- Foreign Account Tax Compliance Act (FATCA) issued on 18/3/2010 by U.S governement generally requires that foreign financial Institutions report on the foreign assets held by their U.S. account holders or be subject to withholding tax with respect to any payment of US source income and proceeds from the sale of equity or debt instruments of US issuers. On 01/4/2016, Agreement between the Government of the United States and the Government of the Socialist Republic of Viet Nam to Improve International Tax Compliance and to Implement FATCA was signed and took into effect since 07/7/2016. According to this Agreement, Vietnam Prosperity Joint Stock Commercial Bank (VPBank) as a foreign financial institution (FFI) complying with FATCA, needs to collect information given by the taxpayers (Customer) who wish to open or maintain financial account with VPBank (whether the Customer is a U.S. taxpayer or not) to report Internal Revenue Service (IRS) via data transmission port of State Bank of Vietnam. Collected information will be used to meet the requirements of FATCA compliance only and will not be used for any other purpose.
- The term “United States” means the United States of America, including the States, the District of Columbia thereof, but does not include the U.S. Territories (Guam, Puerto Rico, U.S. Virgin Islands, Northern Mariana Islands and American Samoa).
- “Additional information” means any document and/or information in addition to Personal Tax Information of Financial Information that VPBank holds or VPBank may reasonably require from Customer in order to comply with VPBank’s Tax Reporting and Accounting Obligations.
- “Tax Information” means any documentation or information relating to the Customer, the Customer’s identity or tax status including but not limited to the Customer’s name(s), residential address(es), age, date of birth, place of birth, nationality, citizenship, tax residence, domicile for tax purposes, tax identification number (if applicable) personal and marital status. For purposes of FATCA, it shall also include where applicable Forms W9 and W8-BEN, as issued by the Internal Revenue Service of the United States of America as amended, supplemented or substituted from time to time, or a self-certification form as defined under the laws.
- “Financial Information” means any financial or other documentation or information relating to the Account including but not limited to the Account name(s), number(s) and reference(s), values, gains, losses, credits, withdrawals, balances, transfers and associated instructions from time to time.
- “Legal” means domestic legislation and abroad legislation, instruction of managing department, inter-governmental convention or inter-governmental cooperation agreement.
- “Tax Authority” means any domestic or foreign regulatory or tax revenue, fiscal or monetary authority.
- “Tax Reporting and Accounting Obligations/ Responsibilities” means any obligation/responsibility of any sort that VPBank has or may become subject to in future:
– To provide any documentation or information to a Tax Authority;– To take any other action that may be required by a Tax Authority;
– Whether in accordance with the provisions of any law which VPBank is subject to or as assumed by VPBank voluntarily contractually or otherwise by reason of VPBank’s financial, commercial, business or other interests in or related to the jurisdiction of the relevant Tax Authority or otherwise including but not limited to FATCA.
- “U.S. TIN” means a U.S. federal taxpayer identifying number.
- “United States Resident” here is a foreign national who has not been granted green card but has physically presented in the U.S at least (i) 31 days during current year and (ii) equal or exceed 183 days over a three-calendar-year period including the current year and the 02 years immediately before (All days of physical presence during current year + 1/3 of the days of the last year + 1/6 of the days of year before current year the 02 years ago).
- The Customer agrees that VPBank can verify the provided information from any source.
- The Customer understands that a false statement or concealment of the U.S. individual tax status could lead to sanctions/ penalties under U.S. tax law, including FATCA
- The Customer agrees to notify, provide, update tax and financial information within 30 (thirty) days if any tax and financial information provided previously becomes incorrect, outdated, insufficient or under VPBank’s written request.
- VPBank does not give any tax advice to Customer. Customer has full responsibility to fulfill Customer’s worldwide tax reporting and filing obligations in relation to the Accounts.
- The Customer agrees that VPBank may gather, store, use, process, disclose and report to any such Tax Authority or another authoritiy any Tax Information, Financial Information or Additional Information of Customer that the VPBank holds or that the Customer provides to VPBank pursuant to FATCA regulations and related Legal regulations.
- If the Customer fails to submit/ to submit in time any required Information in FATCA related-forms, Requests of VPBank, or fails to complete other requirements (if any) under the requests of VPbank from time to time, Customer agrees that VPBank has the right to report any related information of Customer to Tax Authority or another authority and/or to apply the following punishments according to FATCA regulations and/or relevant legal regulations without any responsibility with Customer:
- Refuse to open account, provide service for Customer;
- By notifying Customer in writing, withhold tax on certain payments of US source income which are received or settled by VPBank in the compliance with FATCA and the relevant laws;
Close Customer’s account, suspend or terminate providing service for Customer or terminate Customer’s relationship with VPBank.