HMRC has recently launched a new online service for UK financial institutions to register and report financial information on behalf of their US customers in accordance with UK/US legislation.

The UK signed an intergovernmental agreement (IGA) with the US in September 2012 which reduces some of the administrative burden of complying with the US FATCA regulations, and provides a mechanism for UK financial institutions (which for FATCA includes certain trusts and personal investment companies) to comply with their obligations without breaching data protection laws.

The new service enables users who need to comply with the requirements of the IGA to register with HMRC (using an existing “Organisation” type Government Gateway account if applicable) and enrol for the FATCA online service. FATCA Returns will need to be submitted each year by 31 May with the first return due by 31 May 2015.

It will be necessary to register with the US tax authorities (the Internal Revenue Service) and obtain a Global Intermediary Identification Number. As part of this process the individual/organisation will beenrolled for the FATCA online service, will receive a FATCA ID and an HMRC registration identification number for each financial institution registered.