{"kind":"expression","expression":{"expr_id":"455","doc_id":"455","label":"2021 Revision","is_as_enacted":"f","commenced_on":null,"superseded_on":null,"valid_from":null,"valid_to":null,"is_current":"t","incorporating":null,"akn_expr_iri":"\/akn\/ky\/act\/sl\/2014\/33\/eng@2021-01-01","akn_envelope":"{\"_canary\": {\"iri\": {\"work\": \"\/akn\/ky\/act\/sl\/2014\/33\", \"expression\": \"\/akn\/ky\/act\/sl\/2014\/33\/eng@2021-01-01\", \"manifestation\": \"\/akn\/ky\/act\/sl\/2014\/33\/eng@2021-01-01.pdf\"}, \"pdf\": {\"md5\": \"61b1da272a1518848a32ca0d7663a5d7\", \"path\": \"\/Users\/q\/kyleg-data\/working\/SUBORDINATE\/2014\/2014-0033\/2014-0033_2021 Revision.pdf\", \"pages\": 28, \"filename\": \"2014-0033_2021 Revision.pdf\"}, \"errors\": [], \"extraction\": {\"model\": null, \"stats\": {\"word_count\": 7470, \"paragraph_count\": 20, \"text_char_count\": 49005}, \"usage\": null, \"method\": \"pymupdf-text\", \"version\": \"kyleg-akn-1.0\", \"extracted_at\": \"2026-06-22\"}, \"classification\": \"text_layer\", \"validation_flags\": [], \"docai_processor_id\": null}, \"akomaNtoso\": {\"act\": {\"body\": [{\"eId\": \"sec_n1\", \"num\": null, \"text\": \"Tax Information Authority Act (2021 Revision) TAX INFORMATION AUTHORITY (INTERNATIONAL TAX COMPLIANCE) (UNITED STATES OF AMERICA) REGULATIONS (2021 Revision) PUBLISHING DETAILS Revised under the authority of the Law Revision Act (2020 Revision). The Tax Information Authority (International Tax Compliance) (United States of America) Regulations, 2014 made the 3rd July, 2014 as amended by Law 56 of 2020. Consolidated with \u2014 The Tax Information Authority (International Tax Compliance) (United States of America) (Amendment) Regulations, 2015 made the 10th March, 2015. The Tax Information Authority (International Tax Compliance) (United States of America) (Amendment) (No. 2) Regulations, 2015 made the 26th May, 2015 The Tax Information Authority (International Tax Compliance) (United States of America) (Amendment) Regulations, 2020 made the 18th February, 2020. Originally enacted \u2014 Law 56 of 2020-7th December, 2020. Consolidated and revised this 31st day of December, 2020. Note (not forming part of these Regulations): This revision replaces the 2018 Revision which should now be discarded. Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Arrangement of Regulations Tax Information Authority Act (2021 Revision) TAX INFORMATION AUTHORITY (INTERNATIONAL TAX COMPLIANCE) (UNITED STATES OF AMERICA) REGULATIONS (2021 Revision) Arrangement of Regulations Regulation 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_19\", \"num\": \"19.\", \"text\": \"Arrangement of Regulations Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) ENDNOTES Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 1 Tax Information Authority Act (2021 Revision) TAX INFORMATION AUTHORITY (INTERNATIONAL TAX COMPLIANCE) (UNITED STATES OF AMERICA) REGULATIONS (2021 Revision)\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_1\", \"num\": \"1.\", \"text\": \"Citation 1. These Regulations may be cited as the Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision).\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_2\", \"num\": \"2.\", \"text\": \"Definitions 2. (1) In these regulations \u2014 \u201cActive NFFE\u201d means any NFFE that meets any of the following criteria \u2014 (a) less than fifty percent of the NFFE\u2019s gross income for the preceding calendar year or other appropriate reporting period is passive income and less than fifty percent of the assets held by the NFFE during the preceding calendar year or other appropriate reporting period are assets that produce or are held for the production of passive income; (b) the stock of the NFFE is regularly traded on an established securities market or the NFFE is a related Entity of an Entity the stock of which is traded on an established securities market; (c) the NFFE is organised in a United States territory and all of the owners of the payee are bona fide residents of that United States territory; Regulation 2 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) (d) the NFFE is a government, other than the United States government, a political subdivision of the government, which for the avoidance of doubt, includes a state, province, county, or municipality, or a public body performing a function of that government or a political subdivision thereof, a government of a United States territory, an international organisation, a non-United States central bank of issue, or an Entity wholly owned by one or more of the foregoing; (e) substantially all of the activities of the NFFE consist of holding, in whole or in part, the outstanding stock of, or providing financing and services to, one or more subsidiaries that engage in trades or businesses other than the business of a Financial Institution, except that an NFFE shall not qualify for this status if the NFFE functions, or holds itself out, as an investment fund, such as a private equity fund, venture capital fund, leveraged buyout fund, or any investment vehicle whose purpose is to acquire or fund companies and then hold interests in those companies as capital assets for investment purposes; (f) the NFFE is not yet operating a business and has no prior operating history, but is investing capital into assets with the intent to operate a business other than that of a Financial Institution, provided that the NFFE shall not qualify for this exception after the date that is twenty-four months after the date of the initial organisation of the NFFE; (g) the NFFE was not a Financial Institution in the past five years, and is in the process of liquidating its assets or is reorganising with the intent to continue or recommence operations in a business other than that of a Financial Institution; (h) the NFFE primarily engages in financing and hedging transactions with, or for, Related Entities that are not Financial Institutions, and does not provide financing or hedging services to any Entity that is not a Related Entity, provided that the group of any Related Entities is primarily engaged in a business other than that of a Financial Institution; (i) the NFFE is an \u201cexcepted NFFE\u201d as described in relevant United States Treasury Regulations; or (j) the NFFE meets all of the following requirements \u2014 (i) it is established and operated in its jurisdiction of residence exclusively for religious, charitable, scientific, artistic, cultural, athletic, or educational purposes; or it is established and operated in its jurisdiction of residence and it is a professional organisation, business league, chamber of commerce, labour organisation, agricultural or horticultural organisation, civic league or an organisation operated exclusively for the promotion of social welfare; Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 2 (ii) it is exempt from income tax in its jurisdiction of residence; (iii) it has no shareholders or members who have a proprietary or beneficial interest in its income or assets; (iv) the applicable laws of the NFFE\u2019s jurisdiction of residence or the NFFE\u2019s formation documents do not permit any income or assets of the NFFE to be distributed to, or applied for the benefit of, a private person or non-charitable Entity other than pursuant to the conduct of the NFFE\u2019s charitable activities, or as payment of reasonable compensation for services rendered, or as payment representing the fair market value of property which the NFFE has purchased; and (v) the applicable laws of the NFFE\u2019s jurisdiction of residence or the NFFE\u2019s formation documents require that, upon the NFFE\u2019s liquidation or dissolution, all of its assets be distributed to a governmental Entity or other non-profit organisation, or escheat to the government of the NFFE\u2019s jurisdiction of residence or any political subdivision thereof; \u201cAgreement\u201d means the Agreement between the Government of the Islands and the Government of the United States of America to Improve International Tax Compliance and to Implement FATCA, signed on 29th November, 2013; \u201cAnnex\u201d means an Annex to the Agreement; \u201cCompetent Authority\u201d means the Tax Information Authority designated under section 4 of the Tax Information Authority Act (2021 Revision), or a person designated by the Authority to act on behalf of the Authority; \u201cControlling Persons\u201d means the natural persons who exercise control over an Entity and in the case of a trust, the words mean the settlor, the trustees, the protector, if any, the beneficiaries or class of beneficiaries and any other natural person exercising ultimate effective control over the trust and in the case of a legal arrangement other than a trust, the words mean persons in equivalent or similar positions and the words \u201cControlling Persons\u201d shall be interpreted in a manner consistent with the Financial Action Task Force Recommendations; \u201cEntity\u201d means a legal person or a legal arrangement such as a trust, partnership or limited liability partnership; \u201cFinancial Institution\u201d means a person who carries on business in the Islands as \u2014 (a) a custodial institution; (b) a depository institution; (c) an investment Entity; or (d) a specified insurance company; Regulation 2 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) \u201cGlobal Intermediary Identification Number\u201d means a number allocated to a Financial Institution by the Internal Revenue Service of the United States of America for FATCA purposes; \u201cNFFE\u201d means any Non-United States Entity that is not a Financial Institution as defined in relevant United States Treasury Regulations or is an Entity described in paragraph (j) of the definition of the words \u201cActive NFFE\u201d and also includes any Non-United States Entity that is established in the Islands or another partner jurisdiction and that is not a Financial Institution; \u201cNon-Reporting Financial Institution\u201d means any Financial Institution in the Islands, or other Entity organised under the Laws of the Islands, that is described in Annex II as a Non-Reporting Financial Institution or that otherwise qualifies as a deemed compliant foreign Financial Institution or an exempt beneficial owner under relevant United States Treasury Regulations in effect on the date of signature of the Agreement; \u201cPassive NFFE\u201d means any NFFE that is not \u2014 (i) an Active NFFE; or (ii) a withholding foreign partnership or withholding foreign trust, pursuant to relevant United States Treasury Regulations; \u201cRegistered Deemed-Compliant Financial Institution\u201d means a Nonreporting Financial Institution to which a Global Intermediary Identification Number has been properly allocated; \u201cReportable Account\u201d, in relation to a Reporting Financial Institution, means a United States reportable account maintained by that institution in the Islands for the purposes of its business as \u2014 (a) a custodial institution; (b) a depository institution; (c) an investment Entity; or (d) a specified insurance company; \u201cReporting Financial Institution\u201d means a person who carries on business in the Islands as a Financial Institution which is not a Non-Reporting Financial Institution; \u201cSpecified Person\u201d means a United States person, other than \u2014 (i) a corporation the stock of which is regularly traded on one or more established securities markets; (ii) any corporation that is a member of the same expanded affiliated group, as defined in section 1471(e)(2) of the United States Internal Revenue Code, as a corporation described in clause (i); (iii) the United States or any wholly owned agency or instrumentality thereof; Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 2 (iv) any State of the United States of America, any United States territory, any political subdivision of any of the foregoing, or any wholly owned agency or instrumentality of any one or more of the foregoing; (v) any organisation exempt from taxation under section 501(a) of the United States Internal Revenue Code or an individual retirement plan as defined in section 7701(a)(37) of the United States Internal Revenue Code; (vi) any bank as defined in section 581 of the United States Internal Revenue Code; (vii) any real estate investment trust as defined in section 856 of the United States Internal Revenue Code; (viii) any regulated investment company as defined in section 851 of the United States Internal Revenue Code or any Entity registered with the United States Securities and Exchange Commission under the Investment Company Act of 1940 (15 U.S.C. 80a-64); (ix) any common trust fund as defined in section 584(a) of the United States Internal Revenue Code; (x) any trust that is exempt from tax under section 664(c) of the United States Internal Revenue Code or that is described in section 4947(a)(1) of the United States Internal Revenue Code; (xi) a dealer in securities, commodities, or derivative financial instruments, including notional principal contracts, futures, forwards, and options, that is registered as such under the laws of the United States of America or any State; (xii) a broker as defined in section 6045(c) of the United States Internal Revenue Code; or (xiii) any tax-exempt trust under a plan that is described in section 403(b) or section 457(g) of the United States Internal Revenue Code; and \u201cUnited States Treasury Regulations\u201d means the regulations made under chapter 4 of Subtitle A, sections 1471 to 1474, of the Internal Revenue Code of 1986 of the United States of America regarding information reporting by foreign Financial Institutions with respect to United States accounts and withholding on certain payments by foreign Financial Institutions to other persons, which are commonly referred to as \u2014 (a) the Foreign Account Tax Compliance Act; or (b) FATCA. (2) In these regulations, a word or expression which is defined in the Agreement has the meaning in that Agreement except to the extent that a Financial Institution may use as an alternative a definition in \u2014 (a) the United States Treasury Regulations; or Regulation 3 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) (b) the Common Reporting Standard for the Automatic Exchange of Financial Account Information published by the Organisation for Economic Cooperation and Development, in so far as the use of the definition would not frustrate the purposes of the Agreement. (3) In determining whether or not use of a definition referred to in paragraph (2) would frustrate the purposes of the Agreement, a Financial Institution shall take account of any guidance issued or approved by the Competent Authority.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_3\", \"num\": \"3.\", \"text\": \"Scope of a Reporting Financial Institution 3. A Non-Reporting Financial Institution may qualify as a Reporting Financial Institution for the purposes of these regulations only if it is a Registered DeemedCompliant Financial Institution.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_4\", \"num\": \"4.\", \"text\": \"Obligation of a Reporting Financial Institution to register 4. (1) Every Reporting Financial Institution and every Registered Deemed-Compliant Financial Institution, shall comply \u2014 (a) with the applicable registration requirements of the Internal Revenue Service of the United States of America for the purposes of the Agreement; and (b) in the manner that the Internal Revenue Service of the United States of America may from time to time require which may include by electronic means. (2) An application for registration shall be made by a Reporting Financial Institution or Registered Deemed-Compliant Financial Institution as soon as possible but prior to 31st December, 2014 or if the institution has not commenced to carry on a business on that date, not later than 30 days following the date of commencement of that business.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_5\", \"num\": \"5.\", \"text\": \"Scope of a reportable account 5. (1) A United States reportable account is not a Reportable Account if \u2014 (a) the account holder is deceased or is a personal representative of a deceased; (b) the account is held to comply with an order or judgment made or given in legal proceedings; or (c) the funds held in the account are held solely as security for the performance of a party\u2019s obligation under a contract for the disposal of an estate or interest in land or of tangible moveable property. (2) The following accounts are not Reportable Accounts for a calendar year unless there is an election by the Reporting Financial Institution in force for that year to treat the accounts as being Reportable Accounts for that year \u2014 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 5 (a) pre-existing individual accounts meeting the description at paragraph II.A of Annex I of the Agreement; (b) new individual accounts meeting the description at paragraph III.A of Annex I of the Agreement, including an insurance contract that would be a cash value insurance contract for the purposes of these regulations but for the fact that its value is less than or equal to fifty thousand United States dollars; and (c) pre-existing Entity accounts meeting the description at paragraph IV.A of Annex I of the Agreement. (3) In determining whether or not a financial account maintained by an institution meets any of the descriptions in paragraph (2), the institution shall apply the account balance aggregation and currency translation rules at paragraph VI.C of Annex I of the Agreement. (4) An election under paragraph (2) \u2014 (a) is to be made by being given to the Competent Authority; (b) shall be in a form determined by the Competent Authority; and (c) shall be made on or before the reporting date under regulation 8 for the calendar year in question. (5) For the purposes of these regulations \u2014 (a) any reference to a pre-existing individual account is to a financial account maintained on 30th June, 2014; (b) any reference to a pre-existing Entity account is to a financial account maintained on 30th June, 2014; (c) any reference to an Entity account is to a financial account which is not an account the account holder of which, or, if more than one, each account holder of which, is an individual holding the account otherwise than as a partner of a partnership; (d) any reference to an individual account is to a financial account held in the name of an individual, whether solely or jointly with another, but not as a partner of a partnership; (e) any reference to a new individual account is to a financial account opened after 30th June, 2014; and (f) any reference to a new Entity account is to a financial account opened after 30th June, 2014 except insofar as a Reporting Financial Institution has elected to substitute a date no later than 31st December, 2014 for the 30th June, 2014 date. (6) In a case where a financial account is held jointly by two or more persons but not where the account is held solely by a partnership, these regulations are to be Regulation 6 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) applied separately in relation to each account holder and as if the holder were entitled to the whole of the balance or value of the account. (7) Notwithstanding paragraph 5(5)(b), a Reporting Financial Institution may substitute a date no later than 31st December, 2014 for the 30th June, 2014 date in the case of a pre-existing Entity account.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_6\", \"num\": \"6.\", \"text\": \"Identification obligation 6. (1) In relation to all financial accounts maintained by a Reporting Financial Institution, the institution shall establish and maintain \u2014 (a) arrangements that are designed to identify reportable accounts; and (b) arrangements that are designed to establish the jurisdictions of residence and where applicable, the United States citizenship of an account holder. (2) The institution is taken to comply with the obligation to establish and maintain arrangements within paragraph (1)(a) only if \u2014 (a) the arrangements meet the due diligence requirements as set out in this regulation; and (b) the arrangements secure that the evidence used in accordance with this regulation or regulation 7, or a record of the steps taken in accordance with this regulation or regulation 7, is kept for a period of six years beginning with the end of the year in which the arrangements applied to the financial accounts. (3) The due diligence requirements for a calendar year for which an election under regulation 5(2) is in force are \u2014 (a) in the case of pre-existing individual accounts that are lower value accounts within paragraph II.B of Annex I of the Agreement or are preexisting individual accounts that are Reportable Accounts meeting the description at paragraph II.A of that Annex, the procedures described at paragraph II.B and II.C of that Annex; (b) in the case of pre-existing individual accounts with a balance or value that exceeds one million United States dollars as of 30th June, 2014 or 31st December, 2015 or 31st December in any subsequent year, the procedures described at paragraphs II.D and II.E of that Annex; (c) in the case of new individual accounts, the procedures described at paragraph III.B of that Annex; (d) in the case of pre-existing Entity accounts, the procedures described at paragraphs IV.D and IV.E (1) of that Annex; and (e) in the case of new Entity accounts, the procedures described at paragraphs V.A to V.B of that Annex. Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 6 (4) The due diligence requirements for a calendar year for which an election under regulation 5(2) is not in force are \u2014 (a) in the case of pre-existing individual accounts that are lower value accounts within paragraph II.B of Annex I of the Agreement, the procedures described at paragraph II.B and II.C of that Annex; (b) in the case of pre-existing individual accounts that are lower value accounts within paragraph II.B of that Annex with a balance or value that exceeds one million United States dollars as of 31st December, 2015 or 31st December in any subsequent year, the procedures described at paragraphs II.D and II.E of that Annex; (c) in the case of pre-existing individual accounts within paragraph II.A of that Annex with a balance or value that exceeds one million United States dollars as of 31st December, 2015 or 31st December in any subsequent year, the procedures described at paragraphs II.D and II.E of that Annex; (d) in the case of pre-existing individual accounts within paragraph II.D of that Annex, the procedures described at paragraphs II.D and II.E of that Annex; (e) in the case of new individual accounts that are not within paragraph III.A of that Annex, the procedures described at paragraph III.B of that Annex; (f) in the case of pre-existing Entity accounts within paragraphs IV.B and IV.C of that Annex, the procedures described at paragraphs IV.D and IV.E (1) of that Annex; (g) in the case of pre-existing Entity accounts with a balance or value that does not exceed two hundred and fifty thousand United States dollars as of 30th June, 2014 but with a balance or value that exceeds one million United States dollars as of 31st December, 2015 or 31st December in any subsequent year, the procedures at paragraphs IV.D and IV.E (2) of that Annex; and (h) in the case of new Entity accounts, the procedures described at paragraphs V.A to V.B of that Annex. (5) If, in the case of an account within either paragraph (3)(a) or (4)(a) \u2014 (a) an institution has established the account holder\u2019s United States status from documentary evidence mentioned in paragraph VI.D of Annex I of the Agreement; and (b) it has done so in order to meet its obligations under a qualifying intermediary agreement as mentioned in that paragraph, the due diligence requirements in the case of that account do not include the requirement to carry out the electronic search described in paragraph II.B (1) of that Annex of the Agreement. (6) If, in the case of an account within any of paragraph (3)(b) or (4)(a) to (c) \u2014 Regulation 7 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) (a) an institution has established the account holder\u2019s United States status from documentary evidence mentioned in paragraph VI.D of Annex I of the Agreement, and (b) it has done so in order to meet its obligations under a qualifying intermediary agreement as mentioned in that paragraph, the due diligence requirements in the case of that account do not include the requirement to carry out the electronic searches described in paragraph II.B (1) or II.D (1) of Annex I of the Agreement or the requirement to carry out the paper record search described in paragraph II.D (2) of that Annex. (7) If, as a result of this regulation, a person is required to certify their United States status, a Reporting Financial Institution may require the person to supply to the institution the documentary evidence mentioned in paragraph VI.D of Annex I of the Agreement as the institution considers appropriate in support of the certification. (8) The due diligence requirements in this regulation shall be applied by reference to the special rules and definitions at paragraph I.B (1) to (3) and section VI of Annex I of the Agreement. (9) For the purposes of this regulation references to the documentary evidence set out in paragraph VI.D of Annex I of the Agreement are to be treated as if the words \u201cother than a Form W-8 or W-9\u201d were omitted. (10) Nothing in paragraph (1)(b) applies to accounts maintained before the day on which these regulations come into force.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_7\", \"num\": \"7.\", \"text\": \"Modification of due diligence requirements 7. (1) This regulation modifies the due diligence requirements set out in regulation 6 in the case of a Reporting Financial Institution, but only if it makes an election applying those modifications. (2) If the institution obtains, or is in the process of obtaining, evidence of a person\u2019s United States status in relation to any pre-existing account, it is entitled to rely on the evidence in relation to any new account unless it has reasonable cause to believe that the person\u2019s United States status has subsequently changed. (3) Paragraph (2) has effect in the case of pre-existing individual accounts maintained by the institution for an account holder only if, for the purpose of establishing which of the procedures referred to in regulation 6(3)(a) and (b) or regulation 6(4)(a) to (c) are applicable to those accounts, the institution treats all those accounts as a single pre-existing individual account. (4) If the institution or a related Entity obtains, or is in the process of obtaining, evidence of a person\u2019s United States status in relation to a financial account, the institution is entitled to rely on the evidence in relation to all financial accounts maintained by the institution for the account holder unless the institution has Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 8 reasonable cause to believe that the person\u2019s United States status has subsequently changed. (5) The due diligence requirements set out in regulation 6 do not need to be met in relation to a financial account if \u2014 (a) the institution maintains the account as a result of a merger with, or acquisition of, a qualifying financial institution which had established the United States status of the account holder and any controlling person; and (b) the institution has no reasonable cause to believe that the United States status of the account holder or any controlling person has changed. (6) For the purpose of paragraph (5) a \u201cqualifying financial institution\u201d, in relation to a Financial Institution, means another Financial Institution \u2014 (a) which has not previously been a related Entity of the institution; and (b) which immediately before the merger or acquisition was a Reporting Financial Institution or a partner jurisdiction Financial Institution but was neither a Registered Deemed-Compliant Financial Institution nor a nonparticipating Financial Institution. (7) An election under this regulation \u2014 (a) is to be made by being given to the Competent Authority; (b) shall be in a form determined by the Competent Authority; and (c) has effect in relation to all times on or after the day on which the election is made, unless subsequently withdrawn.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_8\", \"num\": \"8.\", \"text\": \"Reporting Obligation 8. (1) A Reporting Financial Institution shall, in respect of 2014 and every following calendar year, prepare a return setting out \u2014 (a) the required information in relation to every Reportable Account that is maintained by the institution at any time during the calendar year in question; (b) the institution\u2019s Global Intermediary Identification Number; and (c) a statement of whether paragraph 5 of Article 4 of the Agreement applies to the institution and, if it does, whether the requirements in subparagraphs (a) to (c) of that paragraph have been met. (2) Notwithstanding paragraph (1), if during the calendar year in question the Reporting Financial Institution maintains no Reportable Accounts, then the Reporting Financial Institution is not required to file a return but may, at its own option, do so in accordance with paragraphs (3) to (6). (3) The Reporting Financial Institution shall send a return under this regulation to the Competent Authority on or before 31st July of the year following the calendar year to which the return relates referred to as \u201cthe reporting date\u201d, in Regulation 8 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) the form required by the Competent Authority, whether electronically or otherwise. (4) The information required to be in the return is \u2014 (a) the name and address of the account holder; (b) subject to regulation 9(2), the account holder\u2019s United States federal taxpayer identifying number; (c) if an account is identifiable by an account number, that number or, if not, its functional equivalent; (d) the balance or value of the account, including, in the case of a cash value insurance contract or annuity contract, the cash value or surrender value, as of the end of the calendar year or, if the account was closed during the year, the balance or value on the date that the Reporting Financial Institution closes the account; (e) the relevant total gross credits, or if there are none, a statement of that fact; and (f) if the account holder is a passive NFFE that has a Controlling Person who is a Specified Person, the name and address of that Specified Person, and, if that person is an individual, that person\u2019s United States federal taxpayer identifying number and date of birth. (5) For the purpose of paragraph 4 the \u201crelevant total gross credits\u201d means \u2014 (a) in the case of a custodial account \u2014 (i) the total gross amount of interest, the total gross amount of dividends and the total gross amount of other income generated with respect to assets held in the account which is paid into, or with respect to, the account during the calendar year; and (ii) the total gross proceeds from the sale or redemption of property paid into the account during the calendar year if the institution acted as a custodian, broker, nominee or otherwise as an agent for the account holder; (b) in the case of a depository account, the total gross amount of interest paid to the account during the calendar year; and (c) in the case of any other account, the total gross amount of sums paid by the institution to the account holder with respect to the account during the calendar year. (6) For the purposes of this regulation \u2014 (a) references to the balance or value of an account include a nil balance or value; and (b) references to paying an amount include crediting an amount. Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 9 (7) If a Reporting Financial Institution has an established practice for the periodic valuation of accounts of a particular description otherwise than at the end of a calendar year, the institution may report under paragraph (5)(a) or (c) by reference to a period of 12 months ending with the date or, if more than one, the latest date, in the calendar year on which the institution values accounts of that description, instead of by reference to the calendar year. (8) Subject to regulation 9(2), if a Reporting Financial Institution does not hold a United States federal taxpayer identifying number that it is required to report under paragraph (4)(b) the institution shall obtain that number from the account holder.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_9\", \"num\": \"9.\", \"text\": \"Modifications for calendar years 2014 to 2016 9. (1) In the case of an account referred to in regulation 8(5) there is no requirement to include in the return for the calendar year 2014 information about relevant total gross credits. (1A) In the case of custodial accounts there is no requirement to include in the return for the calendar year 2015 any information set out in regulation 8(5)(a)(ii). (2) In the case of pre-existing accounts \u2014 (a) there is no requirement to include in the return for calendar years before 2017 a United States federal taxpayer identifying number if the Reporting Financial Institution does not hold that number; but (b) if the account holder is an individual whose date of birth the institution does hold, the institution shall include the account holder\u2019s date of birth instead.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_10\", \"num\": \"10.\", \"text\": \"Identification and disclosure obligations: Non-participating Financial Institutions 10. (1) A Reporting Financial Institution shall establish and maintain arrangements that are designed to identify payments made by the Reporting Financial Institution to a non-participating Financial Institution in the calendar year 2015 or 2016. (2) \u201cPayment\u201d in this regulation includes amounts credited to a non-participating Financial Institution but does not include consideration given by the Reporting Financial Institution for the provision of goods or services to it. (3) A Reporting Financial Institution is entitled to regard a payment made by it to a Financial Institution as made to someone who is not a non-participating Financial Institution only if it has, in respect of the payment, taken the steps referred to in paragraph IV.D (3) of Annex I of the Agreement. (4) For the purposes of paragraphs (1) to (3) of this regulation a non-participating Financial Institution includes anyone who is required to be treated as a nonparticipating Financial Institution as a result of subparagraph 5(a) of Article 4 of the Agreement. Regulation 11 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) (5) In respect of any case in the calendar years 2015 and 2016 when a Reporting Financial Institution is within the terms of sub-paragraph 1(e) of Article 4 of the Agreement, the institution shall make a disclosure of information in accordance with the requirements of that sub-paragraph.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_11\", \"num\": \"11.\", \"text\": \"Reporting obligation: Non-participating Financial Institutions 11. (1) A Reporting Financial Institution shall in respect of each of the calendar years 2015 and 2016 prepare a return setting out \u2014 (a) the names of the non-participating Financial Institutions to whom payments identified in accordance with regulation 10(1) have been made in the year in question; and (b) the total amount of those payments made to each of the non-participating Financial Institutions in question. (2) In determining the total amount of those payments the special rules and definitions at paragraph I.B (1) and paragraph VI.C of Annex I of the Agreement shall be applied. (3) If for a calendar year no payments are identified as referred to in paragraph (1), the Reporting Financial Institution shall prepare a return for the calendar year stating that fact. (4) The Financial Institution shall send a return under this regulation to the Competent Authority on or before 31st May of the year following the calendar year to which the return relates referred to as \u201cthe reporting date\u201d, in the form the Competent Authority requires, whether electronically or otherwise.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_12\", \"num\": \"12.\", \"text\": \"Accounts with a negative value 12. For the purpose of applying paragraph VI. C of Annex I to the Agreement as required by these regulations, an account balance that has a negative value is treated as having a nil value.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_13\", \"num\": \"13.\", \"text\": \"Anti-avoidance 13. If \u2014 (a) a person enters into any arrangements; and (b) the main purpose, or one of the main purposes, of the person in entering into the arrangements is to avoid or circumvent any obligation under these regulations, these regulations are to have effect as if the arrangements had not been entered into. Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 14\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_14\", \"num\": \"14.\", \"text\": \"Notification to the Competent Authority 14. (1) A Financial Institution which has reporting obligations under these regulations shall notify the Competent Authority of that fact and shall provide to the Competent Authority \u2014 (a) the name of the Financial Institution; (b) the categorisation of the Financial Institution as determined in accordance with the Agreement; and (c) where the Financial Institution has registered with the Internal Revenue Service of the United States of America for the purposes of the Agreement in accordance with regulation 4, the Global Intermediary Identification Number allocated to that Financial Institution by the Internal Revenue Service of the United States of America. (2) The notification, and the information specified in paragraph (1)(a) to (c) shall be submitted to the Competent Authority electronically in the form that the Competent Authority may require. (3) A Financial Institution shall provide the notification and the information specified in paragraphs (1)(a) to (c) to the Competent Authority no later than 30th April in the first calendar year in which it is required to comply with reporting obligations to the Competent Authority under these regulations. (4) A Financial Institution which is required to notify the Competent Authority pursuant to this regulation shall, at the time of notification, provide to the Competent Authority the full name, address, designation and contact details of \u2014 (a) ` a person identified and authorised by the Financial Institution to be the principal point of contact for the Financial Institution for all purposes of compliance with these regulations; and (b)  except in circumstances specified by the Authority, another person the Financial Institution has authorised to give change notices for its principal point of contact. (5) A Financial Institution shall notify the Competent Authority immediately of any changes to the information provided to the Competent Authority under paragraph (1)(a) to (c) and of any changes to the details of the principal point of contact specified in paragraph (4). (6) Where a Financial Institution ceases to be registered with the Internal Revenue Service of the United States of America for whatever reason, it shall notify the Competent Authority. Regulation 15 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision)\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_15\", \"num\": \"15.\", \"text\": \"Inspection and Compliance 15. (1) For the purposes of determining whether any information submitted by a Reporting Financial Institution in furtherance of the requirements of these regulations, was correct and complete, the Competent Authority may require a Reporting Financial Institution \u2014 (a) to provide to the Competent Authority, within a time specified by the Competent Authority , the information, including copies of any relevant books, documents or other records, or any electronically stored information, that the Competent Authority may reasonably require; or (b) to make available to the Competent Authority for inspection, at the time specified by the Competent Authority , all copies of books, documents or other records, or any electronically stored information, in the Reporting Financial Institution\u2019s possession or under its control. (2) Where any information which is required to be provided to, or inspected by, the Competent Authority is located outside of the Islands in any manner whatsoever, the Reporting Financial Institution shall take all necessary steps to bring the information to the Islands within the time specified by the Competent Authority in writing to enable the Reporting Financial Institution to comply with the requirements of the Competent Authority under this regulation. (3) A Reporting Financial Institution shall retain for a period of six years all books, documents and other records, including those stored by electronic means, which relate to the information required to be reported to the Competent Authority for the purposes of these regulations.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_16\", \"num\": \"16.\", \"text\": \"Offences 16. (1) A Reporting Financial Institution which \u2014 (a) without reasonable excuse, fails to comply with a requirement of the Competent Authority under regulation 15; (b) without reasonable cause, fails to make a report required under these regulations; (c) fraudulently or negligently makes a false report, whether in its entirety or in any particular part; (d) fails to implement arrangements or procedures in order to comply with these regulations; (e) with intent to avoid the provisions of these regulations, alters, destroys, mutilates, defaces, hides or removes any document or information, including documents or information electronically held ; or (f) wilfully obstructs an inquiry by the Competent Authority under regulation 15, Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Regulation 17 commits an offence and is liable on summary conviction to a fine of five thousand dollars, or in the case of subparagraphs (a), (c), (d), (e) and (f) to imprisonment for a term of 2 years, or to both. (2) Where an offence under this regulation is committed by a body corporate and is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate, or any person who was purporting to act in the capacity of director, manager, secretary or other similar officer of the body corporate, that individual, as well as the body corporate, is considered to have committed that offence and is liable to be proceeded against and punished accordingly. (3) Where the affairs of the Financial Institution, in cases where it is not a body corporate, are managed or controlled by its partners, members, trustees or other persons purporting to act in the capacity of a partner, member or trustee, paragraph (2) shall apply in relation to the acts and defaults of that person in connection with the person\u2019s functions of management or control as if that individual were a director of a body corporate.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_17\", \"num\": \"17.\", \"text\": \"Appointment of Third Parties 17. (1) A Reporting Financial Institution may appoint a person as its agent to carry out the duties and obligations imposed on it by these regulations, or the Agreement. (2) Where a person is appointed under paragraph (1) \u2014 (a) the Financial Institution shall, at all times, have access to and be able to produce, where so requested by the Competent Authority, the records and documentary evidence used to identify and report on reportable accounts; and (b) the Financial Institution is responsible for any failure of that person to carry out its obligations notwithstanding that the actions were the actions of that person or that the failure to act was the failure by that person to act.\", \"element\": \"section\", \"heading\": null}, {\"eId\": \"sec_18\", \"num\": \"18.\", \"text\": \"Issue of Guidance 18. The Competent Authority shall issue guidance from time to time and in a form considered appropriate by the Competent Authority for the purposes of aiding compliance with these regulations. 19. Obligations of Reporting Financial Institutions to obtain taxpayer identifying number 19. (1) A Reporting Financial Institution shall implement arrangements to obtain the taxpayer identifying number of every United States specified person who is the account holder of a Reportable Account. (2) Paragraph (1) has effect \u2014 Regulation 19 Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) (a) from 1st January, 2017 in the case of pre-existing accounts and (b) from 1st July, 2014 in the case of new accounts opened on or after that date. Publication in consolidated and revised form authorised by the Cabinet this 5th of January, 2021. Kim Bullings Clerk of the Cabinet Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) ENDNOTES ENDNOTES Table of Legislation history: SL # Law # Legislation Commencement Gazette 56\/2020 Citation of Acts of Parliament Act, 2020 3-Dec-2020 LG89\/2020\/s1 10\/2020 Tax Information Authority (International Tax Compliance) (United States of America) (Amendment) Regulations, 2020 20-Feb-2020 LG12\/2020\/s2 Tax Information Authority (International Tax Compliance) (United States of America) (Amendment) Regulations (2018 Revision) 28-Mar-2018 GE26\/2018\/s1 23\/2015 Tax Information Authority (International Tax Compliance) (United States of America) (Amendment) (No. 2) Regulations, 2015 29-May-2015 GE40\/2015\/s2 8\/2015 Tax Information Authority (International Tax Compliance) (United States of America) (Amendment) Regulations, 2015 18-Mar-2015 GE20\/2015\/s2 33\/2014 Tax Information Authority (International Tax Compliance) (United States of America) Regulations, 2014 4-Jul-2014 GE49\/2014\/s2 ENDNOTES Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) ENDNOTES ENDNOTES Tax Information Authority (International Tax Compliance) (United States of America) Regulations (2021 Revision) (Price: $3.60)\", \"element\": \"section\", \"heading\": null}], \"meta\": {\"notes\": null, \"workflow\": null, \"lifecycle\": {\"source\": \"#cilegis\", \"eventRef\": [{\"eId\": \"e_commence_2021_01_01\", \"date\": \"2021-01-01\", \"type\": \"generation\", \"source\": \"#cilegis\"}]}, \"references\": {\"source\": \"#canary\", \"TLCRole\": [], \"TLCEvent\": [{\"eId\": \"ev_commencement\", \"href\": \"\/akn\/ontology\/canary\/event\/commencement\", \"showAs\": \"commencement\"}], \"TLCPerson\": [], \"TLCConcept\": [{\"eId\": \"inForce\", \"href\": \"\/akn\/ontology\/canary\/concept\/temporal\/in-force\", \"showAs\": \"in force\"}], \"TLCProcess\": [], \"TLCLocation\": [], \"TLCOrganization\": [{\"eId\": \"cilegis\", \"href\": \"\/akn\/ontology\/canary\/organization\/editor\/cilegis\", \"showAs\": \"Cayman Islands legislation mirror (kyleg)\"}]}, \"temporalData\": {\"source\": \"#cilegis\", \"temporalGroup\": [{\"eId\": \"tg_inforce_2021_01_01\", \"timeInterval\": [{\"end\": null, \"start\": \"#e_commence_2021_01_01\", \"duration\": null, \"refersTo\": \"#inForce\"}]}]}, \"classification\": null, \"identification\": {\"source\": \"#cilegis\", \"FRBRWork\": {\"FRBRuri\": \"\/akn\/ky\/act\/sl\/2014\/33\", \"FRBRdate\": [{\"date\": \"2021-01-01\", \"name\": \"generation\"}], \"FRBRthis\": \"\/akn\/ky\/act\/sl\/2014\/33\/!main\", \"FRBRalias\": [{\"name\": \"cmsId\", \"value\": \"2014-0033\"}], \"FRBRauthor\": [{\"as\": \"#editor\", \"href\": \"\/akn\/ontology\/canary\/organization\/editor\/cilegis\"}], \"FRBRnumber\": \"33 of 2014\", \"FRBRcountry\": \"ky\", \"FRBRsubtype\": \"subordinate\"}, \"FRBRExpression\": {\"FRBRuri\": \"\/akn\/ky\/act\/sl\/2014\/33\/eng@2021-01-01\", \"FRBRdate\": [{\"date\": \"2021-01-01\", \"name\": \"generation\"}], \"FRBRthis\": \"\/akn\/ky\/act\/sl\/2014\/33\/eng@2021-01-01\/!main\", \"FRBRauthor\": [{\"as\": \"#editor\", \"href\": \"\/akn\/ontology\/canary\/organization\/editor\/cilegis\"}], \"FRBRlanguage\": \"eng\"}, \"FRBRManifestation\": {\"FRBRuri\": \"\/akn\/ky\/act\/sl\/2014\/33\/eng@2021-01-01.xml\", \"FRBRdate\": [{\"date\": \"2026-06-22\", \"name\": \"generation\"}], \"FRBRthis\": \"\/akn\/ky\/act\/sl\/2014\/33\/eng@2021-01-01.xml\", \"FRBRauthor\": [{\"as\": \"#editor\", \"href\": \"\/akn\/ontology\/canary\/organization\/editor\/cilegis\"}], \"FRBRformat\": \"application\/xml\"}}}, \"name\": \"act\", \"header\": {\"title\": \"Tax Information Authority (International Tax Compliance) (United States of America) Regulations\", \"actNumber\": \"33 of 2014\", \"longTitle\": null}}, \"doc\": null, \"bill\": null, \"judgment\": null}}","akn_full_text":"CAYMAN ISLANDS\n\nTax Information Authority Act\n(2021 Revision)\nTAX INFORMATION AUTHORITY\n(INTERNATIONAL TAX COMPLIANCE)\n(UNITED STATES OF AMERICA)\nREGULATIONS\n(2021 Revision)\n\nSupplement No. 2 published with Legislation Gazette No. 18 of 25th February, 2021.\n\nPage 2\nRevised as at 31st December, 2020\nc\n\nPUBLISHING DETAILS\nRevised under the authority of the Law Revision Act (2020 Revision).\n\nThe Tax Information Authority (International Tax Compliance) (United States of America)\nRegulations, 2014 made the 3rd July, 2014 as amended by Law 56 of 2020.\n\nConsolidated with \u2014\nThe Tax Information Authority (International Tax Compliance) (United States of\nAmerica) (Amendment) Regulations, 2015 made the 10th March, 2015.\nThe Tax Information Authority (International Tax Compliance) (United States of\nAmerica) (Amendment) (No. 2) Regulations, 2015 made the 26th May, 2015\nThe Tax Information Authority (International Tax Compliance) (United States of\nAmerica) (Amendment) Regulations, 2020 made the 18th February, 2020.\n\nOriginally enacted \u2014\n\nLaw 56 of 2020-7th December, 2020.\n\nConsolidated and revised this 31st day of December, 2020.\n\nNote (not forming part of these Regulations): This revision replaces the 2018 Revision\nwhich should now be discarded.\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nArrangement of Regulations\n\nc\nRevised as at 31st December, 2020\nPage 5\n\nCAYMAN ISLANDS\n\nTax Information Authority Act\n(2021 Revision)\nTAX INFORMATION AUTHORITY\n(INTERNATIONAL TAX COMPLIANCE) (UNITED\nSTATES OF AMERICA) REGULATIONS\n(2021 Revision)\nArrangement of Regulations\nRegulation\nPage\n1.\nCitation ......................................................................................................................................... 7\n2.\nDefinitions ..................................................................................................................................... 7\n3.\nScope of a Reporting Financial Institution .................................................................................. 12\n4.\nObligation of a Reporting Financial Institution to register ........................................................... 12\n5.\nScope of a reportable account .................................................................................................... 12\n6.\nIdentification obligation ............................................................................................................... 14\n7.\nModification of due diligence requirements ................................................................................ 16\n8.\nReporting Obligation ................................................................................................................... 17\n9.\nModifications for calendar years 2014 to 2016 ........................................................................... 19\n10.\nIdentification and disclosure obligations: Non-participating Financial Institutions ...................... 19\n11.\nReporting obligation: Non-participating Financial Institutions ..................................................... 20\n12.\nAccounts with a negative value .................................................................................................. 20\n13.\nAnti-avoidance ............................................................................................................................ 20\n14.\nNotification to the Competent Authority ...................................................................................... 21\n15.\nInspection and Compliance ........................................................................................................ 22\n16.\nOffences ..................................................................................................................................... 22\n17.\nAppointment of Third Parties ...................................................................................................... 23\n18.\nIssue of Guidance ....................................................................................................................... 23\n19.\nObligations of Reporting Financial Institutions to obtain taxpayer identifying number ............... 23\n\nArrangement of Regulations\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 6\nRevised as at 31st December, 2020\nc\n\nENDNOTES\n25\nTable of Legislation history: ................................................................................................................. 25\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 1\n\nc\nRevised as at 31st December, 2020\nPage 7\n\nCAYMAN ISLANDS\n\nTax Information Authority Act\n(2021 Revision)\nTAX INFORMATION AUTHORITY\n(INTERNATIONAL TAX COMPLIANCE) (UNITED\nSTATES OF AMERICA) REGULATIONS\n(2021 Revision)\n\n1.\nCitation\n1.\nThese Regulations may be cited as the Tax Information Authority (International Tax\nCompliance) (United States of America) Regulations (2021 Revision).\n2.\nDefinitions\n2.\n(1) In these regulations \u2014\n\u201cActive NFFE\u201d means any NFFE that meets any of the following criteria \u2014\n(a) less than fifty percent of the NFFE\u2019s gross income for the preceding\ncalendar year or other appropriate reporting period is passive income and\nless than fifty percent of the assets held by the NFFE during the preceding\ncalendar year or other appropriate reporting period are assets that produce\nor are held for the production of passive income;\n(b) the stock of the NFFE is regularly traded on an established securities\nmarket or the NFFE is a related Entity of an Entity the stock of which is\ntraded on an established securities market;\n(c) the NFFE is organised in a United States territory and all of the owners of\nthe payee are bona fide residents of that United States territory;\n\nRegulation 2\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 8\nRevised as at 31st December, 2020\nc\n\n(d) the NFFE is a government, other than the United States government, a\npolitical subdivision of the government, which for the avoidance of doubt,\nincludes a state, province, county, or municipality, or a public body\nperforming a function of that government or a political subdivision thereof,\na government of a United States territory, an international organisation, a\nnon-United States central bank of issue, or an Entity wholly owned by one\nor more of the foregoing;\n(e) substantially all of the activities of the NFFE consist of holding, in whole\nor in part, the outstanding stock of, or providing financing and services to,\none or more subsidiaries that engage in trades or businesses other than the\nbusiness of a Financial Institution, except that an NFFE shall not qualify\nfor this status if the NFFE functions, or holds itself out, as an investment\nfund, such as a private equity fund, venture capital fund, leveraged buyout\nfund, or any investment vehicle whose purpose is to acquire or fund\ncompanies and then hold interests in those companies as capital assets for\ninvestment purposes;\n(f)\nthe NFFE is not yet operating a business and has no prior operating history,\nbut is investing capital into assets with the intent to operate a business other\nthan that of a Financial Institution, provided that the NFFE shall not\nqualify for this exception after the date that is twenty-four months after the\ndate of the initial organisation of the NFFE;\n(g) the NFFE was not a Financial Institution in the past five years, and is in\nthe process of liquidating its assets or is reorganising with the intent to\ncontinue or recommence operations in a business other than that of a\nFinancial Institution;\n(h) the NFFE primarily engages in financing and hedging transactions with,\nor for, Related Entities that are not Financial Institutions, and does not\nprovide financing or hedging services to any Entity that is not a Related\nEntity, provided that the group of any Related Entities is primarily engaged\nin a business other than that of a Financial Institution;\n(i)\nthe NFFE is an \u201cexcepted NFFE\u201d as described in relevant United States\nTreasury Regulations; or\n(j)\nthe NFFE meets all of the following requirements \u2014\n(i)\nit is established and operated in its jurisdiction of residence\nexclusively for religious, charitable, scientific, artistic, cultural,\nathletic, or educational purposes; or it is established and operated in\nits jurisdiction of residence and it is a professional organisation,\nbusiness league, chamber of commerce, labour organisation,\nagricultural or horticultural organisation, civic league or an\norganisation operated exclusively for the promotion of social\nwelfare;\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 2\n\nc\nRevised as at 31st December, 2020\nPage 9\n\n(ii) it is exempt from income tax in its jurisdiction of residence;\n(iii) it has no shareholders or members who have a proprietary or\nbeneficial interest in its income or assets;\n(iv) the applicable laws of the NFFE\u2019s jurisdiction of residence or the\nNFFE\u2019s formation documents do not permit any income or assets of\nthe NFFE to be distributed to, or applied for the benefit of, a private\nperson or non-charitable Entity other than pursuant to the conduct of\nthe NFFE\u2019s charitable activities, or as payment of reasonable\ncompensation for services rendered, or as payment representing the\nfair market value of property which the NFFE has purchased; and\n(v) the applicable laws of the NFFE\u2019s jurisdiction of residence or the\nNFFE\u2019s formation documents require that, upon the NFFE\u2019s\nliquidation or dissolution, all of its assets be distributed to a\ngovernmental Entity or other non-profit organisation, or escheat to\nthe government of the NFFE\u2019s jurisdiction of residence or any\npolitical subdivision thereof;\n\u201cAgreement\u201d means the Agreement between the Government of the Islands and\nthe Government of the United States of America to Improve International Tax\nCompliance and to Implement FATCA, signed on 29th November, 2013;\n\u201cAnnex\u201d means an Annex to the Agreement;\n\u201cCompetent Authority\u201d means the Tax Information Authority designated\nunder section 4 of the Tax Information Authority Act (2021 Revision), or a\nperson designated by the Authority to act on behalf of the Authority;\n\u201cControlling Persons\u201d means the natural persons who exercise control over an\nEntity and in the case of a trust, the words mean the settlor, the trustees, the\nprotector, if any, the beneficiaries or class of beneficiaries and any other natural\nperson exercising ultimate effective control over the trust and in the case of a\nlegal arrangement other than a trust, the words mean persons in equivalent or\nsimilar positions and the words \u201cControlling Persons\u201d shall be interpreted in a\nmanner consistent with the Financial Action Task Force Recommendations;\n\u201cEntity\u201d means a legal person or a legal arrangement such as a trust, partnership\nor limited liability partnership;\n\u201cFinancial Institution\u201d means a person who carries on business in the\nIslands as \u2014\n(a) a custodial institution;\n(b) a depository institution;\n(c) an investment Entity; or\n(d) a specified insurance company;\n\nRegulation 2\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 10\nRevised as at 31st December, 2020\nc\n\n\u201cGlobal Intermediary Identification Number\u201d means a number allocated to\na Financial Institution by the Internal Revenue Service of the United States of\nAmerica for FATCA purposes;\n\u201cNFFE\u201d means any Non-United States Entity that is not a Financial Institution\nas defined in relevant United States Treasury Regulations or is an Entity\ndescribed in paragraph (j) of the definition of the words \u201cActive NFFE\u201d and also\nincludes any Non-United States Entity that is established in the Islands or\nanother partner jurisdiction and that is not a Financial Institution;\n\u201cNon-Reporting Financial Institution\u201d means any Financial Institution in the\nIslands, or other Entity organised under the Laws of the Islands, that is described\nin Annex II as a Non-Reporting Financial Institution or that otherwise qualifies\nas a deemed compliant foreign Financial Institution or an exempt beneficial\nowner under relevant United States Treasury Regulations in effect on the date\nof signature of the Agreement;\n\u201cPassive NFFE\u201d means any NFFE that is not \u2014\n(i)\nan Active NFFE; or\n(ii) a withholding foreign partnership or withholding foreign trust,\npursuant to relevant United States Treasury Regulations;\n\u201cRegistered Deemed-Compliant Financial Institution\u201d means a Nonreporting Financial Institution to which a Global Intermediary Identification\nNumber has been properly allocated;\n\u201cReportable Account\u201d, in relation to a Reporting Financial Institution, means\na United States reportable account maintained by that institution in the Islands\nfor the purposes of its business as \u2014\n(a) a custodial institution;\n(b) a depository institution;\n(c) an investment Entity; or\n(d) a specified insurance company;\n\u201cReporting Financial Institution\u201d means a person who carries on business in\nthe Islands as a Financial Institution which is not a Non-Reporting Financial\nInstitution;\n\u201cSpecified Person\u201d means a United States person, other than \u2014\n(i)\na corporation the stock of which is regularly traded on one or more\nestablished securities markets;\n(ii) any corporation that is a member of the same expanded affiliated\ngroup, as defined in section 1471(e)(2) of the United States Internal\nRevenue Code, as a corporation described in clause (i);\n(iii) the United States or any wholly owned agency or instrumentality\nthereof;\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 2\n\nc\nRevised as at 31st December, 2020\nPage 11\n\n(iv) any State of the United States of America, any United States territory,\nany political subdivision of any of the foregoing, or any wholly\nowned agency or instrumentality of any one or more of the foregoing;\n(v) any organisation exempt from taxation under section 501(a) of the\nUnited States Internal Revenue Code or an individual retirement plan\nas defined in section 7701(a)(37) of the United States Internal\nRevenue Code;\n(vi) any bank as defined in section 581 of the United States Internal\nRevenue Code;\n(vii) any real estate investment trust as defined in section 856 of the\nUnited States Internal Revenue Code;\n(viii) any regulated investment company as defined in section 851 of the\nUnited States Internal Revenue Code or any Entity registered with\nthe United States Securities and Exchange Commission under the\nInvestment Company Act of 1940 (15 U.S.C. 80a-64);\n(ix) any common trust fund as defined in section 584(a) of the United\nStates Internal Revenue Code;\n(x) any trust that is exempt from tax under section 664(c) of the United\nStates\nInternal\nRevenue\nCode\nor\nthat\nis\ndescribed\nin\nsection 4947(a)(1) of the United States Internal Revenue Code;\n(xi) a dealer in securities, commodities, or derivative financial\ninstruments, including notional principal contracts, futures, forwards,\nand options, that is registered as such under the laws of the United\nStates of America or any State;\n(xii) a broker as defined in section 6045(c) of the United States Internal\nRevenue Code; or\n(xiii) any tax-exempt trust under a plan that is described in section 403(b)\nor section 457(g) of the United States Internal Revenue Code; and\n\u201cUnited States Treasury Regulations\u201d means the regulations made under\nchapter 4 of Subtitle A, sections 1471 to 1474, of the Internal Revenue Code\nof 1986 of the United States of America regarding information reporting by\nforeign Financial Institutions with respect to United States accounts and\nwithholding on certain payments by foreign Financial Institutions to other\npersons, which are commonly referred to as \u2014\n(a) the Foreign Account Tax Compliance Act; or\n(b) FATCA.\n(2) In these regulations, a word or expression which is defined in the Agreement\nhas the meaning in that Agreement except to the extent that a Financial\nInstitution may use as an alternative a definition in \u2014\n(a) the United States Treasury Regulations; or\n\nRegulation 3\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 12\nRevised as at 31st December, 2020\nc\n\n(b) the Common Reporting Standard for the Automatic Exchange of Financial\nAccount Information published by the Organisation for Economic Cooperation and Development,\nin so far as the use of the definition would not frustrate the purposes of the\nAgreement.\n(3) In determining whether or not use of a definition referred to in paragraph (2)\nwould frustrate the purposes of the Agreement, a Financial Institution shall take\naccount of any guidance issued or approved by the Competent Authority.\n3.\nScope of a Reporting Financial Institution\n3.\nA Non-Reporting Financial Institution may qualify as a Reporting Financial\nInstitution for the purposes of these regulations only if it is a Registered DeemedCompliant Financial Institution.\n4.\nObligation of a Reporting Financial Institution to register\n4.\n(1) Every Reporting Financial Institution and every Registered Deemed-Compliant\nFinancial Institution, shall comply \u2014\n(a) with the applicable registration requirements of the Internal Revenue\nService of the United States of America for the purposes of the Agreement;\nand\n(b) in the manner that the Internal Revenue Service of the United States of\nAmerica may from time to time require which may include by electronic\nmeans.\n(2) An application for registration shall be made by a Reporting Financial\nInstitution or Registered Deemed-Compliant Financial Institution as soon as\npossible but prior to 31st December, 2014 or if the institution has not\ncommenced to carry on a business on that date, not later than 30 days following\nthe date of commencement of that business.\n5.\nScope of a reportable account\n5.\n(1) A United States reportable account is not a Reportable Account if \u2014\n(a) the account holder is deceased or is a personal representative of a deceased;\n(b) the account is held to comply with an order or judgment made or given in\nlegal proceedings; or\n(c) the funds held in the account are held solely as security for the performance\nof a party\u2019s obligation under a contract for the disposal of an estate or\ninterest in land or of tangible moveable property.\n(2) The following accounts are not Reportable Accounts for a calendar year unless\nthere is an election by the Reporting Financial Institution in force for that year\nto treat the accounts as being Reportable Accounts for that year \u2014\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 5\n\nc\nRevised as at 31st December, 2020\nPage 13\n\n(a) pre-existing individual accounts meeting the description at paragraph II.A\nof Annex I of the Agreement;\n(b) new individual accounts meeting the description at paragraph III.A of\nAnnex I of the Agreement, including an insurance contract that would be\na cash value insurance contract for the purposes of these regulations but\nfor the fact that its value is less than or equal to fifty thousand United States\ndollars; and\n(c) pre-existing Entity accounts meeting the description at paragraph IV.A of\nAnnex I of the Agreement.\n(3) In determining whether or not a financial account maintained by an institution\nmeets any of the descriptions in paragraph (2), the institution shall apply the\naccount balance aggregation and currency translation rules at paragraph VI.C of\nAnnex I of the Agreement.\n(4) An election under paragraph (2) \u2014\n(a) is to be made by being given to the Competent Authority;\n(b) shall be in a form determined by the Competent Authority; and\n(c) shall be made on or before the reporting date under regulation 8 for the\ncalendar year in question.\n(5) For the purposes of these regulations \u2014\n(a) any reference to a pre-existing individual account is to a financial account\nmaintained on 30th June, 2014;\n(b) any reference to a pre-existing Entity account is to a financial account\nmaintained on 30th June, 2014;\n(c) any reference to an Entity account is to a financial account which is not an\naccount the account holder of which, or, if more than one, each account\nholder of which, is an individual holding the account otherwise than as a\npartner of a partnership;\n(d) any reference to an individual account is to a financial account held in the\nname of an individual, whether solely or jointly with another, but not as a\npartner of a partnership;\n(e) any reference to a new individual account is to a financial account opened\nafter 30th June, 2014; and\n(f)\nany reference to a new Entity account is to a financial account opened after\n30th June, 2014 except insofar as a Reporting Financial Institution has\nelected to substitute a date no later than 31st December, 2014 for the 30th\nJune, 2014 date.\n(6) In a case where a financial account is held jointly by two or more persons but\nnot where the account is held solely by a partnership, these regulations are to be\n\nRegulation 6\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 14\nRevised as at 31st December, 2020\nc\n\napplied separately in relation to each account holder and as if the holder were\nentitled to the whole of the balance or value of the account.\n(7) Notwithstanding paragraph 5(5)(b), a Reporting Financial Institution may\nsubstitute a date no later than 31st December, 2014 for the 30th June, 2014 date\nin the case of a pre-existing Entity account.\n6.\nIdentification obligation\n6.\n(1) In relation to all financial accounts maintained by a Reporting Financial\nInstitution, the institution shall establish and maintain \u2014\n(a) arrangements that are designed to identify reportable accounts; and\n(b) arrangements that are designed to establish the jurisdictions of residence\nand where applicable, the United States citizenship of an account holder.\n(2) The institution is taken to comply with the obligation to establish and maintain\narrangements within paragraph (1)(a) only if \u2014\n(a) the arrangements meet the due diligence requirements as set out in this\nregulation; and\n(b) the arrangements secure that the evidence used in accordance with this\nregulation or regulation 7, or a record of the steps taken in accordance with\nthis regulation or regulation 7, is kept for a period of six years beginning\nwith the end of the year in which the arrangements applied to the financial\naccounts.\n(3) The due diligence requirements for a calendar year for which an election under\nregulation 5(2) is in force are \u2014\n(a) in the case of pre-existing individual accounts that are lower value\naccounts within paragraph II.B of Annex I of the Agreement or are preexisting individual accounts that are Reportable Accounts meeting the\ndescription at paragraph II.A of that Annex, the procedures described at\nparagraph II.B and II.C of that Annex;\n(b) in the case of pre-existing individual accounts with a balance or value that\nexceeds one million United States dollars as of 30th June, 2014 or 31st\nDecember, 2015 or 31st December in any subsequent year, the procedures\ndescribed at paragraphs II.D and II.E of that Annex;\n(c) in the case of new individual accounts, the procedures described at\nparagraph III.B of that Annex;\n(d) in the case of pre-existing Entity accounts, the procedures described at\nparagraphs IV.D and IV.E (1) of that Annex; and\n(e) in the case of new Entity accounts, the procedures described at paragraphs\nV.A to V.B of that Annex.\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 6\n\nc\nRevised as at 31st December, 2020\nPage 15\n\n(4) The due diligence requirements for a calendar year for which an election under\nregulation 5(2) is not in force are \u2014\n(a) in the case of pre-existing individual accounts that are lower value\naccounts within paragraph II.B of Annex I of the Agreement, the\nprocedures described at paragraph II.B and II.C of that Annex;\n(b) in the case of pre-existing individual accounts that are lower value\naccounts within paragraph II.B of that Annex with a balance or value that\nexceeds one million United States dollars as of 31st December, 2015 or\n31st December in any subsequent year, the procedures described at\nparagraphs II.D and II.E of that Annex;\n(c) in the case of pre-existing individual accounts within paragraph II.A of\nthat Annex with a balance or value that exceeds one million United States\ndollars as of 31st December, 2015 or 31st December in any subsequent\nyear, the procedures described at paragraphs II.D and II.E of that Annex;\n(d) in the case of pre-existing individual accounts within paragraph II.D of\nthat Annex, the procedures described at paragraphs II.D and II.E of that\nAnnex;\n(e) in the case of new individual accounts that are not within paragraph III.A\nof that Annex, the procedures described at paragraph III.B of that Annex;\n(f)\nin the case of pre-existing Entity accounts within paragraphs IV.B and\nIV.C of that Annex, the procedures described at paragraphs IV.D and IV.E\n(1) of that Annex;\n(g) in the case of pre-existing Entity accounts with a balance or value that does\nnot exceed two hundred and fifty thousand United States dollars as of 30th\nJune, 2014 but with a balance or value that exceeds one million United\nStates dollars as of 31st December, 2015 or 31st December in any\nsubsequent year, the procedures at paragraphs IV.D and IV.E (2) of that\nAnnex; and\n(h) in the case of new Entity accounts, the procedures described at paragraphs\nV.A to V.B of that Annex.\n(5) If, in the case of an account within either paragraph (3)(a) or (4)(a) \u2014\n(a) an institution has established the account holder\u2019s United States status\nfrom documentary evidence mentioned in paragraph VI.D of Annex I of\nthe Agreement; and\n(b) it has done so in order to meet its obligations under a qualifying\nintermediary agreement as mentioned in that paragraph,\nthe due diligence requirements in the case of that account do not include the\nrequirement to carry out the electronic search described in paragraph II.B (1) of\nthat Annex of the Agreement.\n(6) If, in the case of an account within any of paragraph (3)(b) or (4)(a) to (c) \u2014\n\nRegulation 7\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 16\nRevised as at 31st December, 2020\nc\n\n(a) an institution has established the account holder\u2019s United States status\nfrom documentary evidence mentioned in paragraph VI.D of Annex I of\nthe Agreement, and\n(b) it has done so in order to meet its obligations under a qualifying\nintermediary agreement as mentioned in that paragraph,\nthe due diligence requirements in the case of that account do not include the\nrequirement to carry out the electronic searches described in paragraph II.B (1)\nor II.D (1) of Annex I of the Agreement or the requirement to carry out the paper\nrecord search described in paragraph II.D (2) of that Annex.\n(7) If, as a result of this regulation, a person is required to certify their United States\nstatus, a Reporting Financial Institution may require the person to supply to the\ninstitution the documentary evidence mentioned in paragraph VI.D of Annex I\nof the Agreement as the institution considers appropriate in support of the\ncertification.\n(8) The due diligence requirements in this regulation shall be applied by reference\nto the special rules and definitions at paragraph I.B (1) to (3) and section VI of\nAnnex I of the Agreement.\n(9) For the purposes of this regulation references to the documentary evidence set\nout in paragraph VI.D of Annex I of the Agreement are to be treated as if the\nwords \u201cother than a Form W-8 or W-9\u201d were omitted.\n(10) Nothing in paragraph (1)(b) applies to accounts maintained before the day on\nwhich these regulations come into force.\n7.\nModification of due diligence requirements\n7.\n(1) This regulation modifies the due diligence requirements set out in regulation 6\nin the case of a Reporting Financial Institution, but only if it makes an election\napplying those modifications.\n(2) If the institution obtains, or is in the process of obtaining, evidence of a person\u2019s\nUnited States status in relation to any pre-existing account, it is entitled to rely\non the evidence in relation to any new account unless it has reasonable cause to\nbelieve that the person\u2019s United States status has subsequently changed.\n(3) Paragraph (2) has effect in the case of pre-existing individual accounts\nmaintained by the institution for an account holder only if, for the purpose of\nestablishing which of the procedures referred to in regulation 6(3)(a) and (b) or\nregulation 6(4)(a) to (c) are applicable to those accounts, the institution treats\nall those accounts as a single pre-existing individual account.\n(4) If the institution or a related Entity obtains, or is in the process of obtaining,\nevidence of a person\u2019s United States status in relation to a financial account, the\ninstitution is entitled to rely on the evidence in relation to all financial accounts\nmaintained by the institution for the account holder unless the institution has\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 8\n\nc\nRevised as at 31st December, 2020\nPage 17\n\nreasonable cause to believe that the person\u2019s United States status has\nsubsequently changed.\n(5) The due diligence requirements set out in regulation 6 do not need to be met in\nrelation to a financial account if \u2014\n(a) the institution maintains the account as a result of a merger with, or\nacquisition of, a qualifying financial institution which had established the\nUnited States status of the account holder and any controlling person; and\n(b) the institution has no reasonable cause to believe that the United States\nstatus of the account holder or any controlling person has changed.\n(6) For the purpose of paragraph (5) a \u201cqualifying financial institution\u201d, in relation\nto a Financial Institution, means another Financial Institution \u2014\n(a) which has not previously been a related Entity of the institution; and\n(b) which immediately before the merger or acquisition was a Reporting\nFinancial Institution or a partner jurisdiction Financial Institution but was\nneither a Registered Deemed-Compliant Financial Institution nor a nonparticipating Financial Institution.\n(7) An election under this regulation \u2014\n(a) is to be made by being given to the Competent Authority;\n(b) shall be in a form determined by the Competent Authority; and\n(c) has effect in relation to all times on or after the day on which the election\nis made, unless subsequently withdrawn.\n8.\nReporting Obligation\n8.\n(1) A Reporting Financial Institution shall, in respect of 2014 and every following\ncalendar year, prepare a return setting out \u2014\n(a) the required information in relation to every Reportable Account that is\nmaintained by the institution at any time during the calendar year in\nquestion;\n(b) the institution\u2019s Global Intermediary Identification Number; and\n(c) a statement of whether paragraph 5 of Article 4 of the Agreement applies\nto the institution and, if it does, whether the requirements in\nsubparagraphs (a) to (c) of that paragraph have been met.\n(2) Notwithstanding paragraph (1), if during the calendar year in question the\nReporting Financial Institution maintains no Reportable Accounts, then the\nReporting Financial Institution is not required to file a return but may, at its own\noption, do so in accordance with paragraphs (3) to (6).\n(3) The Reporting Financial Institution shall send a return under this regulation to\nthe Competent Authority on or before 31st July of the year following the\ncalendar year to which the return relates referred to as \u201cthe reporting date\u201d, in\n\nRegulation 8\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 18\nRevised as at 31st December, 2020\nc\n\nthe form required by the Competent Authority, whether electronically or\notherwise.\n(4) The information required to be in the return is \u2014\n(a) the name and address of the account holder;\n(b) subject to regulation 9(2), the account holder\u2019s United States federal\ntaxpayer identifying number;\n(c) if an account is identifiable by an account number, that number or, if not,\nits functional equivalent;\n(d) the balance or value of the account, including, in the case of a cash value\ninsurance contract or annuity contract, the cash value or surrender value,\nas of the end of the calendar year or, if the account was closed during the\nyear, the balance or value on the date that the Reporting Financial\nInstitution closes the account;\n(e) the relevant total gross credits, or if there are none, a statement of that fact;\nand\n(f)\nif the account holder is a passive NFFE that has a Controlling Person who\nis a Specified Person, the name and address of that Specified Person, and,\nif that person is an individual, that person\u2019s United States federal taxpayer\nidentifying number and date of birth.\n(5) For the purpose of paragraph 4 the \u201crelevant total gross credits\u201d means \u2014\n(a) in the case of a custodial account \u2014\n(i)\nthe total gross amount of interest, the total gross amount of dividends\nand the total gross amount of other income generated with respect to\nassets held in the account which is paid into, or with respect to, the\naccount during the calendar year; and\n(ii) the total gross proceeds from the sale or redemption of property paid\ninto the account during the calendar year if the institution acted as a\ncustodian, broker, nominee or otherwise as an agent for the account\nholder;\n(b) in the case of a depository account, the total gross amount of interest paid\nto the account during the calendar year; and\n(c) in the case of any other account, the total gross amount of sums paid by\nthe institution to the account holder with respect to the account during the\ncalendar year.\n(6) For the purposes of this regulation \u2014\n(a) references to the balance or value of an account include a nil balance or\nvalue; and\n(b) references to paying an amount include crediting an amount.\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 9\n\nc\nRevised as at 31st December, 2020\nPage 19\n\n(7) If a Reporting Financial Institution has an established practice for the periodic\nvaluation of accounts of a particular description otherwise than at the end of a\ncalendar year, the institution may report under paragraph (5)(a) or (c) by\nreference to a period of 12 months ending with the date or, if more than one, the\nlatest date, in the calendar year on which the institution values accounts of that\ndescription, instead of by reference to the calendar year.\n(8) Subject to regulation 9(2), if a Reporting Financial Institution does not hold a\nUnited States federal taxpayer identifying number that it is required to report\nunder paragraph (4)(b) the institution shall obtain that number from the account\nholder.\n9.\nModifications for calendar years 2014 to 2016\n9.\n(1) In the case of an account referred to in regulation 8(5) there is no requirement\nto include in the return for the calendar year 2014 information about relevant\ntotal gross credits.\n(1A) In the case of custodial accounts there is no requirement to include in the return\nfor the calendar year 2015 any information set out in regulation 8(5)(a)(ii).\n(2) In the case of pre-existing accounts \u2014\n(a) there is no requirement to include in the return for calendar years before\n2017 a United States federal taxpayer identifying number if the Reporting\nFinancial Institution does not hold that number; but\n(b) if the account holder is an individual whose date of birth the institution\ndoes hold, the institution shall include the account holder\u2019s date of birth\ninstead.\n10.\nIdentification and disclosure obligations: Non-participating Financial\nInstitutions\n10. (1) A Reporting Financial Institution shall establish and maintain arrangements that\nare designed to identify payments made by the Reporting Financial Institution\nto a non-participating Financial Institution in the calendar year 2015 or 2016.\n(2) \u201cPayment\u201d in this regulation includes amounts credited to a non-participating\nFinancial Institution but does not include consideration given by the Reporting\nFinancial Institution for the provision of goods or services to it.\n(3) A Reporting Financial Institution is entitled to regard a payment made by it to a\nFinancial Institution as made to someone who is not a non-participating\nFinancial Institution only if it has, in respect of the payment, taken the steps\nreferred to in paragraph IV.D (3) of Annex I of the Agreement.\n(4) For the purposes of paragraphs (1) to (3) of this regulation a non-participating\nFinancial Institution includes anyone who is required to be treated as a nonparticipating Financial Institution as a result of subparagraph 5(a) of Article 4\nof the Agreement.\n\nRegulation 11\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 20\nRevised as at 31st December, 2020\nc\n\n(5) In respect of any case in the calendar years 2015 and 2016 when a Reporting\nFinancial Institution is within the terms of sub-paragraph 1(e) of Article 4 of the\nAgreement, the institution shall make a disclosure of information in accordance\nwith the requirements of that sub-paragraph.\n11.\nReporting obligation: Non-participating Financial Institutions\n11. (1) A Reporting Financial Institution shall in respect of each of the calendar\nyears 2015 and 2016 prepare a return setting out \u2014\n(a) the names of the non-participating Financial Institutions to whom\npayments identified in accordance with regulation 10(1) have been made\nin the year in question; and\n(b) the total amount of those payments made to each of the non-participating\nFinancial Institutions in question.\n(2) In determining the total amount of those payments the special rules and\ndefinitions at paragraph I.B (1) and paragraph VI.C of Annex I of the Agreement\nshall be applied.\n(3) If for a calendar year no payments are identified as referred to in paragraph (1),\nthe Reporting Financial Institution shall prepare a return for the calendar year\nstating that fact.\n(4) The Financial Institution shall send a return under this regulation to the\nCompetent Authority on or before 31st May of the year following the calendar\nyear to which the return relates referred to as \u201cthe reporting date\u201d, in the form\nthe Competent Authority requires, whether electronically or otherwise.\n12.\nAccounts with a negative value\n12. For the purpose of applying paragraph VI. C of Annex I to the Agreement as required\nby these regulations, an account balance that has a negative value is treated as having\na nil value.\n13.\nAnti-avoidance\n13. If \u2014\n(a) a person enters into any arrangements; and\n(b) the main purpose, or one of the main purposes, of the person in entering\ninto the arrangements is to avoid or circumvent any obligation under these\nregulations,\nthese regulations are to have effect as if the arrangements had not been\nentered into.\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 14\n\nc\nRevised as at 31st December, 2020\nPage 21\n\n14.\nNotification to the Competent Authority\n14. (1) A Financial Institution which has reporting obligations under these regulations\nshall notify the Competent Authority of that fact and shall provide to the\nCompetent Authority \u2014\n(a) the name of the Financial Institution;\n(b) the categorisation of the Financial Institution as determined in accordance\nwith the Agreement; and\n(c) where the Financial Institution has registered with the Internal Revenue\nService of the United States of America for the purposes of the Agreement\nin accordance with regulation 4, the Global Intermediary Identification\nNumber allocated to that Financial Institution by the Internal Revenue\nService of the United States of America.\n(2) The notification, and the information specified in paragraph (1)(a) to (c) shall\nbe submitted to the Competent Authority electronically in the form that the\nCompetent Authority may require.\n(3) A Financial Institution shall provide the notification and the information\nspecified in paragraphs (1)(a) to (c) to the Competent Authority no later than\n30th April in the first calendar year in which it is required to comply with\nreporting obligations to the Competent Authority under these regulations.\n(4) A Financial Institution which is required to notify the Competent Authority\npursuant to this regulation shall, at the time of notification, provide to the\nCompetent Authority the full name, address, designation and contact details\nof \u2014\n(a) ` a person identified and authorised by the Financial Institution to be the\nprincipal point of contact for the Financial Institution for all purposes of\ncompliance with these regulations; and\n(b)  except in circumstances specified by the Authority, another person the\nFinancial Institution has authorised to give change notices for its principal\npoint of contact.\n(5) A Financial Institution shall notify the Competent Authority immediately of any\nchanges to the information provided to the Competent Authority under\nparagraph (1)(a) to (c) and of any changes to the details of the principal point of\ncontact specified in paragraph (4).\n(6) Where a Financial Institution ceases to be registered with the Internal Revenue\nService of the United States of America for whatever reason, it shall notify the\nCompetent Authority.\n\nRegulation 15\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 22\nRevised as at 31st December, 2020\nc\n\n15.\nInspection and Compliance\n15. (1) For the purposes of determining whether any information submitted by a\nReporting Financial Institution in furtherance of the requirements of these\nregulations, was correct and complete, the Competent Authority may require a\nReporting Financial Institution \u2014\n(a) to provide to the Competent Authority, within a time specified by the\nCompetent Authority , the information, including copies of any relevant\nbooks, documents or other records, or any electronically stored\ninformation, that the Competent Authority may reasonably require; or\n(b) to make available to the Competent Authority for inspection, at the time\nspecified by the Competent Authority , all copies of books, documents or\nother records, or any electronically stored information, in the Reporting\nFinancial Institution\u2019s possession or under its control.\n(2) Where any information which is required to be provided to, or inspected by,\nthe Competent Authority is located outside of the Islands in any manner\nwhatsoever, the Reporting Financial Institution shall take all necessary steps to\nbring the information to the Islands within the time specified by the Competent\nAuthority in writing to enable the Reporting Financial Institution to comply with\nthe requirements of the Competent Authority under this regulation.\n(3) A Reporting Financial Institution shall retain for a period of six years all books,\ndocuments and other records, including those stored by electronic means, which\nrelate to the information required to be reported to the Competent Authority for\nthe purposes of these regulations.\n16.\nOffences\n16. (1) A Reporting Financial Institution which \u2014\n(a) without reasonable excuse, fails to comply with a requirement of the\nCompetent Authority under regulation 15;\n(b) without reasonable cause, fails to make a report required under these\nregulations;\n(c) fraudulently or negligently makes a false report, whether in its entirety or\nin any particular part;\n(d) fails to implement arrangements or procedures in order to comply with\nthese regulations;\n(e) with intent to avoid the provisions of these regulations, alters, destroys,\nmutilates, defaces, hides or removes any document or information,\nincluding documents or information electronically held ; or\n(f)\nwilfully obstructs an inquiry by the Competent Authority under regulation\n15,\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nRegulation 17\n\nc\nRevised as at 31st December, 2020\nPage 23\n\ncommits an offence and is liable on summary conviction to a fine of five\nthousand dollars, or in the case of subparagraphs (a), (c), (d), (e) and (f) to\nimprisonment for a term of 2 years, or to both.\n(2) Where an offence under this regulation is committed by a body corporate and is\nproved to have been committed with the consent or connivance of, or to be\nattributable to any neglect on the part of, any director, manager, secretary or\nother similar officer of the body corporate, or any person who was purporting\nto act in the capacity of director, manager, secretary or other similar officer of\nthe body corporate, that individual, as well as the body corporate, is considered\nto have committed that offence and is liable to be proceeded against and\npunished accordingly.\n(3) Where the affairs of the Financial Institution, in cases where it is not a body\ncorporate, are managed or controlled by its partners, members, trustees or other\npersons purporting to act in the capacity of a partner, member or trustee,\nparagraph (2) shall apply in relation to the acts and defaults of that person in\nconnection with the person\u2019s functions of management or control as if that\nindividual were a director of a body corporate.\n17.\nAppointment of Third Parties\n17. (1) A Reporting Financial Institution may appoint a person as its agent to carry out\nthe duties and obligations imposed on it by these regulations, or the Agreement.\n(2) Where a person is appointed under paragraph (1) \u2014\n(a) the Financial Institution shall, at all times, have access to and be able to\nproduce, where so requested by the Competent Authority, the records and\ndocumentary evidence used to identify and report on reportable\naccounts; and\n(b) the Financial Institution is responsible for any failure of that person to\ncarry out its obligations notwithstanding that the actions were the actions\nof that person or that the failure to act was the failure by that person to act.\n18.\nIssue of Guidance\n18. The Competent Authority shall issue guidance from time to time and in a form\nconsidered appropriate by the Competent Authority for the purposes of aiding\ncompliance with these regulations.\n19.\nObligations of Reporting Financial Institutions to obtain taxpayer identifying\nnumber\n19. (1) A Reporting Financial Institution shall implement arrangements to obtain the\ntaxpayer identifying number of every United States specified person who is the\naccount holder of a Reportable Account.\n(2) Paragraph (1) has effect \u2014\n\nRegulation 19\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 24\nRevised as at 31st December, 2020\nc\n\n(a) from 1st January, 2017 in the case of pre-existing accounts and\n(b) from 1st July, 2014 in the case of new accounts opened on or after\nthat date.\nPublication in consolidated and revised form authorised by the Cabinet this 5th of\nJanuary, 2021.\nKim Bullings\nClerk of the Cabinet\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nENDNOTES\n\nc\nRevised as at 31st December, 2020\nPage 25\n\nENDNOTES\nTable of Legislation history:\nSL #\nLaw #\nLegislation\nCommencement\nGazette\n\n56\/2020 Citation of Acts of Parliament Act, 2020\n3-Dec-2020 LG89\/2020\/s1\n10\/2020\n Tax Information Authority (International Tax Compliance)\n(United States of America) (Amendment) Regulations, 2020\n20-Feb-2020 LG12\/2020\/s2\n\n Tax Information Authority (International Tax Compliance)\n(United States of America) (Amendment) Regulations\n(2018 Revision)\n28-Mar-2018 GE26\/2018\/s1\n23\/2015\n Tax Information Authority (International Tax Compliance)\n(United States of America) (Amendment) (No. 2)\nRegulations, 2015\n29-May-2015 GE40\/2015\/s2\n8\/2015\n Tax Information Authority (International Tax Compliance)\n(United States of America) (Amendment) Regulations, 2015\n18-Mar-2015 GE20\/2015\/s2\n33\/2014\n Tax Information Authority (International Tax Compliance)\n(United States of America) Regulations, 2014\n4-Jul-2014 GE49\/2014\/s2\n\nENDNOTES\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 26\nRevised as at 31st December, 2020\nc\n\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\nENDNOTES\n\nc\nRevised as at 31st December, 2020\nPage 27\n\nENDNOTES\nTax Information Authority (International Tax Compliance) (United\nStates of America) Regulations (2021 Revision)\n\nPage 28\nRevised as at 31st December, 2020\nc\n\n(Price: $3.60)","akn_extracted_at":"2026-06-22 15:40:47.51823+00","cms_id":"2014-0033","law_type":"subordinate","year":"2014","number":"33","title":"Tax Information Authority (International Tax Compliance) (United States of America) Regulations","status":"in_force"},"provenance":{"files":[{"file_id":"5422","expr_id":"455","kind":"akn_xml","filename":"2014-0033_2021 Revision.akn.xml","source_url":null,"storage_path":"\/Users\/q\/kyleg-data\/working\/SUBORDINATE\/2014\/2014-0033\/2014-0033_2021 Revision.akn.xml","content_md5":"73fe358b4b092202cdde6d0315c0f012","byte_size":"50134","http_last_modified":null,"fetched_at":"2026-06-22 15:40:47.682665+00"},{"file_id":"909","expr_id":"455","kind":"pristine_pdf","filename":"2014-0033_2021 Revision.pdf","source_url":"\/cms\/images\/LEGISLATION\/SUBORDINATE\/2014\/2014-0033\/2014-0033_2021 Revision.pdf","storage_path":"\/Users\/q\/kyleg-data\/pristine\/SUBORDINATE\/2014\/2014-0033\/2014-0033_2021 Revision.pdf","content_md5":"61b1da272a1518848a32ca0d7663a5d7","byte_size":"934383","http_last_modified":null,"fetched_at":"2026-06-21 23:09:38.079309+00"},{"file_id":"910","expr_id":"455","kind":"working_pdf","filename":"2014-0033_2021 Revision.pdf","source_url":"\/cms\/images\/LEGISLATION\/SUBORDINATE\/2014\/2014-0033\/2014-0033_2021 Revision.pdf","storage_path":"\/Users\/q\/kyleg-data\/working\/SUBORDINATE\/2014\/2014-0033\/2014-0033_2021 Revision.pdf","content_md5":"61b1da272a1518848a32ca0d7663a5d7","byte_size":"934383","http_last_modified":null,"fetched_at":"2026-06-21 23:09:38.079309+00"}],"paragraph_count":11,"latest_history":null},"quality":{"expr_id":"455","doc_id":"455","quality_state":"needs_review","quality_score":"76","needs_human_review":"t","deterministic_categories":"{duplicate_text,page_header_footer_noise}","llm_categories":"{other}","repair_actions":"{collapse_duplicate_text,manual_review,strip_page_furniture}","finding_severity_counts":"{\"medium\": 1}","finding_summary":"Sample appears mostly clean but contains stray pricing footnote; verify removal and check for other hidden artifacts.","assessed_at":"2026-06-22 15:29:46.1615+00","updated_at":"2026-06-22 15:29:46.1615+00"}}