2016 German Law Changes And Administrative Outlook Part 2

Following on from our part 1 summary on the various changes in German law scheduled for 2016, find out about FATCA, CRS and the implementation of the Transparency Directive.

Banking and Capital Markets - Structured Finance

• FATCA: required US-related reporting

In 2013, Germany and the US agreed to the Foreign Account Tax Compliance Act (FATCA) with the first FATCA-related report out on 31 July 2015. In short, FATCA is an anti-avoidance tax measure and designed to prevent US citizens from hiding income and assets overseas. Under FATCA regulations, German residential financial institutions with reference to the US are obliged to register themselves with the German Federal Central Tax Office and with the US Internal Revenue Service (IRS). These companies must appoint a responsible officer to take care of filing the required reports.