The U.S. Foreign Account Tax Compliance Act (FATCA)

FATCA is a tax law enacted in the United States (“U.S.”) in March 2010 and will become effective in July 2014.  FATCA aims to prevent the non-compliance with U.S. tax obligations by U.S. taxpayers holding foreign financial accounts.

According to the information published by the U.S. Internal Revenue Service (the “IRS”), FATCA requires foreign financial institutions (“FFIs”) to conduct certain due diligence procedures to identify and report to the IRS information in respect of foreign financial accounts held by (i) U.S. taxpayers; or (ii) foreign entities in which U.S. taxpayers hold a substantial ownership interests.  FFIs which do not comply with FATCA will be subject to withholding taxes on certain payments received by them. 

Frequently Asked Questions
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Reference Links
  • Hong Kong Government



Certain information posted on this webpage is derived from the IRS and the U.S. Treasury websites, and HKEX’s understanding of FATCA.  While care has been taken to ensure accuracy of information provided, nothing on this webpage is intended to be, or should be construed to constitute, legal or tax advice; and no information on this webpage may be used or interpreted for the purpose of avoiding U.S. tax penalties.  Participants should consult their own professional advisors on the implications of FATCA.

Updated 09 Aug 2017