Financial Institutions Required To Share Information With TAJ

Effective 17 August, financial institutions in Jamaica will be required to transmit relevant financial information to Tax Administration Jamaica (TAJ) on persons who reside permanently in the United States or persons who earn a substantial amount of their income from or within the United States.

For all subsequent years, the reporting date will be 31 May of each year.

According to The Jamaica Star, Finance and Planning Minister Dr. Peter Phillips said: "The Foreign Accounts Tax Compliance Act of the United States represents one such instrument and the agreement to give effect to this, which was signed by the Government of Jamaica and the US, has to be incorporated into our domestic legislation."

The Foreign Account Tax Compliance Act (FATCA) is U.S. legislation which was signed into U.S. Law on 18 March 2010, as part of the U.S. Hiring Incentives to Restore Employment (HIRE) Act. The fundamental objective of FATCA is to identify those U.S. persons who may be evading tax...