US FATCA Information Exchange Put Back A Year

In a move which is likely to be of interest to those organisations who put systems and procedures in place to comply, the US has recently announced (September 2015) that information on US persons does not now need to be exchanged for certain jurisdictions until September 2016.

In Notice 2015-66 ("the Notice"), the US Treasury sets out its reasons for the postponement which are generally to allow jurisdictions which have signed inter-governmental agreements ("IGA") more time to put systems and processes in place at government level for the exchange of information.  Importantly, for Isle of Man financial institutions, which were required to provide the relevant information to the Income Tax Division by 30 June 2015, the Notice makes clear that any postponement does not impact on the deadline for provision of information to local tax authorities as such deadlines are set out in local law.