Foreign financial institutions may now be considering applying for Qualified Intermediary, Withholding Foreign Partnership, or Withholding Foreign Trust status in conjunction with their compliance with chapter 4 (more commonly referred to as the Foreign Account Tax Compliance Act, or FATCA).
Beginning on December 31, 2013, the Qualified Intermediary (QI), Withholding Foreign Partnership (WP), and Withholding Foreign Trust (WT) Agreements will be expanded to incorporate an FFI’s requirements under FATCA with the QI, WP, or WT responsibilities under chapter 3 (to the extent applicable). As a result, all QI, WP, and WT agreements currently in effect will expire as of December 31, 2013. The revised QI Agreement and WP/WT Agreement are expected to be published in a Revenue Procedure no later than July 15, 2013.
FFIs registering with the IRS to obtain participating FFI or registered deemed-compliant status (for e.g., as a reporting Model 1 FFI) will be able to do so through a secure online web portal, the FATCA Registration Portal (Portal), from anywhere in the world. The Portal is available for only QIs, WPs, and WTs seeking to renew their QI, WP, or WT agreement (including FFIs that obtain such status during 2013).
To apply for QI, WP, or WT status, an FFI must submit a Qualified Intermediary Application, or Withholding Foreign Partnership/Withholding Foreign Trust Application to:
Qualified Intermediary Program
290 Broadway, 12th Floor
New York, New York 10007
Attention: QI Applications
In order to ensure that QI, WP, or WT status is obtained prior to the date the registration portal opens, no later than July 15, 2013, financial institutions seeking such status are required to submit the appropriate QI, WP, or WT application and all required attachments no later than May 3, 2013.
Applications will be accepted until November 15, 2013 with respect to obtaining QI, WP, or WT status for the 2013 year. An application received on or before this date will be processed in time to permit the desired registration (including as required through the portal) status prior to December 31, 2013.
Requiring FATCA Registration