FATCA: implications for non-US funds: a general guide for determining the applicability of FATCA to non-USA funds

Purpose – To summarize the principal aspects of USA tax legislation commonly known as the “Foreign Account Tax Compliance Act” (“FATCA”) that may be relevant to non-USA investment funds. Design/methodology/approach – Reviews the potential application of FATCA to non-USA investment funds in a question-and-answer format and summarizes the key FATCA compliance obligations that may apply to such funds. Findings – FATCA presents a number of compliance and operational challenges for non-USA investment funds. Such funds should be aware of their status under FATCA and resulting compliance responsibilities to ensure that they are compliant with FATCA and thus not subject to USA withholding tax. Originality/value – Practical guidance from experienced tax and investment funds lawyers that summarizes a complex body of law in a concise format.