Or in reality will this latest BS just apply to banks, insurers & funds, etc
Exchanges such as Mt. Gox allow trading between fiat currencies and bitcoins. This is not an investment which pays interest or dividends. The funds only get conversion to and from bitcoins and possibly causes gains or losses if the trading is for the pursuit of profit.
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19. Are foreign exchange transactions subject to FATCA?
We do not believe that withholdable payments will include foreign exchange (FX) payments. Although gain on such contracts is generally reported as gross proceeds, the FATCA rules appear to only apply to proceeds from the sale or other disposition of any property of a type which can produce interest or dividends from sources within the United States. This could be changed by regulations.
20. Are remittances subject to FATCA (i.e. someone in U.S. sends money to a family member
in my country)?
No, the mere transfer of money from someone in the U.S. to someone in a foreign country will not trigger FATCA withholding. However, money transferred into, and income earned in, a U.S. account may be subject to the FATCA reporting requirements. Further, instr
We do not believe that withholdable payments will include foreign exchange (FX) payments. Although gain on such contracts is generally reported as gross proceeds, the FATCA rules appear to only apply to proceeds from the sale or other disposition of any property of a type which can produce interest or dividends from sources within the United States. This could be changed by regulations.
20. Are remittances subject to FATCA (i.e. someone in U.S. sends money to a family member
in my country)?
No, the mere transfer of money from someone in the U.S. to someone in a foreign country will not trigger FATCA withholding. However, money transferred into, and income earned in, a U.S. account may be subject to the FATCA reporting requirements. Further, instr
- www.deloitte.com/assets/.../us_tax_FATCA_FAQs_061711.pdf
Either this is considered foreign exchange or it is simply a market for the buying and selling of a commodity, of which both definitions are not what FATCA covers.
Now if an exchange, such as Mt. Gox, were to offer interest on your balance, that might be treated differently.
