Foreign Account Tax Compliance Act (FATCA) - What does it mean for financial institutions in Cyprus

An open seminar was organised on Monday, November 7 aiming to raise awareness for the main provisions of the Foreign Account Tax Compliance Act and its potential impact on organisations in Cyprus.

The seminar was presented by PwC leading FATCA specialist, US Tax Partner, Kenneth Shives who explained that a massive ammount of new regulation, including tax regulations which will affect the financial services industry, is expected to continue intensely for the next years.

FATCA imposes a series of due diligence, reporting and withholding obligations on foreign entities that receive specific payments from US sources. Failure to meeting these obligations could reselt in 30% withholding tax on certain types of US source income and gross proceed. Primarily, FATCA will affect financial institutions such as banks, investment firms and insurance companies.

Click to see the press release of the event