The tax information exchange agreement signed between Singapore and the US in back in November 2018 will officially enter into force this year, finally on March the 5th 2020.
Both jurisdictions are working on the ratification of the mutual Foreign Account Tax Compliance Act Model-1 Intergovernmental Agreement (also being referred to as the reciprocal FATCA IGA) by the end of 2020, which will eventually replace the existing non-reciprocal one.
The signing took place in Singapore, between Deputy Secretary of the Singapore Ministry of Finance, Mr Yee Ping Yi, and the United States of America Chargé d’Affaires to Singapore, Ms Stephanie Syptak Rammnath.
The new TIEA will allow Singapore and the US to exchange information for tax purposes. The mutual IGA provides for the automatic exchange of data regarding financial accounts under the US’ Foreign Account Tax Compliance Act (FATCA).
The full text of the TIEA and mutual FATCA IGA are available on the Inland Revenue Authority of Singapore’s website. The TIEA will enter into force after its ratification by Singapore. The mutual FATCA IGA has now been officially ratified by the countries will enter into force, 3 years after its initial signing.