The Ohio Department of Taxation (ODT) recently published new instructions which modify the way businesses request a refund when there is over-withholding. ODT still uses the Withholding Tax Application for Refund (Form WT-AR), but now limits the circumstances in which filers may use the form to request a refund. Generally, if over-withholding occurs, it will […]
Automatic Exchange of Information (AEOI) legislation is constantly evolving worldwide as the standard is rolled out around the world. The Sovos research team continually monitors new regulations and updates across the globe and publishes them in our Taxport Compass tool. Here are some important changes that occurred in recent weeks: Germany Releases FATCA Schema Files […]
Sovos is predicting the majority of transmittals submitted by qualifying financial institutions to early adopter tax jurisdictions in the next two months may be rejected and returned for correction and resubmission. As a result, institutions may require several rounds of resubmissions before their data is accepted. The majority of transmittals submitted by qualifying financial institutions […]
Jersey’s tax authority has published Practical AEOI Guidance ahead of this year’s filing season in order to clarify certain issues and provide updates regarding account reporting and transmittals. The Practical Guidance addresses the following specific topics: • The release and change over to the US FATCA v2.0 schema • New elements in the US FATCA […]
The Mexican Tax Administration Service has published an updated version of its electronic nil reporting guidance. The revised version makes clarifications on some matters addressed in the original publication. Additionally, the Service has updated its presentation on security protocols for creating XML files.
The Maltese Inland Revenue Division has published an updated version of its CRS implementation guidelines for Financial Institutions. There is only one significant change of which filers should take note – regarding trustee-documented trusts: During 2017, consolidated reporting by trustees will only be supported through the upload of CRS XML data files using an IRD […]
The Liechtenstein Tax Administration has released a document containing additional XML specifications, which will supplement the FATCA XML Schema v2.0 and CRS XML Schema that Liechtenstein FIs will use to report account information and receive notifications. Reporting Financial Institutions needs to be mindful that their own jurisdiction is allowed to implement their own changes to […]
The Italian Internal Revenue Service has published a newly enacted order relative to the implementation of FATCA for this year’s filing season. This order updates the technical annexes, replacing the previous ones that were used for the last year’s filing. The new specifications are intended to reflect the changes to the IRS FATCA XML Schema […]
The IRS has announced that IDES will be open for the testing of FATCA files from Monday, June 19, 2017 at 8:00 AM EST until Friday, July 14, 2017 at 5:00 PM EST. The test session will be open to users who have completed IDES enrollment by Thursday, June 15, 2017 at 5:00 PM EST. […]
The Bahamas Ministry of Finance has released information regarding the timeline for portal registration and reporting for this year’s filing season. The TIE Portal will open for registration and reporting on July 17, 2017 at 9:00am EST and will close on August 25, 2017 at 5:00pm EST. As a general reminder, FIs were required to […]
The IRS’s International Data Exchange Service (IDES) has published an answer to a Frequently Asked Question regarding TIN reporting in 2018 – for Tax Year 2017 information. Beginning in 2018, Model 1 FFIs will no longer be permitted to use nine zeros in place of a U.S. TIN. Article 6(3)(b) of the Model […]
The Affordable Care Act Employer Mandate is in full force for tax years 2016 & 2017, despite the ongoing dialogue in Washington DC. Although it is a “good faith” filing year, corrections and replacements are still required and penalties can be enforced. The Affordable Care Act Employer Mandate has been a crucial talking point for […]
The IRS has published additional Frequently Asked Questions that address general compliance issues related to FATCA obligations. Specifically, the FAQs touch upon Foreign TIN and Date of Birth requirements. A withholding agent must obtain a foreign TIN for: • A foreign person claiming a reduced rate of withholding under an income tax treaty if there […]
Remote sales continue to be an ongoing concern for vendors trying to stay compliant with state and local taxing authorities. Massachusetts joins a growing list of states that have adopted their own laws and regulations. On April 3, Massachusetts joined the ranks of states defying the Quill decision with its variation on economic nexus for […]
As business-to-government compliance continues expanding across Europe, Spain is following LATAM’s electronic invoicing model as one of the first European countries to adopt automation in efforts to maximize tax collections. Starting July 1, 2017, the “Suministro Inmediato de Información,” known as the SII, will require certain businesses in Spain to electronically submit transactional invoice data […]
Recently, the Cayman Islands published its version 2.0 for CRS Guidance. The Guidance is a very important document for CRS reporting as it contains important information for due diligence and reporting requirements. In particular, Cayman will require Reporting FIs to send separate reports for each of its jurisdictions where it maintains reportable accounts. Moreover, it […]
Prime Minister Theresa May has called for an early general election on June 8, claiming it’s the only way to guarantee certainty and stability in Brexit negotiations. The Prime Minister’s Conservative Party is currently polling far ahead of the opposition Labour Party, and her clear hope is that Conservatives will gain enough seats in Parliament […]