FATCA and charities

If you run a charitable foundation in the UK or are a trustee of a UK charitable foundation, you may have read about the additional tax reporting and regulations imposed by the US Foreign Account Tax Compliance Act (FATCA) rules on bank and financial accounts held by charities. US persons may wonder whether there are any additional reporting requirements that apply by virtue of their involvement with a UK charitable foundation.

First of all, a little background: complex regulations have been released by the US Treasury Department implementing the FATCA rules on a global basis. These regulations include a rather complex variety of procedures for non-US charities to comply with the FATCA reporting requirements. These rules potentially apply both reporting requirements with respect to US persons associated with these charities and a withholding tax on US-source passive income and proceeds of sale of stock.

The fact that a charity has no direct US investments or connection with the US will not prevent FATCA being applied by their bankers and brokers, who will undoubtedly be themselves registering as participating foreign financial institutions under the [majority of the] FATCA rules…

If you are registered and logged in to the site, click on the link below to read the Withers briefing. If not, please register or sign in with your details below.

Sign in or Register to continue reading this article

Sign in

Register

It's quick, easy and free!

It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.

Register now

Why register to The Lawyer

 

Industry insight

In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.

 

Market intelligence

Identify the major players and business opportunities within a particular region through our series of free, special reports.

 

Email newsletters

Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.

More relevant to you

To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.

Briefings from Withers

  • Family law revolution

    22 April 2014 marked ‘the largest reform of the family justice system any of us have seen or will see in our professional lifetimes’, according to the president of the Family Division.

  • A day out with the Charity Tax Group

    Withers’ Graham Elliott discusses the points he found most interesting from this year’s Charity Tax Group annual meeting.

View more briefings from Withers

Analysis from The Lawyer

Browse This Firm’s

Overview

16 Old Bailey
City of London
London
EC4M 7EG
UK

Turnover (£m): 123.30
No. of lawyers: 313