To the Clients of all Operating Banks in Lebanon

Foreign Account Tax Compliance Act (FATCA) was enacted into U.S. law on March 18, 2010 and the related regulations were issued on January 17, 2013.  FATCA provisions target U.S. persons who maintain financial accounts (deposits and investments) outside the United States.

Under FATCA, U.S. persons include notably U.S. citizens, Green Card Holders, U.S. legal entities, certain non U.S. legal entities substantially owned by U.S. persons, and certain estates, and trusts whose beneficial owners in whole or part are U.S. persons.  

Under FATCA and U.S. tax laws, the above mentioned U.S. taxpayers holding financial assets outside the United States must report those assets to the Internal Revenue Service (IRS).

FATCA introduces the concept of the “Foreign Financial Institution” (FFI) which includes any financial institution or bank operating outside the United States. Lebanese banks like all FFIs worldwide are required, to comply with FATCA within the timeline set by the applicable laws and regulations and the agreements. 

With FATCA, FFIs shall have responsibilities of identifying U.S. tax payers among their clients, and of reporting to the IRS names and accounts information. 

The present notice which includes certain aspects of FATCA is not complete nor is intended to be a basis for U.S. tax advice to U.S. tax payers. 

Should you need any further information or have any question concerning your U.S. tax position or the legal requirements of U.S. tax laws or FATCA, please contact a qualified U.S. tax advisor or visit the U.S. Internal Revenue Services website www.irs.gov .

If you are not or may not be impacted by FATCA, please ignore this notice.

Sincerely Yours,

The Association of Banks in Lebanon