Who is FATCA applicable to?

FATCA requires certain U.S. taxpayers who hold foreign financial assets with an aggregate value of more than the reporting threshold (at least $50,000) to report information about those assets on Form 8938, which must be attached to the taxpayer’s annual income tax return.

Who is classified as US person?

The term ”United States person” means: A citizen or resident of the United States. A domestic partnership. A domestic corporation. Any estate other than a foreign estate.

What is FATCA Declaration India?

FATCA compliance simply requires a declaration giving information such as your PAN details, country of birth, country of residence, Nationality, Occupation, Gross Annual Income, and details of whether you’re a politically exposed person. It is a mandatory exercise for both Individual and Non-Individual Investors.

What is FATCA state in NPS for Indian?

FATCA facilitates the automatic exchange of financial information between India and the US. That is, all Indian financial institutions must provide necessary information to the tax authorities of the country. This information will then be shared with the US.

What is a FATCA requirement?

The Foreign Account Tax Compliance Act (FATCA), which was passed as part of the HIRE Act, generally requires that foreign financial Institutions and certain other non-financial foreign entities report on the foreign assets held by their U.S. account holders or be subject to withholding on withholdable payments.

Who is a US person under fatca?

Broadly speaking, can include any US individual (e.g. US citizen, resident, green card holder, etc.) and/or US entity (e.g. US corporation, partnership, etc.) The term ‘Non-United States person’ means all clients that do not fall under the formal definition of ”United States person” under FATCA.

Is a LLC a US person?

Regardless of their US tax status, corporations, partnerships, LLCs and trusts formed or organised under US laws all fall within the definition of a US person required to file an FBAR.

What is FATCA India and how does it work?

The goal of FATCA India is for Indian citizens and NRI to declare foreign accounts and assets from Indian banks and other financial institutions (FFI) such as ICICI, Axis, SBI, Citibank and HDFC. There are may different filing and threshold requirements. And, if the Indian Bank is also complying with CRS, there may be double-reporting required.

What information is required to report Under FATCA?

Under FATCA agreement reporting, the US Financial Institution is under an obligation to share with respect to each Indian Reportable Account, all the information listed below starting 2014 and for all subsequent years (1) the name, address, and Indian TIN of any person that is a resident of India and is an Account Holder of the account;

Is FATCA applicable to NRI’s?

Also, the bank accounts held by the NRIs in the form of NRO Accounts, NRE Accounts & FCNR Accounts comes under the purview of FATCA. With the background of the FATCA agreement, the Indian Government has also amended the Income Tax Law in India.

What is FATCA (foreign account Tax Compliance Act)?

In 2010, USA enacted a law known as “ Foreign Account Tax Compliance Act ” (FATCA) with the objective of tackling tax evasion through obtaining information in respect of offshore financial accounts maintained by USA residents and citizens.