Tuesday, April 16, 2024

Sinckler concerned about effect of act


Share post:

MINISTER OF FINANCE Christopher Sinckler has expressed concern that the Foreign Account Tax Compliance Act (FATCA) would place pressure on the financial services sector in the area of information reporting.
However, he said it was “not a threat” since the sector was in a position to meet the requirements.
FATCA is a new chapter in the United States Internal Revenue Code, which was introduced in March 2010 and came into effect in January.
FATCA would require foreign financial institutions (FFIs) to report directly to the United States Inland Revenue Service (IRS) about financial accounts held by American taxpayers or foreign entities in which they hold a substantial ownership interest or be penalized for non-compliance.
“We are concerned, though not threatened, about the impact of the now infamous Foreign Account Tax Compliance Act, which took effect on January 1, 2013. This development has placed some pressure on the financial services sector as it makes substantial changes to information reporting and compliance requirements for offshore accounts,” he noted.
Sinckler said, though, that the international business companies here have “responded well by renewing their interest in and affection for Barbados and ensuring that information was shared where it is required”.
“This new law is not being viewed as a threat but as a challenge, and one that must be overcome even as we take advantage of the opportunities which it will create for Barbados,” added Sinckler.
The Minister made the comments during the inauguration of the Cheapside, St Michael branch of the Pan American International Corporation Life Insurance company Tuesday night. (MM)


Please enter your comment!
Please enter your name here

Related articles

Public schools reopen next week

Public schools will reopen next week for the final school term of the academic year 2023-2024. Term III, also...

Met Office monitoring dust haze

The Barbados Meteorological Services (BMS) is closely monitoring a large plume of dust haze in the eastern Atlantic today. The...

Jamaican cop killed in the line of duty

KINGSTON – The Jamaica Constabulary Force (JCF), has described as “a very sad moment” the death of police...

Tennis Centre eyeing successive titles

Defending champions Tennis Centre will have the chance to become just the third club to win three successive...