Foreign Account Tax Compliance Act
The United States enforces with "The Foreign Account Tax Compliance Act" (FATCA) persons taxable under US laws to file annual reports on their none US accounts to the Financial Crimes Enforcement Network (FINCEN).
The law requires from all non-U.S. (foreign) financial institutions (FFI's) to identify and report accounts of US persons to FINCEN.
FATCA Priciples Explained
FATCA reaches out to the bank accounts and financial institutions in the widest possible sense and is NOT limited to US citizen and international banks.
Banks have to screen ALL their customers on indicators of US links and required FATCA reporting.
FATCA - Personal Account Criteria
Any of the following criteria may indicate accounts as US linked and therefor trigger additional reviews and potential reporting:
US residency or citizenship
US address linked to an account
US place of birth
US based PoA
US based power of attorney or authorized signatory
Regular transfers to the US or from a US address
"Care of", "hold mail", PO address only linked to the account
All indicators above will require a detailed analysis by the financial institution under full cooperation of the accounts holder.
FATCA - Artifical Persons or Entities
Corporation, Trusts, Financial Institutions
All legal entities already registered under US law
Trust incorporated in the US
> 10% US based shareholder