On 1 July 2014 the withholding provisions of the Foreign Account Tax Compliance Act (FATCA) took effect. Although a US law, FATCA is having a substantial impact on companies outside the US.
How will non-US companies feel the impact?
On the whole, FATCA readiness for non-US companies means being prepared to respond to requests for various documents and information. This may involve collecting and analysing data from many entities throughout a multinational affiliated group. As this can take a lot of time and resources, non-US companies should act now rather than being caught unprepared and face a potential 30% withholding on payments from the US.
The FATCA is complicated. Grant Thornton’s global network of member firms has the experience and insight needed to help companies understand and manage potential FATCA issues.
Talk to your local firm about how Grant Thornton can help your organisations FATCA compliance.
