The IRS confirmed the deadline for the FATCA certification of 1 July 2021, thereby ending speculation about a deadline extension due to the ongoing COVID-19 crisis. Swiss FIs must fulfill their FATCA obligations as soon as possible in order to submit their certification by 1 July 2021.
In its latest newsletter the US Internal Revenue Service (“IRS”) reminded Financial Institutions (“FIs”) of the upcoming deadline of 1 July 2021 to file the FATCA Responsible Officer certification. The certification is mandatory for all Swiss FIs and FIs in other jurisdictions with a Model 2 Intergovernmental Agreement (“IGA”) or in such jurisdictions which have not entered into an IGA with the US.
The IRS emphasized that a failure to submit the FATCA certification by the due date will mean non-compliance with the FATCA obligations and may, in the worst case, lead to the revocation of an entity’s FATCA status and, ultimately, the entity’s Global Intermediary Identification Number (“GIIN”) being removed from the FFI list.
Given the recent reminder from the IRS, it seems that the IRS does not intend to grant an extension of the 1 July 2021 deadline (unlike for the QI certification, for which an extension has been granted – see our blog on this topic here). Swiss FIs should ensure they meet the above-mentioned deadline to submit the FATCA certification in order to ensure their compliance with the FATCA rules. If they have not already done so, Swiss FIs should perform the periodic review required as part of the FATCA certification as soon as possible.