U.S. Issues Final Regulations on Reporting Interest Paid to Nonresident Aliens

  On April 17, 2012, the U.S. Department of the Treasury and IRS issued final regulations[1] and a revenue procedure[2] implementing the final regulations regarding the reporting requirements for interest that relates to deposits maintained at U.S. offices of certain financial institutions and is paid to certain nonresident alien individuals. These regulations will affect commercial banks, savings institutions, credit unions, securities brokerages, and insurance companies that pay interest on deposits. [1]               IRS Final Regulations on Reporting Interest Paid to Nonresident Aliens, TD 9584, RIN 1545-BJ01, Apr. 17, 2012; https://s3.amazonaws.com/public-inspection.federalregister.gov/2012-0952.... [2]               Rev. Proc. 2012-24, Implementation of Nonresident Alien Deposit Interest Regulations  http://services.taxanalysts.com/taxbase/eps_pdf2012.nsf/DocNoLookup/8148/$FILE/2012-8148-1.pdf