The Foreign Account Tax Compliance Act (FATCA) is a United States (US) federal law designed to track US Persons who may be avoiding tax liabilities by holding assets overseas. Australia signed an Intergovernmental Agreement (IGA) with the US in April 2014 to assist in the implementation of FATCA for Australian financial institutions.
Under Australian law Australian financial institutions are required to report FATCA information to the Australian Taxation Office (ATO). Under the FATCA rules The GPT Group is taken to be an Australian financial institution and accordingly has to report information about certain securityholders to the ATO annually. The ATO will provide this information to the US Internal Revenue Service.
The FATCA information reported is only in respect of the holding in The GPT Group by US Persons or holdings of investors who have not certified that they are not US Persons. In order to comply with the FATCA reporting obligations The GPT Group will ask investors to certify their FATCA status.
1. What is FATCA?
FATCA stands for Foreign Account Tax Compliance Act and it is a United States (US) law designed to track US Persons who may be avoiding tax liabilities by holding assets overseas.
2. Why does this impact The GPT Group securityholders?
Australia signed an Intergovernmental Agreement (IGA) with the US in April 2014 to assist in the implementation of FATCA for Australian financial institutions. Under Australian law The GPT Group is required to report FATCA information to the Australian Taxation Office in respect of:
3. What information will be reported?
securityholders who acquired The GPT Group stapled securities during the period from 1 July 2014 to 31 December 2015 and who continue to hold a balance of The GPT Group stapled securities on 1 January 2016; and
securityholders who acquire The GPT Group stapled securities on or after 1 January 2016.
The following information will be reported to the Australian Taxation Office:
i) Name and address of the securityholder;
ii) Taxpayer Identification Number (TIN), if one has been provided;
iii) Amounts paid to the securityholder during the relevant calendar year;
iv) Value of securityholding at 31 December 2016 and annually thereafter; and
vi) In respect of U.S. controlling persons:
(1) Name of U.S. controlling person; and
(2) TIN of U.S. controlling person
4. Does FATCA impact on my GPT Group stapled securities held on the ASX?
No, FATCA should not impact on your ability to acquire, hold or dispose of The GPT Group stapled securities. In addition, FATCA does not impact on the payment of distributions to you by The GPT Group.
However, The GPT Group securityholders will be contacted to certify if they are a US Person or an entity that is controlled by US Persons. If securityholders are US Persons or fail to certify that they are not US Persons then The GPT Group will report the information required under FATCA to the Australian Taxation Office.
5. What will I need to do?
From January 2016 onwards The GPT will be sending securityholders requests to certify their status under the FATCA rules. Please read the request carefully and complete the FATCA self-certification.
6. Who do I contact if I have further questions about this?
For further information please call The GPT Group’s Securityholder Service Centre on 1800 025 095.