The acronym FATCA stands for Foreign Account Tax Compliance Act. This is a U.S. law designed to prevent tax evasion by U.S. taxpayers abroad. In response to this law, the Dutch government entered into an agreement with the United States. As a result, as of 1 July 2014, ING is required to check whether its customers may be taxpayers in the United States (the US tax authority (the IRS) defines a US taxpayer as a US Person). If this is the case, the account details of the relevant customer are sent to the Dutch tax authority, which then forwards them to the US tax authority (the IRS).
"}},{"title":"2. What does FATCA mean for my organization?","richBody":{"value":"FATCA only applies if your organization is potentially taxable in the United States. Also, if your organization has stakeholders who are potentially taxable in the United States, this law applies.
"}},{"title":"3. Why do I need to fill out the Determine Foreign Tax Status form?","richBody":{"value":"As a result of FATCA, as a bank we are obliged to provide the Dutch tax authorities with details of organizations that may be subject to tax in the United States. The Dutch tax authorities will then pass these data on to the US tax authorities. If we do not have sufficient information to determine whether an organization is potentially subject to tax in the United States, we ask the representatives of these organizations to complete the Determine Foreign Tax Status form. Based on the answers to the questions, we can determine whether or not an organization may be subject to tax in the United States.
"}},{"title":"4. I have already filled out the Determine Foreign Tax Status form and sent it to ING. Why do I have to do it again?","richBody":{"value":"We are required to verify whether our customers are potentially taxable in the United States. If an organization has had a change in, for example, branch and address details or the details of stakeholders in the organization, we must check again whether the organization is liable to pay tax in the United States. Also, if the activity code of an organization changes - this is the SBI code that we take over from the Chamber of Commerce in our records - we have to check the foreign tax status again.
"}},{"title":"5. My organization may be U.S. taxable, but I haven't filed a return there. What do I need to do?","richBody":{"value":"If you have not filed a tax return with the U.S. tax authorities in recent years, but are now voluntarily reporting to them, you may be able to make use of a voluntary disclosure scheme. More information can be found on the U.S. Tax Administration's website: www.irs.gov. You can also contact your tax advisor or the US tax authorities.
"}},{"title":"6. Can ING transfer my organization's data to the United States?","richBody":{"value":"FATCA, the US law aimed at preventing tax evasion by US taxpayers abroad, requires us to check as of 1 July 2014 whether our customers are potentially taxable in the United States (the US tax authority (IRS) defines a US taxpayer as a US Person). If that is the case, we send the account details of the customer concerned to the Dutch tax authorities. The IRS will then forward the data to the US tax authority. This is laid down in the financial information exchange agreement that the Ministry of Finance has concluded with the United States. So, ING will not pass on your organization's data to the United States.
"}},{"title":"7. Where can I find more information about FATCA?","richBody":{"value":"At www.nvb.nl, the website of the Netherlands Bankers' Association, you can find more information on this subject. You can also contact a tax consultant about this.
"}},{"title":"8. You have asked me to fill out the form 'Determine foreign tax status' and send it to you. What happens if I don't?","richBody":{"value":"We have asked you to fill out the form because we do not have enough information to determine whether or not we should submit your organization's data to the Dutch tax authorities. If you do not complete and submit the form, we will be obliged to pass on your organization's account details to the Dutch tax authorities. The latter will then pass on these details to the US tax authorities (the IRS).
"}},{"title":"9. Why do I have to pass on my organization's US EIN?","richBody":{"value":"As a bank, we have been obliged since 2014 to determine whether our customers are US Persons. If this is the case, we must record the Tax Identification Number (US TIN) or Employer Identification Number (US EIN). This is provided for in the agreement that the Netherlands has entered into with the United States in response to the FATCA tax law. If we have determined that your organization is a US Person, we are required to record the organization's US EIN.
"}},{"title":"10. You have asked me to provide the US EIN of my organization. My organization is a US Person, but does not have an EIN.","richBody":{"value":"In that case, you can apply for a US EIN from the US tax authorities. Then send us a copy of the SS-4 form you used to request the US EIN for your organization. Then provide us with the US EIN as soon as you receive it. You can do this with the form 'Determine foreign tax status.'
"}},{"title":"11. How can I prove that I have applied for a US EIN for my organization?","richBody":{"value":"You can send us a copy of the form with which you applied for the US EIN. Then provide us with the US EIN as soon as you receive it. You can do this with the form 'Determine foreign tax status'.
"}},{"title":"12. The beneficial owner of my organization is a US Person, but does not have a US TIN. I am therefore unable to pass it on.","richBody":{"value":"The beneficial owner can apply for a US TIN with a W7 form or SS-5 form which can be found on the website of the US tax authorities. Then send us a copy of the form with which the beneficial owner applied for the US TIN or Social Security Number (SSN). Then provide us with the US TIN as soon as you receive it. This can be done with the form 'Determine foreign tax status'.
"}},{"title":"13. I represent an entity that is located or incorporated in the United States and this organization does not have a US EIN.","richBody":{"value":"You can apply for a US EIN from the US tax authorities. Then send us a copy of the SS-4 form you used to request the US EIN for the entity. Then provide us with the US EIN as soon as you receive it. You can do this with the form 'Determine foreign tax status'.
"}}]},{"componentType":"linkList","iconTitle":{"title":"More information"},"textLinks":[{"url":"/zakelijk/betalen/foreign-account-tax-compliance-act/vragen-en-antwoorden-fatca","text":"This page in Dutch"},{"url":"/en/business/payments/foreign-account-tax-compliance-act","text":"FATCA for Business clients"}]},{"componentType":"linkList","iconTitle":{"title":"Payments"},"textLinks":[{"url":"/en/business/accepting-payments","text":"Accepting payments"},{"url":"/zakelijk/betalen/betalingen-doen","text":"Executing payments"},{"url":"/en/business/payments/cash","text":"Cash withdrawal and deposit"}]}]}}}