Your World of Legal Intelligence
 United Kingdom | +44 (0) 20 7284 8080

Chapter IEIM404180

Document Cited in Related
Vincent
Published date25 April 2016
Record NumberIEIM404180
CourtHM Revenue & Customs
IssuerHM Revenue & Customs
Miscellaneous: Cash Value Insurance Contract: Prevention of Sale to Non-Resident Account Holders

Pre-existing Cash Value Insurance Contracts or Annuity Contracts that are unable to be sold to residents of a Reportable Jurisdiction, including the USA, because of legal or regulatory restrictions do not need to be reviewed, identified or reported for FATCA purposes and do not need to be reviewed, identified or reported, subject to an election to that effect, for CRS purposes. This also applies to similar insurance policies written in Trust or assigned to a Trust on or before 30 June 2014.

FATCA

For FATCA, this exemption only applies where both of the following conditions are met:

  • The Financial Institution’s Cash Value Insurance Contracts and Annuity Contracts cannot be sold into the USA without legal or regulatory authority, and
  • UK law requires reporting or withholding in respect of these products.

The sale of contracts to US residents will be considered effectively prevented if the issuing Specified Insurance Company (not including any US branches) is not licensed to sell insurance in any state of the US and the products are not registered with the Securities and Exchange Commission.

Under UK law there will either be reporting or withholding on such pre-existing contracts...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT