Publication of FATCA Agreement

UniCredit Bank Czech Republic and Slovakia,a.s.
Summary: 
The Ministry of Finance publishes the text of the FATCA Agreement and the accompanying statement
Thu, 28/08/2014

Dear Client,

The Ministry of Finance published the FATCA (Foreign Account Tax Compliance Act) Agreement and the accompanying statement signed on 4 August 2014 between The Czech Republic and USA to improve international tax compliance and assist the implementation of FATCA regulation.

The main objective of FATCA Agreement is to combat cross-border tax evasion. On the basis of this Agreement, the tax authorities will exchange information regarding some of the financial accounts of citizens of both countries living abroad. The Agreement is reciprocal and initiates the process of creating a common format for automatic exchange of information between countries. It also allows both parties to efficiently track income of their taxpayers and thus significantly contribute to improve tax collection.

FATCA Agreement will now be submitted to both chambers of the Czech Parliament for ratification. Detailed information on the content of the FATCA Agreement and related documents can be found on the Ministry of Finance’s website under this link.

Impact on investors: The Agreement will enable authorities to exchange tax information between both countries.