2024-05-31-KPMG_Global-Argentina_–_IRS_Approval_for_FATCA_Agreement_with_United_States_3页_240kb

Summary of GMS Flash Alert: Argentina – IRS Approval for FATCA Agreement with United States

Key Points

• Argentina's tax administration (AFIP) has satisfied the U.S. requirements, enabling the first automatic exchange of tax data under the FATCA agreement.
• This approval allows for proactive inquiries by U.S. banks regarding client registration with Argentine tax authorities.
• Non-resident individuals with accounts in Argentina or the U.S. must be aware that their financial information will be reported to their home country's tax authorities.
• The first data exchange is scheduled for September 30, 2024, including details like account numbers and income amounts.
• Potential consequences include possible tax amnesty programs, and detection of unreported accounts could lead to retroactive tax assessments, fines, and interest.
• Background includes prior coverage from GMS Flash Alert 2022-226 and ongoing preparations for data transfer.

Why This Matters

• It affects individuals with financial accounts in both countries, requiring attention to compliance due to automatic information sharing between tax authorities.