The Foreign Account Tax Compliance Act (Fatca) is “the new reality” and companies should become compliant as soon as possible, says a consultancy.
The act, which aims to combat tax evasion by US citizens, empowers the US authorities to punish foreign institutions that do not meet Fatca reporting requirements, said Deloitte.
“Fatca is the new reality and going forward non-compliance could result in penalties and the risk of severe reputational damage,” said Nauman Ahmed, Deloitte Middle East tax leader.
Deloitte says its operation in Kuwait has received approval from the Ministry of Finance to provide Fatca services.
“We understand that the implementation of new and complex regulations can be a daunting challenge for many businesses, the first place to start is to understand the level of impact that Fatca will have on your business,” said Alex Law, managing director of Deloitte’s international tax services.
©2017 funds global mena