Preparations for the Foreign Account Tax Compliance Act (FATCA) have taken another step forward as the proposed legislation, The Revenue Administration (Amendment) Act 2015, has now been signed into law by the Governor General, His Excellency the Most Honourable Sir Patrick Allen. This means that Financial Institutions (FIs) are now required under law to provide Tax Administration Jamaica (TAJ) as the Competent Authority, with the relevant financial information relating to their US Reportable Accounts. TAJ will in turn submit the received data to the United States Internal Revenue Service (IRS) in accordance with the Inter-Governmental Agreement (IGA).
To ensure the smooth implementation of the new requirements, TAJ has made the necessary preparations for its systems to receive the data to be provided by all local Financial Institutions. Additionally, it has been working with these institutions to prepare their systems,
and to sensitize them about their new responsibility through a series of island wide seminars.
Financial Institutions may start submitting their FATCA reports to TAJ as at Wednesday August 26, 2015. Financial Institutions not yet registered with TAJ are encouraged to do so, as the law now requires them to submit their reports for calendar year 2014 to TAJ by August 31, 2015.
This will enable the tax authority to transmit the required data to the IRS by September 30, 2015, in keeping with the IGA. Financial Institutions (FIs) are therefore urged to continue preparing the relevant financial information for submission. To date, of the 61 FIs registered on the IRS website, 51 have also registered with TAJ.
Where the FI will have a difficulty in meeting the August 31, 2015 deadline for submission of their FATCA reports to TAJ, the FI should immediately contact the Exchange of Information Office, located within the Large Taxpayer Office of TAJ.
The FATCA submission process is facilitated through the TAJ’s new Revenue Administration Information System (RAiS) which is accessible through its web portal at www.jamaicatax.gov.jm. Persons may call the Exchange of Information Office, within the Large Taxpayer Office at 905-5638/905-5685 or email their FATCA questions to firstname.lastname@example.org.