Representation to Finance Ministry & Financial Institutions » Indian Banks requested to inform USA NRIs regarding reporting under FATCA
Representation to Finance Ministry & Financial Institutions INDEX
- Aadhaar Enrolment to NRIs and PIOs
- Suggestions Re. Provisions of FEMA 1999 - 11th May, 2022
- Representation for providing details of Foreign Bank accounts by NRIs in Income Tax Returns.
- Levying of Income Tax on interest earned on NRE & FCNR Accounts of NRIs
- Indian Banks requested to inform USA NRIs regarding reporting under FATCA
- TDS as per DTAA - our rep. to SBI in 2008 finds place in Finance Bill, 2012
- Suggestions Re. Provisions of FEMA 1999 - 8 June 2011
- NRI's Global Income to be taxed - a Fallacy -19.10.2010
- DTC 2010 - Anomalies - our submission to Hon.Finance Minister - 30.10.2010
- Anomalies in deposit application of Tata Motors Ltd. - 04.03.2009
- THANKS - Hon.Finance Minister,Sir! Our Memo.re:TDS finds favour & Compies of various Memorandams
- Anomaly in Tax Deduction at Source (TDS) under Double Tax Treaty - 06.12.2008 (SBI)
- Anomalies in Times of India / Economic Times article regarding : "NRIs and PIOs can invest in real Estate in India - 01.12.2008
- Anomalies in Mid-term Review of Annual Policy for 2006-07 (04.11.2006)
- TDS anomalies regarding Long Term capital gains of NRIs. - 06.03.2006
- NRE / FCNR interest not Tax Exempt ! - 06.02.2006
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- Aadhaar Enrolment to NRIs and PIOs
- Suggestions Re. Provisions of FEMA 1999 - 11th May, 2022
- Representation for providing details of Foreign Bank accounts by NRIs in Income Tax Returns.
- Levying of Income Tax on interest earned on NRE & FCNR Accounts of NRIs
- Indian Banks requested to inform USA NRIs regarding reporting under FATCA
- TDS as per DTAA - our rep. to SBI in 2008 finds place in Finance Bill, 2012
- Suggestions Re. Provisions of FEMA 1999 - 8 June 2011
- NRI's Global Income to be taxed - a Fallacy -19.10.2010
- DTC 2010 - Anomalies - our submission to Hon.Finance Minister - 30.10.2010
- Anomalies in deposit application of Tata Motors Ltd. - 04.03.2009
- THANKS - Hon.Finance Minister,Sir! Our Memo.re:TDS finds favour & Compies of various Memorandams
- Anomaly in Tax Deduction at Source (TDS) under Double Tax Treaty - 06.12.2008 (SBI)
- Anomalies in Times of India / Economic Times article regarding : "NRIs and PIOs can invest in real Estate in India - 01.12.2008
- Anomalies in Mid-term Review of Annual Policy for 2006-07 (04.11.2006)
- TDS anomalies regarding Long Term capital gains of NRIs. - 06.03.2006
- NRE / FCNR interest not Tax Exempt ! - 06.02.2006
Specimen emails sent to all Banks and Mutual Fund Houses in India. Streamlined Domestic Offshore Procedures (SDOP) is an initiative of the US Authorities whereby appreciating possible ignorance or negligence tax payers have been offered declaration scheme requiring payment of penalty of only 5% on the highest value of overseas financial assets over previous six year ends together with revision of Tax Returns for previous three years and filing of Foreign Bank Account Reporting (FBAR) for previous six years . The benefits of this schemes are available only if the Tax Payer voluntarily files declaration under SDOP and not if a notice is issued by IRS. I am sure that the Bank will address this issue appropriately as such action of intimation is morally , ethically and professionally a must. Dear Mr Dhruva, We are in receipt of your mail bringing forth some suggestions to ensure smooth transition to FATCA stipulations. We are working on these issues and do feel that it will be in the interest of all concerned if the transition is hassle free. Once again, conveying our thanks for your inputs in the matter. With regards To, Dear Smt. Kochar, Good wishes. We are a group of Chartered Accountants providing advisory services to Non-Resident Indians (NRIs) and returning NRIs in the matters pertaining to Foreign Exchange Laws, Tax Laws, Double Taxation Avoidance Agreement (DTAA); inbound bank deposits and investment in Indian Mutual Funds and Indian US$ Bonds and creators of NRI related popular websites :www.nribanks.com the only website displaying monthly updated interest rates of almost all banks in India offered to NRIs ; www.femaonline.com an edited and updated version of Foreign Exchange Management Act 1999 and Regulations thereunder as also Tax Laws pertaining to NRIs and www.nrimutualfunds.com presenting the very best of equity and income schemes of Indian Mutual Funds. It is understood that ICICI Bank and all the Banks have applied for Global Intermediary Identification Number(GIIN) under Foreign Account Tax Compliance Act (FATCA) of the USA. As such upon the Inter Governmental Agreement(IGA) being finally signed by Indian Government, ICICI Bank will report accounts showing the account holder as US citizen or USA address or USA phone number or USA Person as Power of Attorney holder if the balance in such account exceeds US$ 50,000 as on 30th June 2014. I therefore suggest that a specific intimation to USA NRIs holding NRE , NRO or FCNR accounts may be sent about their account being reported to US Authorities under the IGA and if the Bank does not have resources to notify specific details a general intimation to all these US NRI account holders may be sent informing them about ICICI Bank providing information of all US account holders to the IRS under the IGA whereby NRI account holder will have an opportunity to file declarations under Streamlined Domestic Offshore Procedures (SDOP) well before notice for penal action is issued by the IRS. I am sure that the Bank will address this issue appropriately as such action of intimation is morally , ethically and professionally a must. Dear Sir, At the outset, we apologise for the inconvenience caused to you.
Smt. Arundhatti Bhattacharya,
Managing Director,
SBI Bank.
Dear Smt. Arundhatti Bhattacharya,
Good wishes.
It is understood that SBI Bank and all the Banks have applied for Global Intermediary Identification Number(GIIN) under Foreign Account Tax Compliance Act (FATCA) of the USA. As such upon the Inter Governmental Agreement(IGA) being finally signed by Indian Government, SBI Bank will report accounts showing the account holder as US citizen or USA address or USA phone number or USA Person as Power of Attorney holder if the balance in such account exceeds US$ 50,000 as on 30th June 2014.
Being invited by NRI Associations of Physicians , Dental Surgeons, Diamond Merchants and various Communities I had opportunity to interact with NRIs across USA last year whereby I have noticed serious concerns amongst NRIs about this eventual reporting by Indian Banks.
Now as and when SBI Bank provides such information to the IRS through Central Board of Direct Taxes (CBDT) in time to come IRS will issue notices to NRI account holders holding NRO, NRE or FCNR account whose information is provided to the IRS by Indian Banks and also initiate penal action.
I therefore suggest that a specific intimation to USA NRIs holding NRE , NRO or FCNR accounts may be sent about their account being reported to US Authorities under the IGA and if the Bank does not have resources to notify specific details a general intimation to all these US NRI account holders may be sent informing them about SBI Bank providing information of all US account holders to the IRS under the IGA whereby NRI account holder will have an opportunity to file declarations under Streamlined Domestic Offshore Procedures (SDOP) well before notice for penal action is issued by the IRS.
In case any clarifications are required my Office will be happy to provide the same and I thank you in anticipation.
Sincerely ,
RAJESH H DHRUVA
Chief Executive
femaonline.com
Tel. No. : 0091 281 245 3367 (four lines) / 245 9613
Cell : 0091 98240 49944
email rajesh@femaonline.com ; keynote@nribanks.com
"........................"
State Bank of India
Corporate Centre Mumbai
Smt. Chanda Kochar,
Managing Director,
ICICI Bank,
Mumbai
Being invited by NRI Associations of Physicians , Dental Surgeons, Diamond Merchants and various Communities I had opportunity to interact with NRIs across USA last year whereby I have noticed serious concerns amongst NRIs about this eventual reporting by Indian Banks.
Streamlined Domestic Offshore Procedures (SDOP) is an initiative of the US Authorities whereby appreciating possible ignorance or negligence tax payers have been offered declaration scheme requiring payment of penalty of only 5% on the highest value of overseas financial assets over previous six year ends together with revision of Tax Returns for previous three years and filing of Foreign Bank Account Reporting (FBAR) for previous six years . The benefits of this schemes are available only if the Tax Payer voluntarily files declaration under SDOP and not if a notice is issued by IRS.
In case any clarifications are required my Office will be happy to provide the same and I thank you in anticipation.
Sincerely ,
RAJESH H DHRUVA
Chief Executive
femaonline.com
Tel. No. : 0091 281 245 3367 (four lines) / 245 9613
Cell : 0091 98240 49944
email rajesh@femaonline.com ; keynote@nribanks.com
We refer to our e-mail dated May 19, 2015.
We thank you for writing to us.
Sincerely,
"........................."
Senior Management Desk
ICICI Bank