Notice on FATCA

 

What is FATCA?

The Foreign Account Tax Compliance Act (FATCA) is a United States federal law requiring United States persons (including those living outside the U.S.) to have yearly report themselves and their non-U.S. financial accounts to the Financial Crimes Enforcement Network (FINCEN), and requires all non-US (Foreign) Financial Institutions (FFI's) to search their records for suspected US persons for reporting their assets and identities to the US Treasury.

Role of Bank of Ceylon?

In compliance with the FATCA regulation, Bank of Ceylon has become a Participating Foreign Financial Institution (PFFI) under FATCA with effect from 1st of July 2014.

Under FATCA agreement, Bank of Ceylon is liable to 

  • Identify the U.S. Persons
  • Report the relevant information to the U.S. Internal Revenue Service (IRS)

Failure or non-compliance with the Act results in a 30% withholding of certain payments to accounts held by non
cooperating persons. FACTA applies to all domestic and international (offshore) financial institutions operating in Sri Lanka.

U.S. Person

The term "United States Person" means:

  • A citizen of the United States
  • A dual citizen where one country of citizenship is U.S.
  • Non-U.S. citizen that is a permanent resident of U.S. (green card holder)
  • A person that meets the substantial presence test
  • Any other person that is not a foreign person

Forms
W-9 – U.S. Citizen or Resident
W-8BEN - Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals)
W-8BEN-E - Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Entities
Declaration of U.S. Person/s – authorization to disclose the relevant information to U.S. IRS by U.S. Persons
Declaration of non-U.S. Person/s – Confirmation of non-U.S. Person/s

U.S. Indicia

U.S. IndiciaDocuments Required
U.S. Citizen or ResidentW-9 &  Declaration of U.S. Person/s
Foreign Status Beneficial Owner for United States 
Tax Withholding and Reporting (Individuals)		W-8BEN
Foreign Status Beneficial Owner for United States 
Tax Withholding and Reporting (Entities)		W-8BEN-E
Non U.S. Person/sDeclaration of non U.S. Person/s


For more information visit: http://www.irs.gov/Businesses/Corporations/Foreign-Account-Tax-Compliance-Act-FATCA

Application forms:

W-8BEN : Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals)

W-8BEN-E: Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Entities)

W-9: U.S. Citizen or Resident

Confirmation of non U.S. Person/s

Authorization to disclose the relevant information to U.S. IRS by U.S. Persons