FATCA FAQ: Are foreign exchange transactions subject to FATCA?
|January 27, 2012||Posted by admin under FATCA, United States|
I do not believe that withholdable payments will include foreign exchange (FX) payments. Although gain on such contracts is generally reported as gross proceeds, the FATCA rules appear to only apply to proceeds from the sale or other disposition of any property of a type which can produce interest or dividends from sources within the United States. This could be changed by regulations which, hopefully, will be issued shortly.