The implementation date for America’s Foreign Account Tax Compliance Act (FATCA) may have been recently pushed back to 1st July 2014; however, residents in the Cayman Islands who have US connections should still ensure they are FATCA compliant as soon as possible to avoid severe penalties. To help residents understand how to ensure compliance, Cayman Finance and the Ministry for Financial Services have joined forces to produce a seminar on the subject, to be held this Thursday 3rd October at The Westin Grand Cayman Resort from 4 – 6 PM.
Gonzalo Jalles, CEO of Cayman Finance, said it is vital Cayman Islands’ residents appreciate the implications of this new American legislation just as much as Cayman’s financial institutions have and which have led them to make extensive preparations already to ensure their organisations’ compliance.
“Cayman residents who were born in the States but not ever lived there are still liable to pay taxes and file annual tax returns in the U.S., so they, too, will be impacted by FATCA,” he explains. “Even though you may believe your link with the U.S. is extremely tenuous and you may not even possess a U.S. passport, it is definitely worthwhile attending this week’s seminar to ensure you have done everything possible to ensure you are in compliance with FATCA.”
FATCA, which targets tax non-compliance by U.S. taxpayers with foreign accounts, is such a broad piece of legislation that many residents in Cayman might not realise they will be affected. Anyone who was born in the US, holds or has held a US passport or a green card, or has a U.S. address may fall under FATCA’s umbrella of a ‘U.S. person’ and is, therefore, encouraged to attend this seminar to find out more about what needs to be done to prepare themselves for FATCA.
Compliance considerations for U.S. persons include the fact that U.S. persons as defined by FATCA will need to complete a special IRS Form 8938 to report foreign accounts and assets that will need to be submitted along with the usual tax returns. And there are big penalties, as even failing to make a tax return is taken very seriously.
The Seminar is sponsored by Dillon Eustace and KPMG. Confirmed speakers include: Councillor Roy McTaggart, Ministry for Financial Services; Steven L. Cantor, Cantor & Webb P.A.; and Doug Harrell of KPMG.
To register, please visit www.caymanfinance.ky.
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Cayman Finance Contact:
Lynne Byles
Tower
345 623 6700
lynne@tower.com.ky
