FATCA – Final regulations on reporting by individuals of foreign financial assets to IRS
December 11: The Treasury Department and IRS today released for publication in the Federal Register final regulations (T.D. 9706) concerning the requirement that individual taxpayers report to the IRS specified foreign financial assets for tax years beginning after March 18, 2010 (the date of enactment of the FATCA rules).
The final regulations [PDF 257 KB] provide guidance relating to the requirement that individuals attach a statement to their income tax return to provide required information regarding specified foreign financial assets in which they have an interest. Proposed regulations addressing the application of these rules to domestic entities remain in proposed form and will be finalized at a later date.
These regulations finalize regulations that were proposed in December 2011, and remove corresponding temporary regulations. Among the items addressed in the final regulations or in the preamble to the final regulations are measures concerning:
The reporting requirements of dual resident taxpayers
Individuals who are residents of the United States under non-immigrant visas
Persons that do not owe U.S. tax for the tax year
Reporting threshold amounts
Employees who are seconded to work in the United States
Clarifications of reporting requirements for certain assets, such as nonvested property under section 83, assets held by a disregarded entity, and jointly owned assets
