What is FATCA?

The Foreign Account Tax Compliance Act (FATCA) is a law passed by the U.S. Congress on March 18, 2010 in order to adopt strong measures to prevent tax evasion by U.S. citizens or residents and improve compliance with tax obligations by taxpayers.

This Law grants the Internal Revenue Service (IRS) new tools and powers regarding extraterritorial tax control.

According to this Law, Foreign Financial Institutions (FFIs) are required to sign an agreement with the IRS by which they commit to reporting certain information related to their clients with U.S. nationality or tax residence to the aforementioned U.S. tax authority.

If an FFI does not sign such agreement, its clients will be subject to a 30% withholding on all interest, dividends and sales of securities and other income originating in the U.S., whether paid to U.S. citizens or residents or assimilated territories, or to a non-U.S. person.

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What are the FATCA requirements?

FATCA requires financial institutions worldwide to comply with a series of requirements:

• Identify and obtain information on U.S. Persons (natural or legal persons) holding assets outside the United States.
• Withhold, where applicable, 30% on certain U.S.-source payments (mainly interest and dividends) made to account holders who do not comply with FATCA.
• Report information on the account holders mentioned above to the IRS.
  The information related to this last point will include, among others:
  • Personal information: name, address and U.S. Taxpayer Identification Number (US TIN).
  • Account information: account number, balances and payments made or received.

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What commitment does Mora Assegurances undertake?

Mora Assegurances SAU undertakes to collaborate to ensure compliance with international tax obligations.

To this end, the MoraBanc Group has implemented the necessary changes in the different areas to ensure compliance with the FATCA law.

In this sense, all MoraBanc Group entities affected by the FATCA regulation, including Mora Assegurances SAU, have registered on the Internal Revenue Service (IRS) website and have obtained their corresponding identification number (GIIN – Global Intermediary Identification Number).

The GIIN of Mora Assegurances SAU is B6R34I.00003.ME.020.

To know the GIIN of any other MoraBanc Group entity, you can access the IRS website through the following link: https://apps.irs.gov/app/fatcaFfiList/flu.jsf

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Relevant information on FATCA

Mora Assegurances SAU will not provide any tax advice, so we recommend that our clients, if they need advice on FATCA, consult independent advisors.

Mora Assegurances SAU does not guarantee that the information or any other content on its website regarding FATCA is accurate or complete, and is not responsible for any error, omission or opinion expressed in this website content.

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