August FATCA GIIN list analysed by Byrnes and Perryman

By William Byrnes and Haydon Perryman

The IRS published its August list of 95,239  FATCA registered FFIs, including entities that completed the registration process by July 25^th.  The increase has been disappointing to say the least.  Only 7,246 additional entities completed registration this past month, up from 87,993 in July. 

89,718 FFIs (94%) are registered from the 101 IGA countries on the GIIN list.  Only 4,801 FFI (5%) registered from the 143 countries without an IGA for which FATCA withholding began July 1^st.

June GIINs 77,354 -> July GIINs 87,993 -> August GIINs 95,239 (7,246 increase)

How Many Foreign Financial Institutions Are Still Not Registered?  Most!

Most pundits thought at least 20% of the FFIs requiring FATCA registration would have done so by now.  We were wrong.  I was personally thinking that 110,000 would be registered for the August 1^st FFI list.  The small increase of just 7,246 is troubling.  Total global compliance remains in the single digits by both the IRS and foreign government estimated numbers.

The 30% FATCA withholding began July 1st on 143 countries (101 have IGAs that forestall withholding until January 1, 2015).  Only 4,801 FFI (5%) registered from these 143 countries.  Thus, FATCA compliance is running in the low, single digits for these countries.

While the IRS suggested a 500,000 potential FFI registration figure, many industry stakeholders suggest that 800,000 – 900,000 firms fall under the expansive definition of financial institution.

Given the broad definition for financial institutions that require a FATCA GIIN (for the W-8BEN-E or other appropriate W-8, such as W-8IMY) the UK HMRC estimated that, even with its IGA and accompanying local regulations, 75,000 UK entities are impacted by FATCA.  But only 7,526 have registered from the UK, and only 532 additional since the July 1^st list.  Granted the UK FFI has until October 25th pursuant to HMRC announcement to register for FATCA.  Still, that’s less than 10% current compliance for the UK, which is normally the compliance leader for such.  If the UK hosts 75,000 (or even just half that) entities requiring FFI registration, then extrapolated among other large and sophisticated financial service economies like Japan, China, Germany etc – clearly, more than 500,000 entities will need to inevitably register.  Thus, the figures of 800,000 – 900,000 may yet be proven right.

Who We Are?

Haydon Perryman, FATCA Compliance expert of Strevus, and I have been undertaking (and publishing) the leading, same-day, analysis of the previous June 2^nd  and the July 1^st  of the FATCA FFI GIIN list by country, by IGA, by EAG, as well as exploring other interesting aspects of registered FFIs, and FATCA compliance documentation (e.g. W-8s and equivalent forms allowed by IGA). Haydon brings the practical side to bear having established the FATCA compliance system for Tier 1 UK institutions and Tier 1 EU ones, and I the academic side being the primary author of Lexis’ Guide to FATCA Compliance and an international tax professor.

We will publish several other articles of analysis of the August GIIN list over the coming week.  But we wanted to put out the below today for other policy and compliance analysis experts to be able to start undertaking their own analysis. 

Count of GIIN
Jurisdiction	Total	IGA Scenario	Signed/Substance	Date
Afghanistan	10	No IGA
Albania	20	No IGA
Algeria	7	Model 1A IGA	Substance	June 30, 2014
Andorra	42	No IGA
Angola	16	No IGA
Anguilla	130	Model 1A IGA	Substance	June 30, 2014
Antigua and Barbuda	40	Model 1A IGA	Substance	June 03, 2014
Argentina	437	No IGA
Armenia	34	Model 2 IGA	Substance	May 08, 2014
Aruba	18	No IGA
Australia	2,195	Model 1A IGA	Signed	April 28, 2014
Austria	3,035	Model 2 IGA	Signed	April 29, 2014
Azerbaijan	42	Model 1A IGA	Substance	May 16, 2014
Bahamas	674	Model 1B IGA	Substance	April 17, 2014
Bahrain	180	Model 1A IGA	Substance	June 30, 2014
Bangladesh	84	No IGA
Barbados	155	Model 1A IGA	Substance	May 27, 2014
Belarus	72	Model 1A IGA	Substance	June 06, 2014
Belgium	271	Model 1A IGA	Signed	April 23, 2014
Belize	166	No IGA
Benin	8	No IGA
Bermuda	1,730	Model 2 IGA	Signed	December 19, 2013
Bhutan	2	No IGA
Bosnia and Herzegovina	25	No IGA
Botswana	24	No IGA
Brazil	2,420	Model 1A IGA	Substance	April 02, 2014
British Indian Ocean Territory	1	No IGA
Brunei Darussalam	22	No IGA
Bulgaria	103	Model 1A IGA	Substance	April 23, 2013
Burkina Faso	8	No IGA
Burundi	4	No IGA
Cambodia	86	No IGA
Cameroon	10	No IGA
Canada	2,738	Model 1A IGA	Signed	February 05, 2014
Cape Verde	12	Model 1A IGA	Substance	June 30, 2014
Cayman Islands	18,408	Model 1B IGA	Signed	November 29, 2013
Central African Republic	4	No IGA
Chad	4	No IGA
Chile	357	Model 2 IGA	Signed	March 05, 2014
China	547	Model 1A IGA	Substance	June 26, 2014
Christmas Island	1	No IGA
Colombia	188	Model 1A IGA	Substance	April 23, 2014
Comoros	1	No IGA
Congo	5	No IGA
Cook Islands	88	No IGA
Costa Rica	124	Model 1A IGA	Signed	November 26, 2013
Cote d'Ivoire	26	No IGA
Croatia	73	Model 1A IGA	Substance	April 02, 2014
Curacao	198	Model 1A IGA	Substance	April 30, 2014
Cyprus	381	Model 1A IGA	Substance	April 22, 2014
Czech Republic	115	Model 1A IGA	Substance	April 02, 2014
Denmark	219	Model 1A IGA	Signed	November 19, 2012
Djibouti	2	No IGA
Dominica	18	Model 1A IGA	Substance	June 19, 2014
Dominican Republic	80	Model 1A IGA	Substance	June 30, 2014
Ecuador	28	No IGA
Egypt	148	No IGA
El Salvador	44	No IGA
Equatorial Guinea	3	No IGA
Estonia	36	Model 1A IGA	Signed	April 11, 2014
Falkland Islands (Malvinas)	1	No IGA
Fiji	6	No IGA
Finland	490	Model 1A IGA	Signed	March 05, 2014
France	2,587	Model 1A IGA	Signed	November 14, 2013
French Polynesia	3	No IGA
French Southern Territories	1	No IGA
Gabon	4	No IGA
Gambia	12	No IGA
Georgia	29	Model 1A IGA	Substance	June 12, 2014
Germany	3,014	Model 1A IGA	Signed	May 31, 2013
Ghana	54	No IGA
Gibraltar	513	Model 1A IGA	Signed	May 08, 2014
Greece	118	No IGA
Greenland	2	Model 1A IGA	Substance	June 30, 2014
Grenada	33	Model 1A IGA	Substance	June 16, 2014
Guadeloupe	1	No IGA
Guam	4	US Territory
Guatemala	81	No IGA
Guernsey	2,830	Model 1A IGA	Signed	December 13, 2013
Guinea	8	No IGA
Guyana	9	Model 1A IGA	Substance	June 24, 2014
Haiti	15	Model 1A IGA	Substance	June 30, 2014
Honduras	50	Model 1A IGA	Signed	March 31, 2014
Hong Kong	2,377	Model 2 IGA	Substance	May 09, 2014
Hungary	163	Model 1A IGA	Signed	February 04, 2014
Iceland	12	No IGA
India	377	Model 1A IGA	Substance	April 11, 2014
Indonesia	398	Model 1A IGA	Substance	May 04, 2014
Iraq	55	Model 2 IGA	Substance	June 30, 2014
Ireland	2,132	Model 1A IGA	Signed	January 23, 2013
Isle of Man	417	Model 1A IGA	Signed	December 13, 2013
Israel	373	Model 1A IGA	Substance	June 30, 2014
Italy	654	Model 1A IGA	Signed	January 10, 2014
Jamaica	51	Model 1A IGA	Signed	May 01, 2014
Japan	3,514	Model 2 IGA	Signed	June 11, 2013
Jersey	2,095	Model 1A IGA	Signed	December 13, 2013
Jordan	49	No IGA
Kazakhstan	95	No IGA
Kenya	63	No IGA
Kuwait	89	Model 1A IGA	Substance	May 01, 2014
Kyrgyzstan	29	No IGA
Lao People's Democratic Republic	15	No IGA
Latvia	53	Model 1A IGA	Signed	June 27, 2014
Lebanon	129	No IGA
Lesotho	3	No IGA
Liberia	31	No IGA
Liechtenstein	328	Model 1A IGA	Signed	May 19, 2014
Lithuania	31	Model 1A IGA	Substance	April 02, 2014
Luxembourg	4,376	Model 1A IGA	Signed	March 28, 2014
Macao	84	No IGA
Madagascar	7	No IGA
Malawi	17	No IGA
Malaysia	475	Model 1A IGA	Substance	June 30, 2014
Maldives	7	No IGA
Mali	10	No IGA
Malta	376	Model 1A IGA	Signed	December 16, 2013
Marshall Islands	83	No IGA
Martinique	1	No IGA
Mauritania	13	No IGA
Mauritius	931	Model 1A IGA	Signed	December 27, 2013
Mexico	491	Model 1A IGA	Signed	April 09, 2014
Monaco	113	No IGA
Mongolia	22	No IGA
Montenegro	9	Model 1A IGA	Substance	June 30, 2014
Montserrat	12	No IGA
Morocco	130	No IGA
Mozambique	17	No IGA
Myanmar	17	No IGA
Namibia	29	No IGA
Nepal	33	No IGA
Netherlands	2,413	Model 1A IGA	Signed	December 18, 2013
New Caledonia	5	No IGA
New Zealand	430	Model 1A IGA	Signed	June 12, 2014
Nicaragua	16	Model 2 IGA	Substance	June 30, 2014
Niger	5	No IGA
Nigeria	81	No IGA
Norway	365	Model 1A IGA	Signed	April 15, 2013
Oman	30	No IGA
Pakistan	97	No IGA
Panama	540	Model 1A IGA	Substance	May 01, 2014
Papua New Guinea	4	No IGA
Paraguay	21	Model 2 IGA	Substance	June 06, 2014
Peru	174	Model 1A IGA	Substance	May 01, 2014
Philippines	193	No IGA
Poland	210	Model 1A IGA	Substance	April 02, 2013
Portugal	298	Model 1A IGA	Substance	April 02, 2014
Puerto Rico	4	US Territory
Qatar	54	Model 1A IGA	Substance	April 02, 2014
Reunion	1	No IGA
Romania	115	Model 1A IGA	Substance	April 02, 2014
Russian Federation	859	No IGA
Rwanda	10	No IGA
Saint Kitts and Nevis	114	Model 1A IGA	Substance	June 04, 2014
Saint Lucia	68	Model 1A IGA	Substance	June 12, 2014
Saint Martin (French part)	3	No IGA
Saint Pierre and Miquelon	1	No IGA
Saint Vincent and The Grenadines	128	Model 1A IGA	Substance	June 02, 2014
Samoa	51	US Territory
San Marino	17	Model 2 IGA	Substance	June 30, 2014
Saudi Arabia	40	Model 1A IGA	Substance	June 24, 2014
Senegal	13	No IGA
Serbia	40	Model 1A IGA	Substance	June 30, 2014
Seychelles	55	Model 1A IGA	Substance	May 28, 2014
Sierra Leone	9	No IGA
Singapore	1,120	Model 1A IGA	Substance	May 05, 2014
Sint Maarten (Dutch part)	17	No IGA
Slovakia	63	Model 1A IGA	Substance	April 11, 2014
Slovenia	38	Model 1A IGA	Signed	June 02, 2014
Solomon Islands	3	No IGA
South Africa	487	Model 1A IGA	Signed	June 09, 2014
South Sudan	7	No IGA
Spain	1,276	Model 1A IGA	Signed	May 14, 2013
Sri Lanka	51	No IGA
Suriname	9	No IGA
Swaziland	9	No IGA
Sweden	454	Model 1A IGA	Substance	April 24, 2014
Switzerland	4,454	Model 2 IGA	Signed	February 14, 2013
Taiwan	525	Model 2 IGA	Substance	June 23, 2014
Tajikistan	22	No IGA
Thailand	891	Model 1A IGA	Substance	June 24, 2014
Timor-Leste	2	No IGA
Togo	10	No IGA
Tonga	2	No IGA
Trinidad and Tobago	67	No IGA
Tunisia	12	No IGA
Turkey	221	Model 1A IGA	Substance	June 03, 2014
Turkmenistan	1	Model 1A IGA	Substance	June 03, 2014
Turks and Caicos Islands	36	Model 1A IGA	Substance	May 12, 2014
Uganda	24	No IGA
Ukraine	200	Model 1A IGA	Substance	June 28, 2014
United Arab Emirates	220	Model 1A IGA	Substance	May 21, 2014
United Kingdom	7,526	Model 1A IGA	Signed	September 12, 2012
United States	658	US
Uruguay	150	No IGA
Uzbekistan	3	Model 1A IGA	Substance	June 30, 2014
Vanuatu	5	No IGA
Viet Nam	137	No IGA
Virgin Islands (British)	2,641	Model 1B IGA	Signed	June 30, 2014
Wallis and Futuna	1	No IGA
Yemen	19	No IGA
Zambia	22	No IGA
Zimbabwe	8	No IGA
Other	64	No IGA
Korea, Republic of	525	Model 1A IGA	Substance	April 02, 2014
Bolivia, Plurinational State Of	32	No IGA
Congo, Democratic Republic Of The	10	No IGA
Macedonia, The Former Yugoslav Republic Of	19	No IGA
Moldova, Republic Of	20	Model 2 IGA	Substance	June 30, 2014
Venezuela, Bolivarian Republic Of	63	No IGA
Tanzania, United Republic Of	22	No IGA
Libya	7	No IGA
Bonaire, Sint Eustatius And Saba	12	No IGA
Korea, Democratic People's Republic Of	2	No IGA
Virgin Islands (U.S.)	2	US Territory
Guinea-Bissau	1	No IGA
Kiribati	1	No IGA
Sao Tome and Principe	2	No IGA
West Bank And Gaza	24	No IGA
Sudan	5	No IGA
Ethiopia	2	No IGA
Grand Total	95,238
IRS Registered FFI List (Sum of Registrations)	Aug '14#	County #
Model 1A IGA	51,840	85	Note 4
Model 1B IGA	21,723	3
Model 2 IGA	16,155	13
US	658	1
US Territory	61	5	Notes 1
No IGA	4,801	143	Notes 2
Total	95,238	250	Notes 1, 2, 3 & 4
Non IGA	4,801	143
Non IGA%	5%	57%
IGA	89,718	101
IGA%	94%	40%
US and US Territories	719	6
US %	1%	2%
There are no only 1 jurisidiction with an IGA that has zero registrations: Kosovo
Implying that registration is a lead indictor of an IGA being signed
Note 1
This does not include:
Baker Island, Howland Island, Jarvis Island, Johnston Atoll, Kingman Reef, Midway Islands, Navassa Island, Palmyra Atoll, Wake Island
Note 2
This does not include:
Akrotiri, Ashmore and Cartier Islands, Clipperton Island, Coral Sea Islands, Dhekelia, Paracel Islands, Spratly Islands, Svalbard and Jan Mayen. (Svalbard and Jan Mayen are under ISO 3133-1 Code 744.) Nor does this include Netherlands Antilles (ISO 3166-1 Code 530); Netherlands Antilles is not a tax jurisdiction that is recognised by the USA.
Note 3
For a list of 20 jurisdictions recognized by the US but not by FATCA please visit:
http://haydonperryman.wordpress.com/2014/06/30/545/
Note 4
This includes Kosovo (Kosovo has no ISO3166-1 code)