The Irish Revenue Commissioners recently confirmed that they are in discussions with the US Treasury with respect to the possibility of exploring a common approach to the Foreign Account Tax Compliance Act (“FATCA”).
It is understood that a model agreement is proposed which will be adopted via bilateral tax treaties or exchange of information agreements. While no alteration to the identification or reporting requirements under FATCA will be made under this model global agreement, an alternative approach for the reporting of FATCA compliant information will be facilitated. A number of countries are in similar talks with the US Treasury in relation to the model agreement.
A model agreement is expected by the end of June 2012.