFFE register itself for this status and obtain a GIIN?
A sponsor of a sponsored direct reporting NFFE is a sponsoring entity (see Treas. Reg. § 1.1471-1T(b)(124)) and  should complete an online registration (or, alternatively, submit a paper Form 8957) as a sponsoring entity, based on the instructions provided in this FAQ.  A sponsoring entity need only complete one registration to act as the sponsor for both sponsored FFIs and sponsored direct reporting NFFEs.  For registrations occurring in years after 2014, it is anticipated that both the online registration user guide and the Instructions for Form 8957 will be updated to incorporate this information, including by incorporating the definition of sponsoring entity provided in Treas. Reg. § 1.1471-1T(b)(124).

In general, for purposes of having a sponsor register a sponsored direct reporting NFFE, substitute the words “sponsor of a direct reporting NFFE” for the words “sponsoring entity” wherever they appear in the online registration user guide (or in the Instructions for Form 8957).  Unless specific instructions for a registration question are described here in this FAQ, please use the generally applicable instructions provided in the online registration user guide (or in the Instructions for Form 8957).

Part 1

Question 1 - - Select “Sponsoring Entity”.

Question 4 - - Select “None of the above”.

Question 6 - - Select “Not applicable”.

Question 7 - - Select “No”. (If using the portal online, selecting “no” will automatically skip Questions 8 and 9)

Question 8 - - Skip this question (which relates to branches)

Question 9 - - Skip all parts (a) through (c) of this question (which relate to branches).

Question 10 - - Enter the information of the individual who will be responsible for ensuring that the direct reporting NFFE meets its FATCA reporting obligations and who will act as a point of contact with the IRS in connection with its obligations as a sponsoring entity.

Part 2 - - It is not necessary for a sponsor of a direct reporting NFFE to complete this section.  (If using the portal online, selecting Sponsoring Entity in question 1 will automatically skip Part 2.)

Part 3 - - It is not necessary for a sponsor of a direct reporting NFFE to complete this section. (If using the portal online, selecting “Not Applicable” in question 6 will automatically skip Part 3.)

Part 4 - - The individual who completes this part must have the authority to provide the certification.

Return to top

Q3. Can a direct reporting NFFE be registered as a Member FI?
Yes.  For Part 2, Question 12, select “None of the above” as the Member Type.  See above for additional information on how to register a direct reporting NFFE.   As noted in the FAQs on Expanded Affiliated Groups, the use of Lead FIs is elective.  Therefore, a NFFE that is part of an EAG is not required to be registered as a Member FI.

Return to top

Q4. Does a direct reporting NFFE have to separately register its branches when it completes its FATCA registration?
No.  The direct reporting NFFE should register itself only and will be issued a single GIIN.

Return to top

Q5. I am a Direct Reporting NFFE not required to renew the FFI agreement and recently had my FATCA registration status changed from approved to Registration Incomplete. What should I do to return to approved status on the FATCA FFI List?
Log on to the FATCA FFI Registration System, verify and update the registration information as needed and re-submit the application.

Added:  12-13-2017

Return to top


Registration Update

Q1. Why did my registration status change to Registration Incomplete?  What can I do?
If your registration status is Registration Incomplete, it is because the IRS has identified an issue with your registration.  Please review your registration for any of the following errors and update it accordingly.  After you have updated your registration, you must resubmit in order for your registration to be processed.

  1. The FFI has identified itself as a Qualified Intermediary with a QI-EIN of which the IRS has no record.  (If you have QI, WP or WT Agreement signed with the IRS, please contact the Financial Intermediaries Team for further assistance.)
  2. The RO has been identified with initials only and no specific name has been provided.
  3. The RO does not appear to be a natural person.
  4. Notice 2013-43 stated that after January 1, 2014 the FI will need to submit a final registration. If an FI submitted a registration prior to this date, the registration status was systemically updated to Registration Incomplete on December 31, 2013.

To update and resubmit your registration, login to your FATCA account, and select “Registration – Edit/Complete/Submit” under the Available Account Options on your home page.  You will be asked if you want to change your status to Initiated. Select yes, and review each page of the registration, making any necessary updates, and clicking the “next” button at the bottom of each page to continue.  When you get to Part 4 of the registration, complete the information, and click on the Submit button.   Your registration status will then be updated to Registration Submitted.  You can go back at any time to update information.

Return to top

Q2. For each of the following FATCA classifications (i.e. Participating Foreign Financial Institution “PFFI” for Reporting Model 2 FFI, Registered Deemed Compliant Foreign Financial Institutions “RDCFFI” (for both Model 1 and non-Model 1 FFIs), Sponsoring Entity, Limited FFI or Limited Branch, Renewing QI/WP/WT, US Financial Institution “USFI” treated as a Lead FI and Direct Reporting NFFE) what is the impact of completing Part IV of the FATCA Registration?
PFFI Status for Reporting Model 2 FFI

Reporting Model 2 FFIs are registering to obtain a GIIN, provide authorization for individuals named in Part 1, Line 11 of the FATCA Registration to receive information related to FATCA registration, and to confirm that they will comply with the terms of an FFI Agreement in accordance with the FFI agreement, as modified by any applicable Model 2 IGA.

Notwithstanding the paragraph above, Reporting Model 2 FFIs operating branches outside of Model 1 or 2 IGA jurisdictions are agreeing to the terms of an FFI Agreement for such branches, unless the branches are treated as Limited Branches or are U.S. branches that are treated as U.S. persons.  Additionally, Reporting Model 2 FFIs requesting renewal of a QI, WP or WT Agreement are entering into the renewed Model QI, WP, or WT Agreements, as applicable. 

RDCFFI Status for Reporting Model 1 FFI

Reporting Model 1 FFIs are not entering into FFI Agreements via the FATCA registration process.  Reporting Model 1 FFIs are registering to obtain a GIIN and to provide authorization for individuals named in Part 1, Line 11 of the FATCA Registration to receive information related to FATCA registration.  Notwithstanding the preceding sentence, Reporting Model 1 FFIs operating branches outside of Model 1 or 2 IGA jurisdictions are agreeing to the terms of an FFI Agreement for such branches, unless the branches are treated as Limited Branches.  Additionally, Reporting Model 1FFIs requesting renewal of a QI, WP or WT Agreement are entering into such renewed Model QI, WP, or WT Agreements, as applicable. 

RDCFFI Status for FFI (other than a Reporting Model 1 FFI)

An FFI that is registering as an RDCFFI, other than a Reporting Model 1 FFI, is agreeing that it meets the requirements to be treated as an RDCFFI under relevant Treasury Regulations or is agreeing that it meets the requirements to be treated as a RDCFFI pursuant to an applicable Model 2 IGA.

Sponsoring Entity Status

An entity that is registering as a Sponsoring Entity is agreeing that it will perform the due diligence, reporting and withholding responsibilities of one or more Sponsored FFIs or Sponsored Direct Reporting NFFEs.

Limited FFI or Limited Branch Status

An FFI that is registering as a Limited FFI is confirming that it will comply with the terms applicable to a Limited FFI.  A branch of a PFFI that is registering as a Limited Branch is confirming that it will comply with the terms applicable to a Limited Branch.  GIINs will not be issued to a Limited FFI or Limited Branch.

Renewing QI/WP/WT 

An FFI, including a foreign branch of a USFI, requesting renewal of a QI Agreement is agreeing to comply with the relevant terms of the renewed Model QI Agreement with respect to its branches that are identified as operating as a QI.  The obligations under the renewed Model QI Agreement are in addition to any obligations imposed on the FFI to be treated as a PFFI, Reporting Model 2 FFI, RDCFFI, or Reporting Model 1 FFI. 

An FFI that is applying to renew its WP or WT Agreement is agreeing to comply with the relevant terms of the renewed Model WP or WT Agreement.  The obligations under the renewed Model WP or WT Agreement are in addition to any obligations imposed on the FFI to be treated as PFFI, Reporting Model 2 FFI, RDCFFI, or Reporting Model 1 FFI.  Additionally, a QI, WP, or WT is also certifying that it has in place and has implemented written policies, procedures, and processes for documenting, withholding, reporting and depositing tax with respect to its chapters 3 and 61 withholding responsibilities under its QI, WP, or WT Agreement. 

USFI treated as a Lead FI

A USFI that is part of an EAG and registering its Members FIs is agreeing to manage the online FATCA account for each such Member FI.

Direct Reporting NFFE

A direct reporting NFFE is agreeing to comply with the terms and obligations described under Treas. Reg. § 1.1472-1(c)(3). 

Return to top

Q3. How do Trustees of Trustee-Documented Trusts register?
Trustees needing to register Trustee-Documented Trusts (a certified deemed-compliant status for FFIs under the Model 1 and Model 2 IGAs) should use the same procedures Sponsors use to register Sponsored Entities.  The trustee should select “Sponsoring Entity” as its FI Type, and select “None of the above” in Part 1, Question 4.  More information on how to register a Sponsoring Entity can be found in the FATCA Registration Online User Guide.

Please note that if a trustee is required to register itself based on its own applicable status as an FFI, it will do so on a separate registration, and thus will have two separate GIINs, one for such use and another for use in its capacity as a trustee of a Trustee-Documented Trust.

The Trustee-Documented Trust itself will not be registered and does not need to obtain a GIIN.

Return to top

Q4. Does an FFI registering to become a PFFI (including a reporting Model 2 FFI) need to complete a paper version of the FFI Agreement?
No.  An FFI does not execute a paper version of the FFI Agreement.  When a PFFI in a non-IGA jurisdiction completes its FATCA registration, the PFFI is agreeing to comply with the terms of the FFI Agreement set forth (as revised) in Rev. Proc. 2014-38.  When a Reporting Model 2 FFI completes its FATCA registration, it is agreeing to comply with the terms of the FFI Agreement, as modified by the applicable Model 2 IGA.  A PFFI in a non-IGA jurisdiction or a reporting Model 2 FFI may also register on the FATCA registration website on behalf of one or more of its branches located in a non-IGA or Model 2 jurisdiction to obtain a GIIN and to agree to comply with the terms of the FFI agreement, as applicable.

In general, the FFI agreement does not apply to a reporting Model 1 FFI, or any branch of such an FFI, unless the reporting Model 1 FFI has registered a branch located outside of a Model 1 IGA jurisdiction seeking to be treated as a PFFI or reporting Model 2 FFI.

Return to top

Q5. What action should a FATCA registrant take if it improperly completes multiple FATCA registrations?
In general, an entity (or branch) with a FATCA registration obligation should not be registered more than once.  There are certain exceptions to this rule.  For example, an FFI that will also act as a Sponsoring Entity for one or more Sponsored Entities for chapter 4 purposes is required to submit one FATCA registration to obtain status as a PFFI and a second FATCA registration to act as a Sponsoring Entity.   If an entity has improperly registered itself more than once, then the entity should either delete or cancel its duplicate FATCA registration(s), as appropriate.  The proper course of action will depend on whether the duplicate FATCA registration(s) have been processed.  If the status of a duplicate FATCA registration is “Approved” or “Limited Conditional,” then the duplicate registration should be cancelled.  See Section 5.3.6 of the FATCA Registration Online User Guide for instructions for cancelling a registration.  If the status of a duplicate FATCA registration is neither “Approved” nor “Limited Conditional,” then the duplicate FATCA registration should be deleted.  See Section 5.3.5 of the FATCA Registration Online User Guide for instructions for deleting a FATCA registration.

The regulations treat all units, businesses, offices and disregarded entities of a PFFI located in a single country as a single branch of the FFI.  Therefore, an FI generally should not register more than one branch in the same jurisdiction.  (However, see the Branch/Disregarded Entity FAQs for a special rule for registering disregarded entities in Model 1 IGA jurisdictions.)  Thus, duplicate branch registrations in a single jurisdiction with respect to an FFI must be deleted.  See Section 5.7 of the FATCA Registration Online User Guide for instructions for deleting a branch registration.

If a registrant has been issued multiple GIINs because it has improperly completed multiple FATCA registrations, then the registrant must choose one GIIN and use it consistently for all chapter 4 purposes.  The registrations or FFI Agreements connected with the improper multiple GIINs should be deleted or cancelled as provided above.

Return to top

Q6. The entity I represent is on the Office of Foreign Asset Control's Specially Designated Nationals list.  Is the entity eligible to register and receive a GIIN?
No.  For more information, please contact the Office of Foreign Asset Control at 1-800-540-6322, or refer to the OFAC website.

Added:  07-31-2015

Return to top

Q7.  What is the Office of Foreign Asset Control's Specially Designated Nationals (SDN) list?
As part of its enforcement efforts, OFAC publishes a list of individuals and companies owned or controlled by, or acting for or on behalf of, targeted countries. It also lists individuals, groups, and entities, such as terrorists and narcotics traffickers designated under programs that are not country-specific. Collectively, such individuals and companies are called "Specially Designated Nationals" or "SDNs." Their assets are blocked and U.S. persons are  prohibited from dealing with them.

Added:  07-31-2015

Return to top

Q8. I am an entity that is registered on the FATCA registration system and that has been issued a GIIN. Do I need to renew my FFI agreement?
The answer depends on your FATCA classification. Not all entities are required to enter into an FFI agreement in order to receive a GIIN. If you are an entity that is required to enter into an FFI agreement and did so before January 1, 2017, you must renew your FFI agreement by July 31, 2017, in the FATCA FFI Registration System if you want to remain on the FFI List. The table below provides a general overview of the types of entities that are required to renew their FFI agreement. For additional guidance, see Sections 4 and 6 of Revenue Procedure 2017-16, the Treasury regulations, or an applicable intergovernmental agreement (IGA).

Renewal of FFI Agreement
Financial Institution's FATCA Classification in its Country/Jurisdiction of Tax Residence Type of Entity FFI Agreement Renewal Required?
Participating Financial Institution not covered by an IGA; or a Reporting Financial Institution under a Model 2 IGA Participating FFI not covered by an IGA Yes
Reporting Model 2 FFI Yes
Registered Deemed-Compliant Financial Institution (including a Reporting Financial Institution under a Model 1 IGA) Reporting Model 1 FFI operating branches outside of Model 1 jurisdictions Yes, on behalf of branches operating outside of Model 1 jurisdictions (other than related branches *)
Reporting Model 1 FFI that is not operating branches outside of Model 1 jurisdictions No
Registered deemed-compliant FFI (regardless of location) No
None of the above Sponsoring entity No
Direct reporting NFFE No
Trustee of Trustee-Documented Trust No

* Related branches means branches that are treated as nonparticipating FFIs under Article 4(5) of the Model 1 IGA.

Added: 07-03-2017

Return to top

Q9. I have determined based on the chart above that I am not required to renew an FFI agreement. The “Renew FFI Agreement” link asks if I and/or my branches are required to renew the FFI agreement. Am I required to select “No”? What happens if I do not select either “Yes” or “No”? Will I lose my GIIN?
If you are an entity that is not required to renew, you do not need to take any action with respect to your registration. You are not required to answer “No.” You will remain in “Approved Status,” and you will remain on the FFI list.

Note: entities that are located in a Model 1 jurisdiction that entered into an FFI agreement on behalf of certain branches, described in the table above, must renew the FFI agreement on behalf of those branches.

Added: 07-03-2017

Return to top

Q10. What happens if I am an entity that entered into the FFI agreement contained in Revenue Procedure 2014-38 before January 1, 2017, but I do not renew my FFI agreement by July 31, 2017?
The FFI agreement contained in Rev. Proc. 2014-38 terminated on December 31, 2016. Therefore, if you do not renew your FFI agreement (contained in Revenue Procedure 2017-16) by July 31, 2017, you will be considered a nonparticipating FFI as of January 1, 2017, and you will be removed from the FFI list.

Added: 07-03-2017

Return to top

Q11. I am an entity that must renew the FFI agreement. What if I incorrectly selected “No” when asked whether I am required to renew the FFI agreement?
If you must renew your FFI agreement but incorrectly selected “No,” you may return to your FATCA FFI Registration system home page, click on the “Renew FFI Agreement” link, and select “Yes” to complete your renewal before the July 31, 2017, deadline.

Added: 07-03-2017

Return to top

Q12. I am an entity that must renew the FFI agreement, but I missed the July 31, 2017, renewal deadline.  Can I still renew the FFI agreement and be treated as having the current FFI agreement in effect as of January 1, 2017?
Yes, participating FFIs (including Reporting Model 2 FFIs) that have otherwise complied with the terms of the FFI agreement (including, since January 1, 2017, the current FFI Agreement) have until October 24, 2017, to renew the FFI agreement and continue to be treated as a participating FFI.

If an entity that is required to renew the FFI agreement does not renew the FFI agreement by October 24, 2017, the registration status of the entity will be changed to “incomplete,” the entity’s GIIN will no longer appear on the monthly FFI List beginning in November, and the entity will be considered a nonparticipating FFI as of January 1, 2017, as provided in section 3.02 of Revenue Procedure 2017-16.

Added: 08-01-2017

Return to top

Q13.  What are the most common errors made during the registration process?

                  • Address Line cannot be a website address.

  1. Registration Part 1, Number 1: Financial Institution Type: If selecting Sponsoring Entity, a QI EIN should not be provided.  The QI EIN should only be used for QI purposes (section 2.66 of Revenue Procedure 2017-15).
  2. Registration Part 1, Number 2: Legal Name of Financial Institution:  Cannot be left blank or abbreviated; use full legal name (for Lead, Member, Single, Sponsoring, Sponsored, etc.).  Also remember to check the spelling of the FI name. 
  3. Registration Part 1, Number 4: FI’s FATCA classification in its country/jurisdiction:  The FATCA classification selected should be consistent with the IGA in force.
  4. Registration Part 1, Number 5: Mailing Address of Financial Institution: Required fields cannot be left blank or contain erroneous information.
  5. Registration Part 1, Number 6: in reference to withholding agreement as QI/WT/WP EIN of the FI: If you have not registered with the IRS QI/WT/WP program and received a valid TIN for this purpose, do not insert a number or select any of the aforementioned statuses.
  6. Registration Part 1, Number 10: FATCA RO for FI:
    Legal Last Name (Family) and Legal First Name (Given):  Fields cannot be left blank or contain erroneous information, initials, nicknames or the name of a company; must include full first and last names of a natural person.
    Common mistakes:
    • FI that is a trust inserts name of law firm as name of RO.
    • RO first name is one or two initials, no middle name provided. 
    • RO name contains title or FI name.
    • RO first, middle and last names are identical.
    Business Address Lines 1 and 2 for RO:  Cannot be left blank or contain erroneous information. Cannot contain a website address.
    Country/Jurisdiction for RO: Cannot be left blank. Must correspond with city location.
    Business Telephone Number for RO: Cannot be left blank and cannot be fictitious (ex. 222-222-2222)
    Business Email Address for RO: Cannot be left blank or contain a comma. Use period/dot, not comma (email will be returned on messages sent by IRS to RO/POC).
  7. Registration Financial Institution Agreement, Signature and Certification: Certification (bottom of registration page) cannot be left blank or contain anything other than a natural person’s full name (first and last).  Cannot contain the FI Legal Name.
  8. In-process or Test Accounts in FATCA registration system:  Do not ‘submit’ a test, fictitious or in-process account; rather leave the information in ‘initiated’ status. If “submitted”, your account will be placed into “Under Review” by IRS and therefore cannot be accessed without first contacting the IRS. 

Added: 09-20-2017

Return to top

Q14.  Form 8957, Foreign Account Tax Compliance Act (FATCA) Registration, was revised in June 2018.  Will the online FATCA registration system be updated to match the Form 8957?
Yes, the FATCA registration system and user guide will be updated in late July 2018 to include the updated FATCA classifications in Part 1, line 4, of the revised Form 8957.  All registered entities are encouraged to update their response to question 4 in the registration system.

Note:  All entities that are required to complete a FATCA certification (see Draft FATCA Certifications) must update their FATCA classification (either by updating their response to question 4 or by answering the question during the certification process), including Member FIs that must certify on behalf of themselves.  Also, entities that do not have a certification requirement (for example, certain Reporting Model 1 IGA FIs) should update their FATCA classification in order to avoid inapplicable certification-related notices in the future.

The table below provides the updated classifications in question 4 as they relate to the classifications from the June 2017 revision of Form 8957.

Question 4 – Financial Institution’s FATCA Classification in its Country/Jurisdiction of Tax Residence
June 2017 Classifications Updated Classifications
Participating Financial Institution not covered by an IGA; or a Reporting Financial Institution under a Model 2 IGA Participating FFI, including a Reporting Financial Institution under a Model 2 IGA
Registered Deemed-Compliant Financial Institution (including a Reporting Financial Institution under a Model 1 IGA)



 
Registered Deemed-Compliant FFI that is a Local FFI *
Registered Deemed-Compliant FFI that is a Non-Reporting Member of a PFFI Group *
Registered Deemed-Compliant FFI that is a Qualified Collective Investment Vehicle *
Registered Deemed-Compliant FFI that is a Qualified Credit Card Issuer or Servicer *
Registered Deemed-Compliant FFI that is a Restricted Fund *
Reporting Financial Institution under a Model 1 IGA
None of the above Direct Reporting NFFE
  Sponsoring Entity of Sponsored Direct Reporting NFFEs
  Sponsoring Entity of Sponsored FFIs
  Sponsoring Entity of Sponsored FFIs and Sponsored Direct Reporting NFFEs
  Trustee of a Trustee-Documented Trust
  U.S. Financial Institution

 

* If you are a Nonreporting FI registering pursuant to an applicable Model 1 or Model 2 IGA, select the Registered Deemed-Compliant FFI category that most closely matches the category in Annex II of the applicable IGA for which you qualify.

Added:  07-20-2018

Return to top


Q15. What should I do if my Renewal of FFI Agreement Information has a status of “Overdue?"
If your Renewal Status is displayed as “Overdue” and your Renewal Effective Date is 01/01/2017, you may disregard the “Overdue” Renewal Status if your Registration Status is “Approved” and you have also fulfilled your FFI agreement renewal obligation, if any.

Added:  10-17-2018

Return to top

FATCA Certifications

Q1.  What is a FATCA certification?
A FATCA certification consists of one or more series of questions that the responsible officers of certain entities must answer and submit to the IRS to confirm the entities’ compliance with the requirements of FATCA.  There are two general types of certifications:  one that relates to an entity’s preexisting accounts (COPA) and another that relates to the entity’s compliance with various FATCA requirements (periodic certification).

For more information on FATCA certification requirements, see Treas. Reg. §§1.1471-4(c)(7), 1.1471-5(f)(1)(i)(A)(7) and (D)(6), and Prop. Reg. §1.1471-5(j)(5) relating to the COPA; Treas. Reg. §§1.1471-4(f)(3), 1.1471-5(f)(1)(ii)(B), 1.1472-1(c)(3)(vi), and Prop. Reg. §§ 1.1471-5(j)(3) and (l)(2)(iv) and 1.1472-1(f)(2)(iv) relating to the periodic certification; and Treas. Reg. §1.1471-4(f)(2)(ii)(B) relating to a consolidated compliance program.

Added:  07-20-2018

Return to top

Q2.  I am an entity that is registered on the FATCA registration system and that has been issued a GIIN.  Do I need to submit a FATCA certification?
The answer generally depends on your FATCA classification.  Not all entities are required to submit either or both types of certifications.  The table below provides a general overview of the types of entities that are required to certify and which certification(s) they must submit.  For more specific guidance, see Section 8 of Revenue Procedure 2017-16, the Treasury regulations, or an applicable intergovernmental agreement (IGA).

Financial Institution's FATCA Classification in its Country/Jurisdiction of Tax Residence Certification Required?
  COPA Periodic
Participating FFI, including a Reporting Financial Institution under a Model 2 IGA *, ** Yes Yes
Registered Deemed-Compliant FFI that is a Local FFI Yes Yes
Registered Deemed-Compliant FFI that is a Non-Reporting Member of a PFFI Group No Yes
Registered Deemed-Compliant FFI that is a Qualified Collective Investment Vehicle  No Yes
Registered Deemed-Compliant FFI that is a Qualified Credit Card Issuer or Servicer  No Yes
Registered Deemed-Compliant FFI that is a Restricted Fund Yes Yes
Reporting Financial Institution under a Model 1 IGA * No, except on behalf of branches operating outside of Model 1 jurisdictions (other than related branches) No, except on behalf of branches operating outside of Model 1 jurisdictions (other than related branches)
Direct Reporting NFFE No Yes
Sponsoring Entity of Sponsored Direct Reporting NFFEs No Yes
Sponsoring Entity of Sponsored FFIs Yes Yes
Sponsoring Entity of Sponsored FFIs and Sponsored Direct Reporting NFFEs   Yes, on behalf of Sponsored FFIs only Yes
Trustee of a Trustee-Documented Trust No Yes ***
U.S. Financial Institution *  No No

 

*  Compliance FIs may make the COPA and periodic certifications on behalf of electing FFIs that are part of the compliance FI’s consolidated compliance program.  A compliance FI may have one of the following three FATCA classifications: (1) Participating FFI, including a Reporting Financial Institution under a Model 2 IGA; (2) Reporting Financial Institution under a Model 1 IGA; or (3) U.S. Financial Institution. 
**  A participating FFI that is an electing FFI of a consolidated compliance group will be included in the certification of the compliance FI.
***  A periodic certification of compliance is required only for a Trustee-Documented Trust that is subject to a Model 2 IGA.

Note:  The registration system will suggest the certification(s) for an entity based on its FATCA classification in question 4 of the registration system.  Therefore, even entities that do not have a certification requirement should update their FATCA classification to avoid inapplicable certification-related notices in the future.

Added:  07-20-2018

Return to top

Q3.  What information do I need in order to certify?
All responsible officers (ROs) must have access to the entity’s account in the FATCA registration system (including the entity’s FATCA ID and password).  If you need login assistance, you can select “Forgot FATCA ID or Access Code” from the Financial Institution Account User Login Homepage.

If you are the RO of a compliance FI, sponsoring entity, trustee of a trustee-documented trust, or lead of an expanded affiliated group (EAG) of registered deemed-compliant FFIs that is certifying collectively on behalf of the EAG, you must determine on behalf of which entities you will be certifying and ensure that those entities are properly registered (to the extent applicable) for you to be able to certify on behalf of them.

All ROs should review the Draft FATCA Certifications that apply to the RO’s entity to give themselves sufficient time to gather any necessary information and confirm that certain actions were taken (for example, the completion of a periodic review, if necessary).
Added:  07-20-2018

Return to top

Q4.  What is the process for submitting a FATCA certification?
FATCA certifications must be made online through the FATCA registration system.  A link for each applicable certification (that is, one for COPA (if required) and one for periodic certification) will be available on the entity’s home page.

At the same time the FATCA registration system is updated to include links to the FATCA certifications, question 4 of Part 1 will be updated to request more specific information about the entity’s FATCA classification.  Every entity for which a certification is required will be required to update their response to question 4 as part of the certification.   For more information, see Registration Update question 14.

All certifications will ask the responsible officer (RO) to review and update (if necessary) his or her identifying information, complete a series of introductory questions, select the applicable certification option the RO is submitting, and answer a series of certification questions.

The FATCA Online Registration User Guide will be updated to provide step-by-step instructions for navigating the certifications.  Refer to the Draft FATCA Certifications for a preview of the questions that will be asked as part of each certification.

Added:  07-20-2018

Return to top

Q5.  I understand that there will be a link on my FATCA registration home page to submit the FATCA certifications.  What if I have to submit both the COPA and the periodic certification?  Will there be a single link for both certifications?
If you are required to submit both FATCA certifications, there will be two links on your home page.  One will be for the COPA, and one will be for the periodic certification.  You may submit either one first and simply return to the homepage to submit the second one.  Partially completed certifications may be saved and completed at any time before the certification deadline.

Note:  If you are the RO of an entity that is required to certify, but the certification link does not appear on your home page, please contact the IRS eHelp Desk for assistance.

Added:  07-20-2018

Return to top

Q6. There are three options for the certification: (1) I am completing the certification; (2) I am unable to complete the certification at this time; and (3) I am not required to complete the certification.  How do I know which option to choose?
Most entities with a certification link on their home page will be required to complete the certification.  The third option may apply, for example, when a sponsoring entity is not required to certify because it only has sponsored FFIs subject to a Model 1 IGA jurisdiction, or, with respect to the COPA, the sponsoring entity has only late-joining sponsored FFIs or FFIs that have already submitted their required COPA.  Therefore, it is anticipated that most filers will select one of the first two options.  Also note that, by indicating that you are unable to complete the certification (second option), you are indicating that the entity is not compliant with its FATCA obligations.  ROs are encouraged to utilize all of the time provided to complete the certification, rather than not certify because they have not completed certain necessary activities (for example, a periodic review).

Added:  07-20-2018

Return to top

Q7.  Do I have to answer every question in the certification?
Yes, all displayed questions are mandatory, including text boxes.  Therefore, if a question is displayed in the certification system, it must be answered.  If a question may be inapplicable, “Not applicable” will be provided as an option for your answer.  For text boxes, at least one character must be entered in each text box.

Added:  07-20-2018

Return to top

Q8.  What if I submitted a certification but need to resubmit it because one or more of my answers was incorrect?
A certification cannot be edited once it is submitted.  Prior to the deadline for submitting a certification (COPA or periodic certification), you may submit additional certifications with the corrected information by taking the same steps for completing the original certification (that is, click on the appropriate link on your home page and complete the questions).  You will need to complete the entire certification again.  That is, you cannot selectively change a particular response (although certain responses will be prepopulated based on your prior certification; these prepopulated responses can be edited).  Before the certification is submitted, a notification will ask you whether you would like to submit an additional certification.  Generally, submitting an additional COPA or periodic certification will supersede the previously submitted COPA or periodic certification.  However, all submitted certifications are saved in the registration system.

Added:  07-20-2018

Return to top

Q9.  I am the responsible officer (RO) of an entity that is certifying on behalf of another entity.  How do I submit the certification?
Entities may certify on behalf of other entities only in the following circumstances:

  • COPA or periodic certification by a compliance FI (Filer) on behalf of all electing FFIs (Entities).
  • Periodic certification by a registered deemed-compliant FFI (Filer) collectively on behalf of the registered deemed-compliant FFI members of the Filer’s expanded affiliated group (Entities).
  • Periodic certification by a trustee on behalf of more than one trustee-documented trust.
  • COPA or periodic certification by a sponsoring entity (Sponsor) on behalf of sponsored entities.


Compliance FIs and Certain Registered Deemed-Compliant FFIs

In the first two circumstances above, the RO of the Filer must be registered as a Lead and must register all Entities as members of the Filer’s expanded affiliated group (EAG).  The RO will be allowed to certify only on behalf of Entities that are registered as members of the Filer’s EAG.

Once properly registered, the RO can submit the certification by clicking on the link on the Filer’s home page.  The RO will be allowed to select the Entities that are included in the certification.  Only eligible members will appear on the list of possible Entities for which the Filer can certify.  Eligibility is determined by registration status and effective date of the member’s registration.  For example, a member with an effective date after December 31, 2017, is not eligible to be part of the certification due for the period ending December 31, 2017.

For a Filer that is collectively certifying on behalf of different types of registered deemed-complaint FFIs (e.g., you are certifying for both local FFIs and restricted funds), you must submit a separate collective certification for each type of registered deemed-compliant FFI.

Note:  If the Filer has registered members on behalf of which it is not certifying, those members may be required to certify on behalf of themselves.

Trustees of Trustee-Documented Trusts and Sponsoring Entities

In the third circumstance above, the RO of the trustee of the trustee-documented trust must be registered as a Sponsoring Entity. The trustee’s FATCA classification, however, should be “Trustee of a Trustee-Documented Trust” in order for the registration system to suggest the correct periodic certification. Note that a periodic certification of compliance is required only if the trustee had any trustee-documented trust subject to a Model 2 IGA.  The RO of the trustee must provide the name and country/jurisdiction of each trustee-documented trust subject to a Model 2 IGA that is included in the certification.

In the fourth circumstance above, the RO of the Sponsor must register each sponsored entity on behalf of which the Sponsor acts as a sponsoring entity.  The RO will be allowed to select the sponsored entities that are included in the certification.  The system will display a list of sponsored entities based on the registration.  The sponsoring entity must select all of the sponsored entities to be included in the certification, and include any sponsored entities that are not required to be registered (for example, sponsored, closely held investment vehicles) for which the RO is certifying.  If any of the sponsored entities displayed are not selected, the Responsible Officer (RO) completing the certification will need to provide a brief explanation as to why the entity (or entities) was not selected to be included in the certification.

A Sponsor may be the sponsoring entity of sponsored FFIs, the sponsoring entity of sponsored direct reporting NFFEs, or the sponsoring entity of both sponsored FFIs and sponsored direct reporting NFFEs.  The Sponsor must update its FATCA classification to reflect which of the three types of sponsoring entity it is before it can complete a certification, because the type of sponsoring entity will determine which certification questions the Sponsor must complete and submit.

Added:  07-20-2018

Return to top

Q10.  What is the difference between a certification of effective internal controls and a qualified certification?
For a periodic certification submitted by a participating FFI (including a Reporting Financial Institution under a Model 2 IGA) (PFFI), compliance FI, or sponsoring entity of sponsored FFIs, based on the answers to the certification questions, the RO will make either a certification of effective internal controls or a qualified certification.  In general, a certification of effective internal controls means that the entity did not have any material failures or events of default, or if there was a material failure, that the entity remediated such failure before the certification was submitted and has taken action to prevent such failure from reoccurring.  On the other hand, a qualified certification generally means the entity has identified material failures or events of default that have yet to be remediated, however, that appropriate actions will be taken to prevent such failures from reoccurring.  By making a qualified certification, the entity agrees to respond to any notice of default (if applicable) and will provide to the IRS a description of each material failure and a written plan to correct each such failure (if requested).

Note:  Similarly, based on the RO’s answers to the certification questions, a PFFI, compliance FI, or sponsoring entity of sponsored FFIs may submit a COPA either by making all required certifications or by making a qualified certification stating that the RO will take corrective actions.

Added:  07-20-2018

Return to top

Q11.  I am the RO of a registered deemed-compliant FFI in a Model 2 IGA jurisdiction.  Do I need to certify?
A registered deemed-compliant FFI in a Model 2 IGA jurisdiction must certify to the extent required by the terms of the Annex II of the applicable Model 2 IGA or to the extent required in the Treasury regulations if the entity’s status as a registered deemed-compliant FFI is based on the regulations rather than the Annex II.  For example, the Annex II of the Model 2 IGA does not include “restricted funds”; therefore, any entity located in a Model 2 IGA jurisdiction that is registered as a registered deemed-compliant FFI because it is a restricted fund must certify as required by the Treasury regulations.

In some cases, the Annex II of the applicable Model 2 IGA includes categories of registered deemed-compliant FFIs that do not exactly match the categories of registered deemed-compliant FFIs in the Treasury regulations on which the certifications are based.  In these cases, the Model 2 FFI should select the certification for the registered deemed-compliant FFI category that most closely matches the category in Annex II of the applicable IGA for which the FFI qualifies.  For example, the Treasury regulations use the term “Local FFI,” while the Annex II of the Model 2 IGA uses the term “Registered Financial Institution with a Local Client Base,” so in this case, the Registered Financial Institution with a Local Client Base should complete the certification for a Local FFI.

Added:  07-20-2018

Return to top

Q12.  What if an entity that is required to certify fails to do so?
If an entity that is required to certify does not submit its certification(s) by the due date, the entity will not be in compliance with its obligations under FATCA.  The consequences of being non-compliant may include the revocation of an entity’s FATCA status and, ultimately, the entity’s GIIN being removed from the FFI list.

Added:  07-20-2018

Return to top

Q13.  When are the FATCA certifications due?
For the certification period ending December 31, 2017, FATCA certifications are generally due no later than December 15, 2018; however, for sponsoring entities and trustees of a trustee-documented trusts, they are due no later than March 31, 2019.

Updated:  09-19-2018

Return to top

Q14. In completing my certification, when should I select “Not Applicable” versus “No”?
When the “Not applicable” option is available as a response to a certification question, you can select it to indicate that the question does not apply to the entity.   On the other hand, selecting “No” in response to a question indicates that the question applies to the entity, however, the answer to the question is a negative/”no”. 

For example, where the question states “[w]ith respect to any failure to withhold, deposit, or report to the extent required under the FFI agreement, the participating FFI has corrected such failure by paying any taxes due (including interest and penalties) and filing the appropriate (or amended return)”, your response should be:

  • “Yes” if you have identified such failure(s) and have corrected it as stated in the question;
  • “No” if you have identified such failure(s) but have not corrected it as stated in the question; or
  • “Not Applicable” if you don’t have any failures as stated in the question, and therefore the question is not applicable to you.

Added 10-25-2018

Return to top


FFI/EAG Changes

Q1. We are the common parent of an EAG.  If we sell our interest in a wholly-owned FFI that is registered as a Member FI, what impact will the sale have on the Member FI’s FATCA registration?
If the Member FI is no longer part of the EAG, it may change its type from Member to Single or Transfer to a new EAG if it is becoming a Member of a new EAG.  See the FATCA Online Registration User Guide to change FI Type.  If the member is Transferring to a new EAG see the FATCA Online Registration User Guide for instructions on how to complete a Transfer.

Please note that the cancellation or deletion of the former Member FI’s registration will cancel its original GIIN.  That GIIN will no longer appear on the FFI list.

Updated:  02-02-2016

Return to top

Q2. Can a FATCA registrant change its FI Type—which is selected at the beginning of the FATCA registration process—without re-registering?
Yes, an FI can edit their type without cancelling their current registration agreement by selecting the “Change FI Type” link on the home page and updating the registration form.

The following FI Type changes are allowed within the FATCA Registration system:

  • Member to single
  • Single to lead
  • Single  to member (transfer to an expanded affiliated group)
  • Lead to member (transfer to an expanded affiliated group).

See the FATCA Online Registration User Guide for additional information.  

Updated:  02-02-2016

Return to top

Q3. If a registrant has changed its name but not its FI Type, does it need to re-register?
No.  See the FATCA Online Registration User Guide for general instructions for editing registration information.  

Please note that you may need to provide updated information to your withholding agents.

Updated:  02-02-2016

Return to top

Q4. How can an FFI that is registered as a Single FI change its FATCA registration to become a Lead FI?
An FI can edit their type without cancelling their current registration agreement by selecting the “Change FI Type” link on the home page and updating the registration from Single to Lead.  See the FATCA Online Registration User Guide for additional information.  

Once the FI has completed its update to “Lead” it may then begin to add Member FI’s.  See FATCA Online Registration User Guide for additional information on how to add members.

Updated:  02-02-2016

Return to top

Q5. How can an FFI that is registered as a Lead FI of an EAG change its FATCA registration to become a Single FI?
The FI must register again—this time as a Single FI—to obtain a new FATCA ID and a new GIIN.  

In addition to re-registering, the FFI must cancel or delete its original registration.  See the FATCA Online Registration User Guide for instructions for deleting or cancelling a FATCA registration.   Before a Lead FI can cancel its registration, it must first ensure that all of its Member FIs have cancelled their FATCA registrations, and those Member FIs register to continue their applicable FATCA statuses.

Please note that cancelling or deleting the FFI’s original registration will cancel its original GIIN.  That GIIN will no longer appear on the FFI list.

Updated:  02-02-2016

Return to top

Q6. What steps does a registrant need to complete if it has dissolved?
If a registrant dissolves before its FATCA registration is approved, then it should delete its registration.  See the FATCA Online Registration User Guide for instructions for deleting a FATCA registration.

If a registrant dissolves after its FATCA registration is approved, then it should cancel its registration.  See the FATCA Online Registration User Guide  for instructions for cancelling a registration.

Updated:  02-02-2016

Return to top


Branch/Disregarded Entity

Q1. How does a disregarded entity (DE) in a Model 1 IGA jurisdiction satisfy its FATCA registration requirements?
A DE in a Model 1 IGA jurisdiction must register as an entity separate from its owner in order to be treated as a reporting Model 1 FFI, provided that the DE is treated as a separate entity for purposes of its reporting to the applicable Model 1 jurisdiction.  Select either a “Single” FFI or “Member” FFI in Part 1, Question 1 of the FATCA Registration (as appropriate).  Select “Registered Deemed-Compliant Financial Institution (including a Reporting Financial Institution under a Model 1 IGA)” in Part 1, Question 4.  When the owner of the DE registers on its own behalf, it should not report the DE as a branch.

Return to top

Q2. How does a branch in a Model 1 IGA jurisdiction satisfy its FATCA registration requirements?
In general, a branch (as defined in Treas. Reg. § 1.1471-4(e)(2)(ii)) must be registered as a branch of its owner and not as a separate entity.  Thus, the branch will be registered by the FI of which the branch is a part (including an appropriate lead FI or Sponsoring Entity) when the FI completes Part 1 of its own FATCA registration.  The online registration user guide provides further instructions on how to register branches.  In general, a branch is a unit, business, or office of an FFI that is treated as a branch under the regulatory regime of a country or is otherwise regulated under the laws of such country as separate from other offices, units, or branches of the FI.

Updated 8-25-15: Q2 has been updated to clarify that, unless a specified exception applies, a branch must register as a branch of its owner and not as a separate entity.

Return to top

Q3. How does a branch or a disregarded entity (DE) in a jurisdiction that does not have an IGA, or that is in a Model 2 IGA jurisdiction, satisfy its FATCA registration requirements?
A branch (including a DE) that is in a Model 2 IGA jurisdiction, or a jurisdiction without an IGA, must be registered as a branch of its owner (rather than as a separate entity).  As such, the branch will be registered by the FI of which the branch is a part (including an appropriate Lead FI or Sponsoring Entity) when that FI completes Part 1 of its own FATCA registration.  The branch will not have a separate registration account, but will be assigned a separate GIIN, if eligible.  When the FI completes its FATCA registration and registers its branches by answering Questions 7, 8, and 9, GIINs will be assigned with respect to the registered branches, where appropriate.  The online registration user guide provides further instructions on how to register branches.   A separate GIIN will be issued to the FI to identify each jurisdiction where it maintains a branch that is participating or registered deemed-compliant. 

All branches (and, except in Model 1 IGA jurisdictions, disregarded entities) of an FI located in a single jurisdiction are treated as one branch and, as a result, will share a single GIIN.  U.S. branches and limited branches are not eligible to receive their own GIINs.  A branch of an FFI located in the FFI’s home country will use the GIIN of the FFI.  For example, suppose FI W (located in Country X) has one branch in Country X, two branches in Country Y and owns a DE in Country Z.  Country Z is a Model 1 IGA jurisdiction.  FI W will receive a Country X GIIN.  FI W’s Country X branch will use W’s GIIN.  The two branches in Country Y will be treated as a single branch, and so FI W will be issued a single Country Y GIIN for these two branches to share.  The Country Z DE will register as an entity separate from its owner, in order to be treated as a reporting Model 1 FFI, and will receive its own GIIN. 

Updated 8-25-15: Q3 has been updated to clarify that, unless a specified exception applies, a branch must register as a branch of its owner and not as a separate entity.

Return to top

Q4. How can a withholding agent find the name and GIIN of a branch on the FFI list?
To locate a branch on the FFI list, you search using the financial institution name followed by the phrase “ – branch”.  There must be a space between the financial institution name and the dash and a space between the dash and the word branch.

Updated:  02-02-2016

Return to top

Q5. How does a branch described in Q-2 or Q-3 of this heading that has registered as a separate entity rather than as a branch of its owner correct its registration?
A branch that has incorrectly registered separately from the FI that maintains such branch rather than as part of the FI’s registration is required to cancel its separate registration and the FI must revise its own registration to include such branch by the end of the 2015 calendar year.  See the FACTA Online Registration User Guide for instructions on deleting a FATCA registration.  For example, a branch that is in a Model 2 IGA jurisdiction, or a jurisdiction without an IGA, must be registered as a branch of its owner and therefore must correct its registration if it has registered as a separate entity.  An FI revising its registration to include its branch should provide updated documentation to withholding agents and to foreign financial institutions required to document the status of an account held by the branch of the FI under chapter 4 or an applicable Model 1 or Model 2 IGA (including, as applicable, the GIIN of the FI applicable to its country of residency and the new GIIN of the branch).  See the Instructions for Form W-8BEN-E, Part II.

A withholding agent that knows or has reason to know that a Form W-8BEN-E has been provided by a branch of an FI that has incorrectly registered as a separate entity may rely on such form (if otherwise valid) for payments made by the end of the 2015 calendar year.  Thus, the withholding agent should not withhold on payments to the branch made before such date solely because the branch has incorrectly registered on the IRS Portal.

Updated:  02-02-2016:  Q5 has been added to instruct branches registered as separate entities on how to correct their registration.  

Return to top


General Compliance

Q1. How will Certified-Deemed Compliant FFIs, Owner-documented FFIs, or Excepted FFIs certify to U.S. withholding agents that they are not subject to Chapter 4 withholding given that they are not required to register with the IRS?
Certified-Deemed Compliant FFIs, Owner-documented FFIs, and Excepted FFIs will demonstrate their Chapter 4 withholding status to U.S. withholding agents by providing a withholding certificate and documentary evidence that complies with the requirements of Treas. Reg. 1.1471-3(d).

Return to top

Q2. We are an FFI in a non-IGA country.  Will we be subject to Chapter 4 withholding if we do not register with the IRS?
Yes, to the extent that you receive withholdable payments and are not subject to an exemption from the registration requirement.  Under FATCA, to avoid being withheld upon, FFIs that are not subject to an exemption from the registration requirement must register with the IRS and agree to report to the IRS certain information about their U.S. accounts, including accounts of certain foreign entities with substantial U.S. owners.  An FFI that fails to satisfy its applicable registration requirements will generally be subject to 30% withholding on withholdable payments that it receives.  

Categories of FFIs that are exempt from registration include:

  1. Certified deemed-compliant FFIs (including any entities treated as certified deemed-compliant);
  2. Exempt beneficial owners;
  3. Owner Documented FFIs; and
  4. Excepted FFIs.

Return to top

Q3. What are the consequences of terminating the FFI agreement for a Participating Foreign Financial Institution?
If the FFI agreement is terminated by either the IRS or the FFI pursuant to the termination procedures set forth in Section 12 of the FFI agreement, the FFI will be treated as a nonparticipating FFI and subject to 30% withholding on withholdable payments made after the later of (i) the date of termination of the FFI agreement, or (ii) June 30, 2014, except to the extent that the withholdable payments are exempt from withholding (e.g. under the rules related to grandfathered obligations) or the FFI qualifies for a chapter 4 status other than a nonparticipating FFI (such as a certified deemed-compliant FFI).  See Revenue Procedure 2014-38, for the terms of the revised FFI agreement.

Return to top

Q4. What happens if an FFI is not registered by May 5th, 2014?
As set forth in Announcement 2014-17, released April 2, 2014, to ensure inclusion on the first IRS FFI List (which is expected to first be electronically available on June 2, 2014) prior to the date FATCA withholding goes into effect, an FFI must finalize its registration by May 5, 2014.   The regulations generally provide that, in order for withholding not to apply, a withholding agent must obtain an FFI’s GIIN for payments made after June 30, 2014, though it need not confirm that the GIIN appears on the IRS FFI List until 90 days after the FFI provides a withholding certificate or written statement claiming status as a participating FFI or registered deemed-compliant FFI.  A special rule, however, provides that a withholding agent does not need to obtain a reporting Model 1 FFI’s GIIN for payments made before January 1, 2015.  See Treas. Reg. § 1.1471-3(d)(4)(iv)(A).  As a result, while a reporting Model 1 FFI is currently able to register and obtain a GIIN, it will have additional time beyond July 1, 2014, to register and obtain a GIIN in order to ensure that it is included on the IRS FFI list before January 1, 2015.  See Announcement 2014-17 for revised FATCA registration deadlines to ensure inclusion on the first FFI List (which is expected to be electronically available on June 2, 2014).

Return to top

Q5. Are Forms W-8 still required to be renewed by the appropriate beneficial owners?
Generally, a Form W-8BEN will remain in effect for purposes of establishing foreign status for a period starting on the date the form is signed and ending on the last day of the third succeeding calendar year, unless a change in circumstances makes any information on the form incorrect. For example, a Form W-8BEN signed on September 30, 2015, remains valid through December 31, 2018.

However, under certain conditions a Form W-8BEN will remain in effect indefinitely until a change of circumstances occurs. To determine the period of validity for Form W-8BEN for purposes of chapter 4, see Treas. Reg. § 1.1471-3(c)(6)(ii). To determine the period of validity for Form W-8BEN for purposes of chapter 3, see Teas. Reg. § 1.1441-1(e)(4)(ii).

Withholding certificates and documentary evidence obtained for chapter 3 or chapter 61 purposes that would otherwise expire on December 31, 2013, will not expire before January 1, 2015, unless a change in circumstances occurs that would otherwise render the withholding certificate or documentary evidence incorrect or unreliable.

Please note that various Forms in the W-8 series were revised in 2014 to incorporate the certifications required for FATCA purposes and can now be found at the following link: Form & Pubs.  See Treas. Reg. § 1.1471-3(c) for rules regarding reliance on a pre-FATCA Form W-8. 

Return to top

Q6. What should a withholding agent do if an entity account holder indicates that box 9a of Form W–8BEN–E is too small to accommodate the entity’s GIIN?
Box 9a generally accommodates 19 characters, and instructing the entity to use of a smaller font should solve any potential difficulty entering 19 characters.  In addition, please note that a substitute form may be used in place of Form W–8BEN–E if the substitute form is substantially similar to Form W–8BEN–E. See Treas. Reg. § 1.1441-1(e)(4)(vi). Additionally, as provided in the Instructions for the Requester of Forms W–8BEN, W–8BEN–E, W–8ECI, W–8EXP, and W–8IMY, a withholding agent “may accept a GIIN that is indicated and clearly identified on the form rather than provided as required in box 9a or another box permitted in the Instructions for Form W–8BEN–E if the GIIN is clearly identified as being furnished with respect to the box.”  A hand-written GIIN located just outside of box 9a with a corresponding arrow pointing to box 9a is one example of a properly-provided GIIN for purposes of box 9a.

Return to top

Q7. Notice 2014-33, 2014-21 I.R.B. 1033, provides that a withholding agent or FFI may treat an obligation as a preexisting obligation if the obligation (i) is issued, opened, or executed on or after July 1, 2014, and before January 1, 2015, and (ii) is held by an entity.  How does this provision of Notice 2014-33 apply when the recipient of a payment made under the obligation is a flow-through entity or intermediary?
s
A withholding agent may treat an obligation held by an entity (including an entity acting as an intermediary with respect to the obligation or a flow-through entity) as a preexisting obligation to the extent permitted in Notice 2014-33.  Therefore, an obligation held by an intermediary or flow-through entity is treated as a preexisting obligation if it is issued, opened, or executed before January 1, 2015.  In such a case, the withholding agent may rely on a pre-FATCA Form W-8 to document the holder of the obligation throughout 2014.  If the flow-through entity or intermediary provides the withholding agent with a withholding statement allocating a portion of a payment to a chapter 4 withholding pool of recalcitrant account holders or NPFFIs (or payee-specific information for such persons), then the withholding agent is required to apply chapter 4 withholding to the portion of the payment allocated to each such pool of payees (or each such payee), even though it is not yet required to document the chapter 4 status of the flow-through entity or intermediary.  However, a withholding agent must determine the chapter 4 status of a flow-through entity or intermediary as a PFFI or RDCFFI when provided with a withholding tatement allocating a portion of a payment to a chapter 4 withholding rate pool of U.S. payees that the withholding agent reports on Form 1042-S as made to the pool rather than requiring payee-specific documentation for each payee in the pool or withholding and reporting in accordance with the applicable presumption rules.

If the withholding agent receives documentation from a flow-through entity with respect to an interest holder in the entity or from an intermediary with respect to its account holder and confirms (in writing) that the intermediary or flow-through entity treats the obligation as a preexisting obligation (including under Notice 2014-33, if applicable), the withholding agent may treat the obligation as a preexisting obligation provided that the withholding agent does not have documentation showing the interest holder or account holder to be an NPFFI.  The preceding sentence would apply, for example, to documentation provided with respect to a passive NFFE that is an account holder in an intermediary and that does not provide the information or certification described in Treas. Reg. § 1.1471-3(d)(12)(iii) with respect to its owners.  

Return to top

Q8. Annex I of the IGA provides that, for certain purposes, a self-certification may be made on an IRS Form W-8 or other “similar agreed form.”  What would be considered a similar agreed form?
Substitute Withholding Certificate: In General

A similar agreed form may include, for example, a substitute Form W-8BEN, W-8BEN-E, W-8ECI, W-8EXP, or W-8IMY if its content is substantially similar to the IRS’s official Form W-8BEN, W-8BEN-E, W-8ECI, W-8EXP, or W-8IMY (see the instructions to the requestor of Forms W-8BEN, W-8BEN-E, W-8ECI, W-8EXP, and W-8IMY), and the partner jurisdiction does not decline such treatment.  You may develop and use a substitute form that is in a foreign language, provided that you make an English translation of the form and its contents available to the IRS upon request.  You may combine Forms W-8BEN, W-8BEN-E, W-8ECI, W-8EXP, and W-8IMY into a single substitute form.  

You may choose to provide a substitute form that does not include all of the chapter 4 statuses provided on the Form W-8, but the substitute form must include any chapter 4 status for which withholding may apply, such as the categories for a nonparticipating FFI or passive NFFE.  See Treas. Reg. § 1.1471-3(c)(6)(v)(A).  You may also provide with the form an alternative certification that reflects the requirements under an applicable IGA instead of the certification of chapter 4 status otherwise required by the form.  See the Instructions for the Requester of Forms W–8BEN, W–8BEN–E, W–8ECI, W–8EXP, and W–8IMY and the Instructions for Form W-8BEN-E for the requirements to use alternative certifications with respect to Form W-8BEN-E, which also apply to a substitute version of the form.

You are also required to furnish instructions for the substitute form to the extent and manner provided in the official instructions for the official form.

You may incorporate a substitute Form W-8 into other business forms you customarily use, such as account signature cards, provided the required certifications are clearly set forth.  However, you may not:

  1. Use a substitute form that requires the payee, by signing, to agree to provisions unrelated to the required certifications, or
  2. Imply that a person may be subject to 30% withholding or backup withholding unless that person agrees to provisions on the substitute form that are unrelated to the required certifications.

A substitute Form W-8 is generally valid only if it contains the same penalties of perjury statement and certifications as the official forms and the required signature.  However, if the substitute form is contained in some other business form, the words “information on this form” may be modified to refer to that portion of the business form containing the substitute form information, including any alternative certification under an applicable IGA provided with the substitute form.  The design of the substitute form must be such that the information and certifications that are being attested to by the penalties of perjury statement clearly stand out from any other information contained on the business form.

Substitute Withholding Certificate: Non-IRS Form for Individuals

A similar agreed form may also include a non-IRS form used in place of a Form W-8BEN (for individuals).  The substitute form must include the information required in Treas. Reg. § 1471-3(c)(6)(v), and the form must  be signed, dated, and also certified under penalties of perjury unless the form is accompanied by documentary evidence that supports the individual’s claim of foreign status.  For a case in which a withholding certificate is required to be associated with a payment subject to chapter 3 withholding or reportable amount under Treas. Reg. § 1.1441-1(e)(3)(vi), however, see the requirements for a beneficial owner withholding certificate under Treas. Reg. § 1.1441-1(e)(2).

Documenting an Entity’s Chapter 4 Status with a Written Statement

You may use a written statement described in Treas. Reg. § 1.1471-3(c)(4) to document an entity account holder or payee.  Such a written statement is valid only to the extent that it is permitted to be used based on the requirements of Treas. Reg. § 1.1471-3(d).  Also see Treas. Reg. § 1.1471-3(d) for when a written statement must be supported by documentary evidence of the payee’s foreign status.  The written statement may incorporate, rather than a chapter 4 status described in Treas. Reg. § 1.1471-3(d), a certification of status as determined under the requirements of an applicable IGA.

Return to top

Q9. What is an acceptable self-certification for purposes of the Annex I due diligence procedures for preexisting and new accounts?  Does the self-certification form have to be agreed with the United States?
In addition to a self-certification described in General Compliance Q8, a self-certification would be an acceptable self-certification for purposes of the Annex I due diligence procedures for preexisting and new accounts and would not need to be agreed between an IGA jurisdiction and the United States if it (i) is signed (or otherwise positively affirmed), (ii) is dated (at the latest at the date of receipt), and (iii) solicits, at a minimum, the following information:

(i) name;
(ii) residence address for tax purposes;
(iii) jurisdiction(s) of residence for tax purposes (note that a U.S. citizen is considered a U.S. tax resident even if the person is also a tax resident of another jurisdiction);
(iv) taxpayer identification number (If taxpayer has both a U.S. TIN and a foreign TIN, the U.S. TIN must be provided, and the foreign TIN may be provided);
(v) in the case of an entity, the entity’s status (an entity’s FATCA status would include its status as a Nonparticipating FFI, Participating FFI, Reporting Model 1 FFI, Reporting Model 2 FFI, Nonreporting IGA FFI, Active NFFE, Passive NFFE, etc.); and
(vi) in the case of a Passive NFFE, the name, residence address for tax purposes, and taxpayer identification number with respect to any Controlling Person that is a Specified U.S. Person.

For purposes of enforcement and administration with respect to the implementation of FATCA by withholding agents, FFIs, and other entities with chapter 4 responsibilities, the IRS will take into account the transition period for calendar years 2014 and 2015.  See Notice 2014-33 for additional information.  

An IGA jurisdiction planning to implement the OECD Standard for Automatic Exchange of Financial Account Information in Tax Matters (the Common Reporting Standard) may want the self-certification form to also require date of birth.  With this additional information, the self-certification form would be consistent with the Common Reporting Standard and the multilateral understanding of a valid self-certification.    

This FAQ does not address what would be an acceptable beneficial owner withholding certificate for purposes of chapter 3.  For an acceptable beneficial owner withholding certificate for purposes of chapter 3 reporting and withholding responsibilities, see §1.1441-1(e)(2)(ii).

Return to top

Q10. If a Reporting Model 1 FFI or a Reporting Model 2 FFI that is applying the due diligence procedures in section III, paragraph B, of Annex I of the IGA cannot obtain a self-certification upon the opening of a New Individual Account, can the FFI open the account and treat it as a U.S. Reportable Account?
No.  Pursuant to section III, paragraph B, of Annex I of the IGA, the FFI must obtain a self-certification at account opening.  If the FFI cannot obtain a self-certification at account opening, it cannot open the account.

Added:  02-02-2015

Return to top

Q11. Has a Form W-8 that has been completed and signed by a payee, scanned into an image or portable document format (PDF), and uploaded to a third-party repository been scanned and received electronically by a withholding agent for purposes of sections 1.1441-1(e)(4)(iv) and 1.1471-3(c)(6)(iv) if the payee, upon request from the withholding agent for a Form W-8 to document its status for purposes of chapters 3 and 4, sends the withholding agent an email with a link to the third-party repository site that allows the withholding agent to download the image or PDF of the form that is stored on the repository for such purpose (or the payee otherwise authorizes the withholding agent to access the specific form from the third-party repository in a similar manner).
Yes.  The Form W-8 will be considered to have been scanned and received electronically by the withholding agent, provided that the withholding agent does not know that the email containing the link to the third-party repository has been transmitted by someone other than the payee or an agent of the payee.  Also, because the withholding agent has obtained the form at the payee’s direction, the form will be treated as having been furnished by/provided by the payee (see sections 1.1441-1(e)(1)(ii)(A)(1) and 1.1471-3(c)(1)).  A withholding agent is still required to determine whether the form is valid and may be relied upon for purposes of chapter 3 or 4 and whether a change in circumstances affects its continuing reliance on the form.

This FAQ has been superseded by Treasury Regulations Section 1.1441-1(e)(iv)(E).

Updated:  07-25-2017

Return to top

Q12. My courier requires a physical mailing address for delivery service.  What is the physical mailing address for Forms 8966 and Form 1042?

Form Submission Processing Center Address
Form 8966 Austin - Internal Revenue Submission Processing Center 3651 S IH35, Austin, TX 78741
Form 1042 Ogden - Internal Revenue Submission Processing Center 1973 Rulon White Blvd., Ogden, UT 84201

Added:  12-07-2015

Return to top

Q13. I am an American citizen living abroad and my foreign bank is requesting my social security number, do I have to comply and if so, why?
Due to the implementation of FATCA, foreign banks are required to document all U.S. persons and report certain financial information to the Internal Revenue Service.  A U.S citizen choosing not to provide their Tax Identification Number ("TIN") (often a Social Security number) may result in the foreign bank closing their accounts or applying withholding on any payments made to the U.S. Person.

Added:  12-07-2015

Return to top

Q14. How do I submit a request for an initial or additional extension of time to file Forms 8966 for tax year 2015?
Use Form 8809-I to request an initial or additional extension of time to file Form 8966 for the current tax year. File Form 8809-I as soon as you know an extension of time to file is necessary, but not before January 1 of the filing year. Form 8809-I must be filed by the Form 8966 due date (generally, March 31 of the year following the reporting year of the return). If you are requesting an additional hardship extension, Form 8809-I must be filed by the first extended due date of Form 8966.

Note: Under the terms of their applicable IGAs, reporting Model 2 Foreign Financial Institutions (FFI) aren't entitled to an extension of time for aggregate reporting on non-consenting U.S. accounts or non-consenting non-participating FFIs. Entities that are located in a Model 1 jurisdiction and reporting on behalf of themselves (or any entities that are reporting on behalf of another entity that is located in a Model 1 Jurisdiction) may not request an additional extension of time to file Form 8966 from the IRS because they must report directly to the Model 1 jurisdiction's tax authority.

The automatic extension of time to file Form 8966 is 90 days from the original due date. The IRS may grant an additional 90-day extension of time to file Form 8966 under the hardship exception. Requests for an additional extension of time to file Form 8966 aren't automatically granted. Generally, requests for additional time are granted only where it is shown that extenuating circumstances will prevent filing by the date granted by the first request.

Filers may be subject to a late filing penalty if Form 8966 is filed late and you haven't applied for and received an approved extension of time to file.

Where To File
Mail a paper Form 8809-I to:
Internal Revenue Service
FATCA, Stop 6052 AUSC
3651 South IH 35
Austin, Texas 78741

Added:  12-07-2015

Return to top

Q15. How do I submit a request to waive the requirement to file Forms 8966 electronically for tax year 2015?
Filers who are requesting a waiver from filing Form 8966 electronically should file Form 8508-I. You should file Form 8508-I at least 45 days before the due date of the Form 8966. Form 8966 is due March 31 of the year following the reporting year, unless you are an FFI reporting under a Model 2 IGA with a different reporting date specified in the applicable Model 2 IGA. Waiver requests will be processed beginning January 1st of the calendar year the return is due.

Note: See Treasury regulations section 301.1474-1(a) for additional information.

If you are required to file electronically but fail to do so and you do not have an approved waiver on record, penalties under Code sections 6721 through 6724 may apply.

Where To File
Mail a paper Form 8508-I to:
Internal Revenue Service
FATCA, Stop 6052 AUSC
3651 South IH 35
Austin, Texas 78741

Added:  12-07-2015

Return to top

Q16. What title should the RO include when indicating their business title in the RO information section of the registration?
The RO should indicate their corporate business title such as President, Vice-President, Treasurer etc., and not the name of the business.

Added:  12-07-2015

Return to top

Q17. How many Global Intermediary Identification Numbers (GIINs) should a single FI have?
A Single FI that is not a sponsoring entity should only have one GIIN.  Duplicate or Multiple Registrations attempting to correct errors should be cancelled by the appropriate RO.

Added:  12-07-2015

Return to top

Q18. What are the registration and GIIN requirements for bulk acquisition and merger events?
In general, the Registration User Guide contains guidance on registration.  Specific guidance on some common bulk acquisition and merger scenarios are provided below:

B acquires A,  A’s operations are subsumed into B, and B retains name.

Under this fact pattern, Entity B would not need to change its existing registration or acquire a new GIIN.   If Entity A had previously registered for FATCA, it would need to terminate its registration.  

B acquires A,  A’s operations are subsumed into B, and B alters/changes its name

Under this fact pattern, Entity B would need to update its registration for the name change, but would not need a new GIIN.  If Entity A had previously registered for FATCA, it would need to terminate its registration.

B acquires A, and A wishes to become a member entity

There are different ways for Entity A to become a member of Entity B.  For example, Entity A can terminate its existing registration, and Entity B can update its registration to include Entity A as its member.  Upon this registration, Entity A would be issued a new GIIN.  Alternatively, if Entity B is a Lead FI, Entity A may initiate a transfer and become a member of Entity B.  Upon the transfer, Entity A would be issued a new GIIN.  Under this scenario, Entity A would not need to terminate its registration.  For more information on the transfer function please see the user guide.

Added:  05-03-2016

Return to top

Q19. What do I need to do if I haven’t received a response to my submission of Form 8809-I when I requested an additional 90 Day Extension to file Form 8966?
You should wait 45 days from the date you mailed your Form 8809-I to contact the IRS about your additional extension to file Form 8966.  If it has been over 45 days please call the IRS at 1-267-941-1000 (not a toll-free number) for information about your request.

Added:  07-01-2016

Return to top


Q20. Under what circumstances is a withholding agent required to collect a foreign TIN or date of birth on a beneficial owner withholding certificate?
A withholding agent must obtain a foreign TIN on a beneficial owner withholding certificate in the following circumstances:

(1) For a foreign person claiming a reduced rate of withholding under an income tax treaty if the foreign person does not provide a U.S. TIN and the income is a type to which the TIN requirement apples (see Treas. Reg. § 1.1441-6); and

(2) Except as otherwise provided in  Treas. Reg. §1.1441-1T(e)(2)(ii)(B), for a foreign person that is an account holder (as defined in Treas. Reg. § 1.1471-5(a)(3)) of a financial account (as defined in Treas. Reg. §1.1471-5(b)) maintained at a U.S. branch or office of the withholding agent, but only if the withholding agent is a financial institution (as defined in Treas. Reg. § 1.1441-1(b)(50)).

Added:  04-06-2017

Return to top

Q21. Is a beneficial owner withholding certificate invalid under  Treas. Reg. §1.1441-1T(e)(2)(ii)(B) (published on January 6, 2017, in TD 9808) during calendar year 2017 if it does not include a foreign TIN or date of birth for the beneficial owner identified on the certificate?
For calendar year 2017, a withholding agent is not required to treat an otherwise valid beneficial owner withholding certificate as invalid when it does not include a foreign TIN because, in the absence of actual knowledge otherwise, the withholding agent may assume that the foreign person does not have a foreign TIN.

For beneficial owner withholding certificates obtained by a withholding agent on or after January 1, 2017, the withholding agent must collect a date of birth on a beneficial owner withholding certificate for an individual beneficial owner.  However, if the withholding agent has the beneficial owner’s date of birth in its files, it may use that information for reporting purposes and will not be required to treat a Form W-8BEN as invalid because it did not include a date of birth.

Added:  04-06-2017

Return to top

Q22. How is a withholding agent permitted to obtain  a foreign beneficial owner’s foreign TIN that is not included on an otherwise valid beneficial owner withholding certificate for purposes of satisfying the requirements of Treas. Reg. §1.1441-1T(e)(2)(ii)(B)? 
In such a case, a withholding agent is permitted to obtain the foreign beneficial owner’s foreign TIN on a written statement provided by the beneficial owner (including a written statement transmitted by email) that indicates that the foreign TIN is to be associated with the beneficial owner withholding certificate.  A withholding agent is similarly permitted to obtain the reasonable explanation for the absence of a foreign TIN referred to in Treas. Reg. §1.1441-1T(e)(2)(ii)(B) in this manner.

Added:  04-06-2017

Return to top

Q23. For the 2017 calendar year, will a withholding agent be subjected to interest, penalties, or additions to tax for failing to withhold and report by March 15, 2018, on a payment of a dividend equivalent made with respect to a derivative referencing a partnership? 
For the 2017 calendar year, a withholding agent will not be subject to interest, penalties, or additions to tax with respect to a dividend equivalent payment made with respect to a derivative referencing a partnership provided that the withholding agent withholds and reports on Form 1042 and Form 1042-S with respect to the payment by September 17, 2018. In a case in which a withholding agent withholds after March 15, 2018, the withholding agent should file a Form 1042 (if the dividend equivalent payments are the only payments reportable for the year) or an amended Form 1042 by September 17, 2018, and write “Dividend Equivalent—Partnership” in the top center portion of the 2017 Form 1042. The withholding agent should also file Form(s) 1042-S or amended Form(s) 1042-S by September 17, 2018, with respect to the dividend equivalent payment. Finally, when depositing the tax withheld for a dividend equivalent payment made in 2017, the withholding agent must designate the payment as being made for the 2017 calendar year in accordance with the instructions to Form 1042.

Added:  03-15-2018

Return to top


Reporting

Q1. Are filers of Form 8966 required to file a nil report?
A direct reporting NFFE (and a sponsoring entity of a direct reporting NFFE) is required to file a Form 8966 to declare that it has no substantial U.S. owners for the calendar year.

For additional information, please read FAQ C20 on the IDES FAQ page.

Updated:  02-02-2016

Return to top

Q2. When is Form 8966 due for reporting with respect to calendar year 2014 for participating FFIs and Reporting Model 2 FFIs?
Under an FFI Agreement, the Form 8966 is due on or before March 31 of the year following the end of the calendar year to which the form relates.  Under the Instructions for Form 8966, for reporting with respect to calendar year 2014 only, an automatic 90-day extension of time to file Form 8966 is provided to filers of Form 8966 (paper and electronic).  This automatic extension of time is provided without the need to file any form or take any action.  The Instructions for Form 8966 state that the automatic 90-day extension of time is not available for Reporting Model 2 FFIs reporting on a Non-Consenting U.S. Account.  Accordingly, a filer (other than Reporting Model 2 FFIs reporting on a Non-Consenting U.S. Account) with a filing deadline of March 31, 2015, has until June 29, 2015, to submit Forms 8966.  

Reporting Model 2 FFIs reporting on a Non-Consenting U.S. Account should refer to the applicable Model 2 IGA for the due dates for those filings.  The IRS recognizes that FFIs will be using the IDES system for the first time and FFIs are currently testing and adapting to the new system.  Therefore, with respect to calendar year 2014, Reporting Model 2 FFIs filing Form 8966 with respect to Non-Consenting U.S. Accounts will not be treated as being in significant non-compliance under their applicable Model 2 IGAs as long as such FFIs are making good faith efforts to comply with their reporting obligations and reporting is completed within 90 days after the applicable filing deadline (taking into account any other extensions already provided).

Up-to-date answers to frequently asked questions as well as links to useful information relating to using IDES is available on the IRS website at FATCA IDES Technical FAQs.  Additional information can be found on the IDES support page, and sample data preparation files can be found on GitHub.

Added:  03-24-2015

Return to top


Request for Additional Extension of Time to File Form 8966 for Tax Year 2014

Q1. How do I submit a request for additional extension of time to file Forms 8966 for tax year 2014?
Follow the instructions to use the template entitled Request for Additional Extension of Time to File Form 8966 for Tax Year 2014.  The deadline for submitting your request is June 29, 2015.  Note:  You must submit a separate request for each filer (for example, if you are requesting an additional extension of time to file Form 8966 both on behalf of yourself and with respect to reporting on behalf of a sponsored entity, you must submit two requests).  Further, for tax year 2014 only, an additional 90-day extension of time will be automatically approved for eligible filers who submit a request.  You will not receive a response from the IRS. 

Added:  06-9-2015

Return to top


Request for Waiver from Filing Form 8966 Electronically for Tax Year 2014

Q1. How do I submit a request to waive the requirement to file Forms 8966 electronically for tax year 2014?
Follow the instructions to use the template entitled Request for Waiver From Filing Form 8966 Electronically for Tax Year 2014.  The deadline for submitting your request is August 13, 2015.  However, if you need an additional extension of time to file, you must submit a separate request for the extension by June 29, 2015.  Note:  You must submit a separate request for each filer (for example, if you are requesting a waiver from electronic filing of Form 8966 both on behalf of yourself and with respect to reporting on behalf of a sponsored entity, you submit two requests).  Further, if you do not receive a response from the IRS within 45 days of the date you mail your request, you may treat the request as granted. 

Added:  06-9-2015

Return to top


FATCA Registration Self-Help

The FATCA Registration System support team cannot respond to questions regarding FATCA regulations, your FATCA Registration account, or FATCA Related Forms.  

For guidance on FATCA Related Forms and instructions for completing them, refer to FATCA Related Forms.
Forgot your FATCA ID or Access Code? Refer to  Forgotten FATCA ID and Access Code.

Return to top


FATCA Registration System Technical Support:

If you need system support for the online FATCA Registration, including help with login problems, error messages and other technical issues, please contact FATCA Registration System Technical Support.

Return to top


Comment on FATCA Compliance

If you have additional  comments about FATCA compliance, please submit your comments.

NOTE: Do not provide any personal identification information such as your name, taxpayer identification number, social security number, address, or telephone number.

Return to top


Additional Support

If you need additional information please visit the FATCA Compliance and FATCA FAQs which are updated regularly.  

Return to top