FATCA

Channel Islands

Foreign Account Tax Compliance Act (FATCA)

The US government has introduced tax regulations aimed at combating tax evasion by US tax residents using foreign accounts (commonly known as the ‘FATCA Regulations’). The Crown Dependencies of Guernsey, Jersey and the Isle of Man have entered into agreements with the US to enable FATCA to be implemented.

Tax Regulations have been introduced in the Channel Islands to implement the provisions of these agreements. These Regulations take effect from 1 July 2014.

Channel Island financial institutions are now required to identify and report on certain accounts held directly or indirectly by persons who are tax residents in the US. The information will be sent to the Guernsey or Jersey tax authorities who will then send it to the tax authorities in those countries.

Investec Bank (Channel Islands) Limited is committed to becoming fully compliant with these Regulations. Other Channel Island banks and financial institutions will also be affected by these Regulations.

In order to comply with these Regulations, Investec Bank (Channel Islands) Limited may have to request further information and documentation from you to confirm your tax residency/residencies.

If you have multiple relationships with different members of the Investec Group, you may receive more than one request for information and/or documentation. Please respond to all such requests separately, even if you believe you have already supplied the requested information and/or documentation.

Investec Bank (Channel Islands) Limited does not offer tax advice. If you require further information on these Regulations please speak to your tax adviser.

Frequently asked questions

What is FATCA?

The US Government introduced FATCA Regulations which are aimed at combating tax evasion by US tax residents using foreign accounts. The Crown Dependencies of Guernsey, Jersey and the Isle of Man have entered into agreements with the US to enable FATCA to be implemented.

Tax regulations have been introduced in the Channel Islands to implement the provisions of these agreements.
How will these new Tax Regulations affect me?

Financial institutions in the Channel Islands, like Investec Bank (Channel Islands) Limited, are now required to identify and report on certain accounts held directly or indirectly by persons who are tax residents in the US. We will ask you about your tax status as it is now required to establish the tax status of account holders. We will then identify and report to the Guernsey or Jersey tax office personal information and account details relating to account holders who are tax residents in the US.

Investec Bank (Channel Islands) Limited may from time to time request certain information and/or documentation from account holders in order to confirm their tax status under these Regulations. It is important that you respond in time to such a request. Failure to do so could result in information about you and your account being reported to the Guernsey or Jersey tax office.

The reports will be sent annually to the Guernsey or Jersey tax authorities who will then send them to the tax authorities in the US.

Investec Bank (Channel Islands) Limited does not offer tax advice. If you require further information on these Regulations please speak to your tax adviser.
When do the Regulations become effective?

There is a staggered approach to the introduction of the Regulations, which became affective from 1 July 2014. All new account holders will be required to confirm their tax status. Account holders may be requested to provide additional information and/or documentation to confirm their tax status.
Are the Regulations applicable to personal or business account holders?

The Regulations are applicable to all account holders.
Do I need to do anything regarding the Regulations?

We will contact you if we require any further information and/or documentation from you. We will provide you with any forms that you are required to complete. You will have to provide the information within the timelines set out in our request for further information and/or documentation. Failure to provide the information and/or documentation within the stated timelines could result in your account details being reported to the Guernsey or Jersey tax office.

If your personal information changes (for example, your address changes because you move to another country), we may have to contact you to obtain further information and/or documentation so that we are able to update your tax status under these Regulations.
Are other banks/financial institutions affected by these Regulations?

Yes, all banks/financial institutions in the Channel Islands will be affected by these Regulations. Banks/financial institutions operating outside the Channel Islands are also likely to be affected by the US FATCA regulations or by equivalent local regulations.

Other banks/financial institutions may adapt these Regulations differently and therefore you may receive requests for different information/documentation from those organisations as compared to Investec Bank (Channel Islands) Limited.

If you have multiple relationships with different members of the Investec Group, you may receive more than one request for information and/or documentation. It is important that you respond to all such requests.