On 29 July 2015, Turkey and the United States signed a Foreign Account Tax Compliance Act (FATCA) Agreement.
FATCA seeks to obtain information on accounts held by U.S. taxpayers in other countries. It requires U.S. financial institutions to withhold a portion of certain payments made to Foreign Financial Institutions (FFIs) who do not agree to identify and report information on U.S. account holders. Governments have the option of permitting their FFIs to enter into agreements directly with the IRS to comply with FATCA under U.S. Treasury Regulations or to implement FATCA by entering into one of two alternative Model IGAs with the United States.
More specifically, Turkey and the United States signed a Model 1 Agreement. Under this agreement, FFIs in Turkey will report the information required under FATCA about U.S. accounts to the Turkish Government, which in turn will report the information to the IRS. This agreement is reciprocal, meaning that the United States will also provide similar tax information to the Turkish Government regarding individuals and entities from Turkey with accounts in the United States.Back to News
Greek citizen setting up in Cyprus - The checklist! We get a lot of queries from our Greek clients and associates on how Greek citizens can become Cyprus tax residents and what the process of obtaining a tax residency certificate is. As such, we have prepared the below checklist to assist everyone interested in this.Read more