• Foreign Account Tax Compliance Act (FATCA)

There are several initiatives globally to enhance financial and tax information disclosure and compliance. FATCA is a US law and regulation to improve tax compliance on US Persons, their foreign financial assets and offshore accounts. Under FATCA, US Persons with specified foreign financial assets that exceed certain thresholds must be reported to the IRS. FATCA comes into effect on 1 July 2014.

 

Does FATCA affect US and/or Foreign Banks?

FATCA requirements affect all Banks and other Foreign Financial Institutions (FFIs), in their transactions and interactions in the international financial markets. Please note each FFIs approach to adopting FATCA may differ.

How does FATCA affect CIMB Group?

The CIMB Group is committed to becoming FATCA compliant in all countries where we operate, within the laws of the respective country. CIMB Group FFIs have registered with the US IRS and/or the designated Government Agency in all countries, to participate and cooperate under FATCA. CIMB Group FFIs have and continue to take appropriate measures to comply with the relevant requirements under FATCA and local laws and regulation, in order to best support its clients and counterparties.

How does FATCA affect CIMB clients and counterparties?

Currently, CIMB Group FFIs may contact individual clients, if there is information indicating that such clients fall within the scope of this legislation. CIMB Group FFIs may also contact legal entities which may require FATCA identification and classification. These may include legal entities with a U.S. ultimate beneficial owner, US. corporations as well as non-USFFIs.

During the on-boarding process, CIMB Group FFIs will collect information for purposes of identifying US persons (including persons with dual citizenships or residents of the US and US territories), which may include related parties where required under the regulations. Information required would include US Tax Identification Number (TIN) or equivalent.

Financial institutions (including banks, life insurance companies,fund managers and funds, trustees and nominees).are expected to obtain a Global Intermediary Identification Number (GIIN) from the IRS. It will allow financial institutions to avoid the FATCA withholding tax on U.S. sourced income from financial products and transactions. This registration may also be required by intergovernmental agreements for identification purposes.

CIMB Group FFIs may also contact certain counterparties to incorporate appropriate FATCA clauses in their master agreements and mutual arrangements, in order to avoid possible withholding or other enforceable penalties under FATCA and/or applicable laws.

Kindly note that you should contact your professional tax adviser or refer to the IRS website, as the CIMB Group cannot offer professional tax advice.

Step 1

Download the forms from the list above.

Step 2

Print, complete and sign the forms.

Step 3

Mail the completed forms using our Business Reply Envelope.