Unexpected request to confirm tax residency - Halifax

Options
1…910121415…26

Comments

  • satori
    satori Posts: 38 Forumite
    First Post First Anniversary Combo Breaker
    Options
    Hello!
    Nothing dodgy about that FATCA form. It's a formality really. Treat it as an exercise in practicing your signature.
    It's been around for a while. If you use a financial adviser, some providers will allow your financial adviser to sign the form on your behalf, while others will insist on the form being signed by the client. Some providers even include the form as part of every single application form (for example if you open a pension plan, even though you might already have an ISA with that provider). What happens at the provider's end is that every couple of months, they run a report to see if they are missing the FATCA declaration for any of their clients, then do a mail merge to chase any one on the list. Of course, the managers have targets to meet, so the more clients return the form, the better for them. I am not sure if the FCA checks whether they are doing the job seriously.
    It's not just in the UK either, but probably in all countries that have passed an agreement with the States. I opened a savings account with a bank overseas last year, and I had to fill in the FATCA form, even though my overseas banker knows full well I am a UK resident. I bet even Jason Bourne had to fill in the bloody form! :D
  • xylophone
    xylophone Posts: 44,427 Forumite
    Name Dropper First Anniversary First Post
    Options
    Intergovernmental Agreement" that the UK signed up to (under duress)

    Do we get a referendum on opting out?:D
  • badmemory
    badmemory Posts: 7,799 Forumite
    First Anniversary Name Dropper First Post
    Options
    satori wrote: »
    Hello!
    Nothing dodgy about that FATCA form. :D

    I don't think anyone said that the FATCA form was dodgy. (Although I have to admit that its nearness to fatcat is somewhat amusing.) It is the way the banks are dealing with it or more to the point the "dodgy" way they appear to be dealing with it which is the problem.
  • browsingid
    browsingid Posts: 58 Forumite
    First Anniversary Combo Breaker
    Options
    I got a similar letter from HSBC earlier this year demanding I fill in US W8 forms. The letter was poorly worded and unclear - I deal with FATCA compliance in my day job so I knew what they meant but was amazed at how rubbish the letter was.

    I have absolutely zero connections to the USA other than having gone on holiday there a few times, so I wasn't about to fill in all this requested paperwork without them explaining to me why they thought I had US indicia. I don't want my data reported to the IRS unnecessarily.

    I had several maddening calls with their call centre, who didn't really seem to understand what the request meant - basically telling me 'oh it is just a perfunctory record-keeping exercise, please just do what the letter says, its no big deal', but were unable to explain to me exactly what in my records suggested US indicia, and were unable to let me speak to their FATCA specialists directly.

    I raised a complaint in the end, and after further phone calls with their complaints department, it turned out that the problem had arisen from a First Direct account I had closed in 2011.

    In order to resolve I had to speak to First Direct - which was difficult given I had closed the old account ages ago and didn't have a record of the account number AND had moved house several times in between so wasn't even sure which personal details they had on file. However in the end we found the problem - an incorrect wrong phone number - too many zeroes typed in so looked like it was a US number - and got it corrected.

    Then HSBC finally left me alone on the FATCA front but the whole thing was a bit of a farce and I probably spent 6-7 hours dealing with something that their organisation had got wrong in the first place, and then dealt with very poorly. Credit to their complaints department though - once it finally got escalated they were very good.

    Moral of the story - a mistype on an ancient account can put you on the FATCA compliance list and take a long time to sort out... :wall:
  • smallfry27
    smallfry27 Posts: 110 Forumite
    edited 3 August 2016 at 11:14PM
    Options
    Lloyds started writing to me in May. I sent them all my documentation by the end of that month. Over the next two months they have sent three more letters asking for the same stuff. I responded to the first two, and sent my stuff again. This week I received a 'final notice' and another request for the same documentation that has already been sent twice.

    My contact in the complaints department implies that I am now being treated as a late responder (and therefore I assume they have already reported me.) This seems very unfair, as I responded well within their first deadline - it is their incompetence which has meant my stuff was not logged properly.

    The notes that came with the forms said they need to do these checks every three years. I know that all banks need to do it - does anyone know of one doing it efficiently? I don't intend to be a Lloyds customer next time round.
  • badmemory
    badmemory Posts: 7,799 Forumite
    First Anniversary Name Dropper First Post
    Options
    Not being a customer any longer probably won't help. The whole thing has been a total shambles.
  • smallfry27
    smallfry27 Posts: 110 Forumite
    Options
    badmemory wrote: »
    Not being a customer any longer probably won't help. The whole thing has been a total shambles.

    Sadly I expect you are right, but at least I will have the satisfaction of not giving them my business.

    I have heard that UK people are selling their Florida holiday homes because of the problems that causes. Also read that this law is very unpopular in USA, because it double taxes US ex-pats. The rate of them changing their nationality to something else has trebled. I expect/hope the IRS will have a net loss of income.
  • badmemory
    badmemory Posts: 7,799 Forumite
    First Anniversary Name Dropper First Post
    Options
    Even Boris Johnson I believe. So a lot of people in bad company.
  • krzysztow
    krzysztow Posts: 2 Newbie
    Options
    Hello could anyone explain to me clearly what is the matter with this FACTA thing in my case? I am polish citizen and my UK family recieved that letter for me (on my british adress). I do not have any polish tax numer and I won't be able to respond by the deadline, as I can't sign the form (I am in Poland). So can I find the blank form somewhere on the internet, print it, fill it and send it back? Anyone knows where I can find the form?
  • Cook_County
    Cook_County Posts: 3,085 Forumite
    First Anniversary First Post
    Options
    You will be reported on under both FATCA & CRS, but why is this a concern?
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.3K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608.1K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 248K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards