On December 13, 2018, Treasury released proposed regulations under chapter 4 (sections 1471 through 1474) commonly known as the Foreign Account Tax Compliance Act (FATCA), as well as sections 1441 and 1461.
The proposed changes include the following:
- eliminating withholding on payments of gross proceeds,
- deferring withholding on foreign passthru payments,
- eliminating withholding on certain insurance premiums,
- clarifying the definition of investment entity,
- guidance concerning certain due diligence requirements of withholding agents, and
- guidance on refunds and credits of amounts withheld.
Watch for our article this week on our blog page that will be going into detail on these regulations. If you would like a copy of the proposed regulations, click on the following link: https://lnkd.in/exaFiiU