Monday, November 16, 2009

Foreign Account Tax Compliance Act of 2009: Impact on Funds

On October 27, 2009, Senator Max Baucus (D-MT), Chairman of the Senate Finance Committee, and Congressman Charles Rangel (D-NY), Chairman of the House Ways and Means Committee, introduced the Foreign Account Tax Compliance Act of 2009 (the “Bill”). The Bill, which was immediately backed by President Obama and Treasury Secretary Timothy Geithner, among other things, would significantly modify the U.S. withholding and information reporting rules applicable to cross-border transactions, and as such would have a direct impact on many private investment funds and their investors. Further information on the Bill and its impact is available on the Curtis Tax Updates blog.