India: Clarification of FATCA TIN code update
Model 1 foreign financial institutions that are unable to obtain U.S. TINs for pre-existing accounts are eligible for reporting relief
Model 1 foreign financial institutions that are unable to obtain U.S. TINs for pre-existin
The Central Board of Direct Taxes (CBDT) on 4 May 2023 issued a circular clarifying the applicability of “frequently asked questions” (FAQs) issued by the U.S. tax agency (IRS) for FATCA reportable accounts.
The FAQs were updated in accordance with Notice 2023-11. Read TaxNewsFlash
According to the FAQs, Model 1 foreign financial institutions that are unable to obtain U.S. taxpayer identification numbers (TINs) for pre-existing accounts are eligible for reporting relief provided certain procedures are followed.
- Reporting for calendar year 2022 (due by 30 September 2023) will be considered to be a transition year. Foreign financial institutions can use either the TIN codes issued by the IRS in May 2021 or the 2023 updated codes.
- For reporting calendar years 2023 (due by 30 September 2024) and 2024 (due by 30 September 2025), Model 1 foreign financial institutions must use the updated TIN codes explaining the inability to report a U.S. TIN.
Read a May 2023 report [PDF 215 KB] prepared by the KPMG member firm in India
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