US Residents Must Fill Out the Following Forms

As a U.S. resident, here are all of the U.S. tax forms you will need to fill out in order to become a client of EQIBank. 

W9

The W9 form provides us with your US tax ID or Taxpayer Identification Number (TIN) for reporting purposes. A financial institution or person might use this to report certain information about you, including income, contributions to IRAs made by you, interest, dividends and capital gains earned by you, certain real estate transactions entered into by you, the balance of certain foreign financial accounts, etc. to the IRS.
[read more]If you’re a U.S. citizen, the W9 form provides certain financial institutions with your US tax ID or Taxpayer Identification Number (TIN) for reporting purposes. A financial institution or person might use this to report certain information about you, including income, contributions to IRAs made by you, interest, dividends and capital gains earned by you, certain real estate transactions you enter into, the balance of certain foreign financial accounts, etc. to the IRS. Learn more about IRS Form W9.

What You’ll Need
The tax ID of US individuals is either the Social Security Number (SSN) or the Individual Taxpayer Identification Number (ITIN). For corporations, the tax ID of US entities is the Federal Employer Identification Number (FEIN) also referred to as Employer Identification Number (EIN).

Who Must Fill out the Form?
US citizens, green card holder individuals, individuals who are treated as residents for US tax purposes (they live or work in the US or are married to a US individual), as well as corporations, LLCs, estates, and trusts created or organized under US law all must fill out the form in order to be considered for an offshore bank account.

Why a financial institution asks you to complete a W9?
A US financial institution asks you to complete form W9 to obtain personal identifying information (name, address, tax ID) to report income paid to you to the IRS (interest, dividends, capital gains, cancellation of debt, royalties, rents, etc. or income paid by you to the institution like mortgage interest). Foreign financial institutions ask you to complete Form W9 to comply with the FATCA reporting requirements to which they must adhere. FATCA requires foreign financial institutions to report certain information to the IRS related to the accounts and income of their US clients. For more on FATCA, click here.

If I am not a US person, must I fill out W9?
Form W9 is only for US persons. The equivalent form that applies to non-US persons is W8-BEN (for individuals) and W8-BEN-E (for entities)

What should I do if I’m not sure about my US status?
If you are unsure about your status with the US, inform the institution or person requesting you fill out forms. The IRS website provides information. You may need to consult a US tax professional if needed.

What happens if I fail to complete Form W9?
Foreign financial institutions must fulfill certain reporting requirements under FATCA. Bank institutions cannot comply with FATCA if you do not provide a W9 and might even close your account.

What should I do once I provide the W9 to the requester?
If the requester was a foreign financial institution because you have financial accounts with that institution, you should make sure that you are reporting those accounts in your annual FBAR form FinCEN 114 and FATCA Form 8938 if you meet the reporting thresholds.
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Form 8938

FATCA (or the Foreign Account Tax Compliance Act) came into law on July 1, 2014. FATCA requires non-US foreign financial institutions (FFIs) and non-US non-financial entities (NFFEs) to identify and disclose their US account holders and members or become subject to a new 30% US withholding tax for any payment of US source income and proceeds from the sale of equity or debt instruments of US issuers.
[read more]FATCA requires all US citizens, green card holders, and other US persons for tax reasons to report their foreign bank accounts, as well as other non-US financial holdings to the IRS.

Certain U.S. taxpayers who hold financial assets outside the United States must report those assets to the IRS on Form 8938, Statement of Specified Foreign Financial Assets.

FATCA requires some U.S. taxpayers with foreign financial assets of at least $50,000 to report those assets on Form 8938 attached to the taxpayer’s annual income tax return. The reporting threshold is higher for certain individuals, like married taxpayers filing a joint annual income tax return and certain taxpayers living in a foreign country.

if you do not have to file a U.S. income tax return for the year, then you do not have to file Form 8938, regardless of the value of your specified foreign financial assets.

US President Barack Obama signed the Foreign Account Tax Compliance Act (FATCA) into law on July 1, 2014. FATCA requires non-US foreign financial institutions (FFIs) and non-US non-financial entities (NFFEs) to identify and disclose their US account holders and members or become subject to a new 30% US withholding tax for any payment of US source income and proceeds from the sale of equity or debt instruments of US issuers. (Learn more from the IRS here.)

This legislation is aimed at offshore tax evasion. Proposed to better identify US persons who use foreign financial accounts or foreign entities and provide more information to the IRS to enforce compliance.

A goal of FATCA is to increase transparency, enhance reporting and enable a mechanism for strong sanctions in the event of tax evasion. The United States may obtain information about offshore accounts and investments of US taxpayers.


https://www.irs.gov/pub/irs-pdf/iw8.pdf
https://www.treasury.gov/connect/blog/Pages/Myth-vs-FATCA.aspx
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