What is FATCA?
FATCA (the Foreign Account Tax Compliance Act) is U.S. legislation aimed at tax transparency. Under an agreement between Greece and the United States, Greek Financial Institutions must identify accounts connected to U.S. persons and report certain information about them, once a year, to the Greek tax authority (AADE). AADE then exchanges that information with the U.S. tax authority (IRS).
Does it apply to me?
FATCA may be relevant if you are a U.S. citizen, were born in the U.S., or are treated as a U.S. resident for tax purposes. It may also apply to certain entities – in particular, Passive Non-Financial Foreign Entities (Passive NFFEs) with one or more Controlling Persons who are U.S. citizens or U.S. tax residents.
Among these connections to the U.S. (known as “U.S. indicia”) are, for example, a U.S. place of birth, a U.S. address or telephone number, a standing order to transfer funds to a U.S. account, or a power of attorney or signatory authority granted to a person with a U.S. address. Having one of these does not automatically make your account reportable, but we may need to ask you for additional information or documentation to confirm your FATCA status.
What we may ask you for
To determine or confirm your FATCA status, we may ask you to complete a self-certification form and, where necessary, provide supporting documentation:
• IRS Form W-9 – generally for U.S. persons
• IRS Form W-8BEN – generally for non-U.S. individuals
• IRS Form W-8BEN-E – generally for non-U.S. entities
If you are unsure which form applies to you or how to complete it, please consult a tax advisor – Vivabank cannot provide tax advice.
What may be reported
If your account is a U.S. Reportable Account, the information reported to AADE (and exchanged with the IRS) may include, depending on the circumstances:
• Full name or company name
• Address
• U.S. Tax Identification Number (U.S. TIN), where required
• Account number
• Account balance or value at the end of the reporting period, or information relating to the closure of the account
• Depending on the type of account, amounts such as interest, dividends and other payments required under FATCA
• For certain Passive NFFEs, information about Controlling Persons who are U.S. citizens or U.S. tax residents
The legal framework
Greece and the United States entered into an intergovernmental agreement (Model 1A) for the implementation of FATCA, ratified in Greece by Law 4493/2017 and further implemented through AADE decisions and guidance, including POL.1094/2018, as amended from time to time.