The regime introduced in 2014 Since 6 April 2014, obligations were imposed on companies to: • register their employee share schemes online with HMRC, by specified deadlines • self-certify their employee tax-advantaged share schemes as part of the online registration process, in light of the removal of the HMRC approval regime for these schemes from 6 April 2014, and • submit their annual HMRC employee share scheme returns (due by 6 July each year) online Online registration is required before companies can submit their online annual returns, and, in respect of tax-advantaged share schemes, in order to retain tax advantages. The online returns replaced hard copy returns that were required previously. Further information For further details on the legislative provisions relating to the filing and registration requirements for each type of employee share plan, see Practice Notes: • EMI—HMRC annual return • CSOP—self certification, registration and filing requirements • Self-certification, registration and filing requirements for SIPs and SAYE schemes • HMRC annual return filing requirements for SIPs and SAYE schemes, and • Employment-related

The Foreign Accounts Tax Compliance Act (FATCA) is a US law that requires UK pension funds to certify that none of their members is a US resident, and if they are, who they are and how much their pension rights are.

This Practice Note considers the application of the Foreign Account Tax Compliance Act (FATCA) to UK Trusts, as implemented in the UK by the International Tax Compliance Regulations 2015, SI 2015/878, as amended, including by the International Tax Compliance (Amendment) Regulations 2025, SI 2025/740. For a general overview of FATCA, see Practice Note: US: Foreign Account Tax Compliance Act (FATCA)—summary, which contains more detailed guidance. Where the trust is a pension fund, see Practice Note: Automatic Exchange of Information (AEoI) in the UK—pension schemes. Where the trust is an employee benefit trust, see Practice Note: Automatic Exchange of Information (AEoI) in the UK—Employee incentive arrangements. What is FATCA and how does it affect UK Trusts? FATCA is a US law designed to prevent tax evasion by US tax payers’ offshore assets. This Practice Note focuses on the implications of FATCA for trusts based in the UK and gives an overview of the key issues. This guide does not apply to offshore trusts. FATCA requires non-US Financial Institutions to report on Financial Accounts in

This Practice Note provides a broad overview of the application of the Foreign Account Tax Compliance Act (FATCA) to loan agreements in the United Kingdom (UK). For a general overview of: • the Intergovernmental Agreement (IGA) between the UK and the US (the UK:US IGA), and • International Tax Compliance Regulations 2015, SI 2015/878 (the UK Regulations) see Practice Note: FATCA in the UK—the UK:US Intergovernmental Agreement—an outline. Other aspects of FATCA as it applies in the UK are explored in more detail in Practice Notes: • FATCA in the UK—funds and the UK:US IGA, and • Automatic Exchange of Information (AEoI) in the UK—Employee incentive arrangements Background to FATCA FATCA derives from the Foreign Account Tax Compliance provisions in the United States Hiring Incentives to Restore Employment (HIRE) Act of 2010. The main FATCA provisions are now contained in Chapter 4 of Title 26, Subtitle A of the US Internal Revenue Code (the Code). The aim of FATCA is to deter and reduce

Background to FATCA FATCA is so-called because it derives from the Foreign Account Tax Compliance provisions in Subtitle A of Title V (offset Provisions) of the United States Hiring Incentives to Restore Employment Act 2010 (the HIRE Act). FATCA has two components that, together, facilitate the United States’ purpose to detect and deter tax evasion by US persons. Part I, sections 1471–1474 of the HIRE Act deals with the obligations of non-US (foreign) financial institutions to document and report accounts of US persons or those presumed to be US. Part II, section 511 amends Subpart A of Part III of subchapter A of chapter 61 and requires any US person holding an interest in a foreign asset to report those assets to the Internal Revenue Service (IRS). Following concerns expressed by many financial firms that they were being required to break their domestic data protection laws in order to meet US FATCA requirements, the IRS entered into a series of Inter-Governmental Agreements (IGAs) that transferred the reporting obligation from the financial institutions in a jurisdiction

This Practice Note provides a broad overview of: • the Intergovernmental Agreement between the UK and the US to improve international tax compliance and to implement FATCA signed on 12 September 2012 (the UK:US IGA), and • the International Tax Compliance Regulations 2015, SI 2015/878 (the International Tax Compliance Regulations) so far as they concern the implementation of the UK:US IGA The International Tax Compliance Regulations came into force on 15 April 2015. They replace and revoke the International Tax Compliance Regulations (United States of America) Regulations 2014, SI 2014/1506 (that had effect for the period from 30 June 2014 to 14 April 2015). The International Tax Compliance Regulations and the UK:US IGA contain intricate and complex provisions. This Practice Note is an outline and does not cover every aspect of the rules. In some areas, this Practice Note necessarily takes a broad-brush approach, inevitably doing some damage to the underlying detail. It should also be noted that the International Tax Compliance Regulations implement the compliance and, in

The Financial Action Task Force (FATF) has amended its methodology for assessing (a) technical compliance with its recommendations and (b) the effectiveness of members’ anti-money laundering (AML) countering the financing of terrorism (CFT) and counter proliferation financing (CPF) systems.

The Financial Action Task Force (FATF) has convened  its annual high-level meeting with the nine FATF-Style Regional Bodies (FSRBs) in Strasbourg, announcing the implementation of new mutual evaluations. The Global Network, comprising the FATF and nine FSRBs, representing over 200 jurisdictions, remains committed to combating illicit finance through a unified set of standards and mutual evaluations. The meeting focused on implementing Global Network priorities, particularly preparing members for the upcoming mutual evaluations, which will prioritise effectiveness in tackling money laundering, terrorist financing and proliferation risks. All FSRBs aim to complete their first evaluations by late 2026 or early 2027. Additionally, significant emphasis was placed on fostering peer learning, experience sharing and strengthened cohesion within the Global Network, a key priority under the Mexican Presidency.

The Financial Action Task Force (FATF) has launched two public consultations. The first consultation seeks feedback on updated guidance for anti-money laundering and counter-terrorist financing measures and financial inclusion, reflecting recent amendments to FATF standards on proportionality and simplified measures. The second consultation addresses complex proliferation financing and sanctions evasion schemes, following the October 2020 amendments to Recommendations one and two. Stakeholders can respond to the financial inclusion consultation until 4 April 2025 and the proliferation financing consultation until 21 March 2025. . Both consultations aim to enhance understanding and implementation of risk-based approaches in their respective areas.

The Financial Action Task Force (FATF) is considering revisions to its Recommendation 16 (R16), also known as the ‘Travel Rule’, its Interpretive Note (INR16) and the related Glossary of specific terms, to adapt them to the changes in payment business models and messaging standards. Responses are requested by 3 May 2024.

The Financial Action Task Force (FATF) has launched a public consultation to gather input on best practices for mitigating proliferation financing (PF) risks and sanctions evasion. This is part of a study aimed at improving understanding of PF risks and evasion techniques, with the goal of informing risk assessment and mitigation strategies. The FATF seeks input on best practices for mitigating PF risk, managing vulnerable products or services, and information sharing. Responses are sought by 21 March 2025.

The Financial Action Task Force (FATF) has published its second public consultation on revisions to Recommendation 16 on Payment Transparency, its Interpretive Note (INR.16) and the related Glossary of specific terms, alongside an Explanatory Note which provides feedback on responses to the first consultation.  The proposals aim to take into account changes in payment business models and messaging standards.  Following the finalisation of the revisions - expected in June 2025 - the FATF will also develop a guidance paper on payment transparency in order to facilitate consistent implementation of the revised FATF Standards. Responses are requested by 18 April 2025.