Cayman Issues Revised FATCA Guidance Notes

The Cayman Islands Tax Information Authority ("TIA") issued a revised version of the Cayman Islands FATCA Guidance Notes ("Revised Guidance Notes") on December 15, 2014. The Revised Guidance Notes replaces the previous version issued on July 22, 2014.

Additional guidance includes the following:

• An Investment Advisor or Manager may still be a Nonreporting Foreign Financial Institution even if it also acts as General Partner of an Investment Fund; and
• Providing certain "administrative services" to another entity, such as provision of a registered office, preparation of tax returns or financial statements or bookkeeping services or any other of the activities such as those defined under the Cayman Companies Management Law as "business of company management", does not constitute management by an Investment Entity.

Clarification can be found in sections on:

• Treatment of Dormant and Liquidating Investment Entities; and
• Classification of Private Trust Companies under FATCA.

The TIA also announced that Reporting Cayman Islands Financial Institutions had until April 30, 2015 to register electronically with the TIA and provide its FATCA status and Global Intermediary Identification Numbers to the TIA. Previously, such information was required to be reported by March 31, 2015.

See: FATCA Guidance Notes.See also: FATCA Specialty Page (available to Cabinet subscribers only).For more information, please contact Dan Mulcahy or Mark Howe.