Liechtenstein: Updated FATCA guidance concerning U.S. TINs

Updated FATCA guidance to reflect use of revised U.S. TIN codes based on issuance of Notice 2023-11 by U.S. tax authority (IRS)

Updated FATCA guidance concerning U.S. TINs

Article Posted date 12 June 2023

The tax authority of Liechtenstein on 1 June 2023, updated its FATCA reporting technical guidance to reflect the use of revised U.S. tax identification number (TIN) codes based on the issuance of Notice 2023-11 by the U.S. tax authority (IRS) and the use of a national TIN of a non-US entity with a U.S. substantial owner. Read TaxNewsFlash

According to Notice 2023-11, foreign financial institutions reporting for calendar year 2022 (due June 2023), 2023 (due June 2024) and 2024 (due June 2025) will not be considered significantly non-compliant when using the updated TIN codes for missing U.S. TINs for pre-existing US accounts if certain conditions are adhered to. Financial institutions with missing U.S. TINs for each reportable account are eligible for this relief if they:

  • Obtain and report the date of birth of each individual account holder and controlling person
  • Inquire annually for U.S. account holders or U.S. controlling persons whose U.S. TINs cannot be reported
  • Search annually for any missing U.S. TINs in the electronic data maintained by the foreign financial institution
  • Use the updated U.S. TIN codes for U.S. account holders and U.S. controlling persons whose U.S. TIN cannot be reported
  • Request annually for any missing U.S. TIN from each account holder by proper methods of communication that are likely to reach each account holder

Additionally, foreign financial institutions need to document and retain the policies and procedures applied for the fulfillment of the conditions, as well as documentation proving adherence to the policies and procedures.

Read a June 2023 report [PDF 517 KB] prepared by the KPMG member firm in Liechtenstein

 

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